Business in Vietnam is becoming increasingly popular as it provides numerous advantages for companies that want to expand into an emerging economy. The country offers a growing and a wealthy consumer base and low-cost labor, an open useful info for startuppers in Vietnam culture to entrepreneurs and investors from abroad, and an established government.
It’s not difficult to establish a business in Vietnam, there are many aspects to take into consideration before making the decision. These factors include the country’s regulations and laws governing corporations and the various tax incentives available to businesses and the cost structure for doing business in Vietnam.
Businesses looking to establish an operation in Vietnam should be aware of Vietnam’s distinct cultural norms. For instance the country has an extremely strong emphasis on building relationships and connections, which may be accomplished through social events such as dinners. When meeting with potential partners and clients, it’s important that companies keep this in mind in order to create relationships which will result in future opportunities.
There are several different ways to conduct business in Vietnam such as the fully owned foreign company (FIE) or joint venture partnership or representative office. In general, setting up a FIE can take anywhere from 3 to 4 months while an office representative can be established within a fraction of the time. Each kind of business has its particular advantages and drawbacks. It is important to understand the distinctions before deciding which is the best choice for your business.
