Vietnam is a surprise, not only because of the projection of one of the fastest-growing GDP in the world, but also how the current situation was controlled in this worldwide pandemy
Talking about GDP and growth, we need to take a look at the baseline because Vietnam is still considered as an emerging country. Some foreign investors, business owners and future-expatriates knowing about this dynamism will choose this country as a place to find a job, do business or invest because opportunities are everywhere.
Trends and predictions about Vietnam
A recent study from PWC is projecting what the world will be like in 2050 : statistics, trends, demographics and expert-analysis expect that Vietnam will be one country having one of the biggest increases in GDP per capita. There will be a lot of business and investment opportunities in the next few years.
According to Pedro in this interview, Vietnam is a very easygoing country, very different from what people tend to believe before knowing. But in fact, despite the language that is a little bit difficult, it is a very easy country to live in with a lot of opportunities for foreign workers and investors.
If you want to know why and how you can invest in Vietnam, read this in-depth resource from Movetoasia.com to learn more about incorporating companies, market entry services and real estate investments.
Positive growth in 2020
During this global pandemic time, the economy suffered for a while, but nowadays Vietnam has been able to control the situation in a way that the economy can continue to run. Vietnam has an internal circular economy that is running well. And, when you look at the data of this year, there is still a positive growth of 2,4% according to the IMF predictions.
This means a lot about what is the internal dynamism in terms of the GDP growth – because Vietnam is a 97-million resilient inhabitants – that means they will reinvent themselves. Despite all of the difficulties, the economy was able to reinvent itself, take proactive actions to anticipate Covid outbreaks or react on time to prevent any social spread. Nowadays, new businesses are open even in traditional industries such as restaurants, coffees, bars, … Reinventions are not only done by big chains : locals also show that they are able to reinvent themselves to make the domestic economy runs. In the end of the year 2020, things are running normally, which means Vietnam has a strong self-sustainable market which is an important criteria of a solid frontier market.
Regulations, compliance for a sustainable growth
As Pedro mentioned in the interview, there are still some barriers about regulations. Vietnam is in general a very regulated country but needs some fine-tuning to make it more entrepreneurship friendly to attract even more foreign investors. Specifically, Vietnam economy needs to be more healthy in terms of business compliance. As it is an important factor that foreign investors and business owners are considering, authorities are already taking this seriously so they are currently upgrading the processes and regulations to the next level.
The country has been having a very sustainable growth pre-covid so if they have the ambition of being one of the most dynamic economies of the region, it will involve taking some business-friendly incentive. If the country decides to implement some step-forward changes, the country can grow sustainably and in the next year become a top tier country on the spot list of corporations to extend to Vietnam.
Working environment & challenges from foreigners
As a foreign C-level working for an international corporation based in Vietnam, Pedro has shared his challenges and it’s all about change management. Despite having young workforce, companies still struggle to empower employees to make decisions and take initiatives.
In all the ladders of an organization, from the youngest to the oldest and even in management positions, people are not used to making decisions. The second barrier is the maturity of middle management. So as a manager, a C-level, a business owner, you need to enforce empowerment. You can involve them by giving them trust and confidence so they will be more willing to offer critical perspectives that can help your business or organization. As this seems to be a cultural barrier for many managers and C-levels, there will be some adjustments to implement inside your team to be able to get people committed and help your business or organization to grow efficiently and sustainably.
Benefits of being a foreign expatriate working in Vietnam
As a part of the culture, Vietnamese people pay a lot of respect to each other, including foreigners. If you intend to work for a company in Vietnam as an expat, your colleagues and partners will take into consideration your ideas and perspectives. One of the experience an expat could have when working with Vietnamese people is that they’re supportive, respectful and willing to listen.
As a foreigner working in Vietnam, you can bring an international perspective to the organization. If you face conflicts inside the organization – even personal conflicts – your ideas and point of view will be taken completely neutral, which means that you might not need to take any party to influence the decision process and help solve it in a healthy way. It is an added value and benefit that you will get from working as a foreigner in Vietnam.