"Year 2014 is the time for Vietnam to fully open up the retailmarket, and accordingly, commercial franchises will bloom in Vietnam,"said Vo Tan Thanh, Director of Ho Chi Minh City Branch of VietnamChamber of Commerce and Industry (VCCI- HCM).
Thanh made theremarks at "Exchange and Share Experience about Franchising betweenVietnam and Thailand" meeting co-organised by the VCCI-HCM and KenanInstitute Asia (Thailand) in HCM City.
The Vietnam Business ForumMagazine (VBF) quoted Thanh as saying that franchise has beenbecoming a general trend, an optimal choice and business opportunitiesfor businesses as well as individuals who want to apply forms offranchising in Vietnam – a broad market of 90 million people.
Economiccrisis have been affecting most businesses and Vietnam. The tougheconomic period creates favourable conditions for franchise development.Economic recession slows down the stock and real estate markets; as aresult, enterprises and individuals seek safer investment such as thefranchising model. The fact that 90 percent of franchise businesses in110 countries gain much profit even in times of economic fluctuationexpressed the efficiency of this potential investment model.
Accordingto statistics from the Ministry of Industry and Trade, as of April,2014, Vietnam, in particular, has had over 120 international brandsobtaining franchise registration; in which the average annual growthrate is over 30 percent with annual sales of over 30 million USD.
Thepresence of foreign brands not only creates opportunities for domesticconsumers to access to high quality goods and services, but also createscompetitive pressures pushing domestic enterprises to constantlyinnovate to effectively meet increasing needs and requirements ofconsumers.
Sompong Nopsuvan, from the Thai Ministry of BusinessDevelopment Department, Thai Ministry of Commerce, said cooperation onfranchises between Vietnam and Thailand still holds high potential. MostThai business delegations to Ho Chi Minh City this time are famousfranchise brands operating in the field of food and beverage,healthcare, education and training, services and restaurants. Apart frommeeting and directly exchanging with Vietnamese investors, Thaienterprises hope to gather more information about the Vietnamese marketand partners, share experiences, advice and cooperate in the field offranchise.
At the meeting, trade experts from Vietnam andThailand have shared valuable experience in franchising for businesses.Wiwat Chutiwanichayakul, Senior Consultant in Business & EconomicsDevelopment Programme, Kenan Institute Asia assessed: "With these uniqueadvantages, and high safety, more and more Vietnamese enterprisesactively take advantage of franchises to leverage market development andenhance the added value of goods, bring economic benefits toenterprises. And this is also the direction of the majority ofenterprises in the context of global economic fluctuation".-VNA
Thanh made theremarks at "Exchange and Share Experience about Franchising betweenVietnam and Thailand" meeting co-organised by the VCCI-HCM and KenanInstitute Asia (Thailand) in HCM City.
The Vietnam Business ForumMagazine (VBF) quoted Thanh as saying that franchise has beenbecoming a general trend, an optimal choice and business opportunitiesfor businesses as well as individuals who want to apply forms offranchising in Vietnam – a broad market of 90 million people.
Economiccrisis have been affecting most businesses and Vietnam. The tougheconomic period creates favourable conditions for franchise development.Economic recession slows down the stock and real estate markets; as aresult, enterprises and individuals seek safer investment such as thefranchising model. The fact that 90 percent of franchise businesses in110 countries gain much profit even in times of economic fluctuationexpressed the efficiency of this potential investment model.
Accordingto statistics from the Ministry of Industry and Trade, as of April,2014, Vietnam, in particular, has had over 120 international brandsobtaining franchise registration; in which the average annual growthrate is over 30 percent with annual sales of over 30 million USD.
Thepresence of foreign brands not only creates opportunities for domesticconsumers to access to high quality goods and services, but also createscompetitive pressures pushing domestic enterprises to constantlyinnovate to effectively meet increasing needs and requirements ofconsumers.
Sompong Nopsuvan, from the Thai Ministry of BusinessDevelopment Department, Thai Ministry of Commerce, said cooperation onfranchises between Vietnam and Thailand still holds high potential. MostThai business delegations to Ho Chi Minh City this time are famousfranchise brands operating in the field of food and beverage,healthcare, education and training, services and restaurants. Apart frommeeting and directly exchanging with Vietnamese investors, Thaienterprises hope to gather more information about the Vietnamese marketand partners, share experiences, advice and cooperate in the field offranchise.
At the meeting, trade experts from Vietnam andThailand have shared valuable experience in franchising for businesses.Wiwat Chutiwanichayakul, Senior Consultant in Business & EconomicsDevelopment Programme, Kenan Institute Asia assessed: "With these uniqueadvantages, and high safety, more and more Vietnamese enterprisesactively take advantage of franchises to leverage market development andenhance the added value of goods, bring economic benefits toenterprises. And this is also the direction of the majority ofenterprises in the context of global economic fluctuation".-VNA
