Respuesta :
Answer: Asian emerging economies are growing two to three times faster than developed
economies—and Vietnam is one of the region’s great success stories. The country’s political
stability, recent economic transformation, and growing middle class create an attractive
business environment. The buoyant retail sector reflects these strong fundamentals and
offers exciting growth opportunities for both regional and global companies.
This report shines a spotlight on the retail opportunity in Vietnam, first by taking a broader
view of the country’s macroeconomic outlook and then by examining key growth trends in the
retail market itself. Finally, the report offers insight into how companies can translate the retail
opportunity into profitable, sustainable enterprises.
Vietnam’s promising macroeconomic outlook
Vietnam is a strong contender for business investment when considered alongside other
major Southeast Asian economies such as Indonesia, Malaysia, the Philippines, and Thailand.
Vietnam outperforms many of these economies on key macroeconomic indicators. It ranks
second highest for forecast GDP growth, with a 6.5 percent compound annual growth rate
(CAGR) per year, and has the fastest middle-class growth, forecast at 9.2 percent CAGR up
to 2023. Vietnam’s private consumption rate of 68 percent of GDP is the second highest
in the region. Although Vietnam ranks last among these Southeast Asian economies on
urbanization, there is considerable future growth potential.
In terms of business fundamentals, Vietnam outperforms comparable Southeast Asian
economies, ranking highest in the region in three out of the four indicators measured. It leads
the region in foreign direct investment (FDI) as a percentage of GDP, at 6.3 percent, and it
is ranked highest for political stability and second for logistics competence. Out of the five
countries, Vietnam ranks third on the World Bank’s Ease of Doing Business index.
Finally, the rise in foreign direct investment (FDI) into Vietnam is a further indicator of the
country’s attractiveness to business. FDI has grown significantly over the past decade and
exceeded $19 billion in 2018. 1
Vietnam’s fast-growing retail market
Vietnam’s retail sector is the fastest growing in Southeast Asia and is poised for rapid
modernization. The overall retail market is currently worth $108 billion in annual revenues, a
figure that is forecast to increase at a 7.3 percent CAGR over the next five years. Groceries
and consumer electronics are the largest segments of the retail market, at 44 percent and 17
percent, respectively.2
In consumer electronics, leading players have already driven rapid modernization of the
segment. However, in the larger grocery segment, Vietnam’s modern trade penetration,
at 8 percent in 2018, is low compared with that of other Southeast Asian countries.3
This
is expected to increase to 26 percent by 2025, as the groceries market is on the verge of
significant modernization. If it follows the S-curve of comparable Southeast Asian countries,
the modern groceries market is expected to grow from the current $4 billion to $20 billion by
2025. Let me know if this helped! Mark me brainliest if it helped a lot!
