On December 18, 2017, The Gioi Di Dong (Mobile World), a big mobile phone distribution chain, opened its first drugstore called An Khang, officially setting foot in the US$5 billion market. The Gioi Di Dong has taken over Phuc An Khang distribution chain. Though The Gioi Di Dong has big influence with powerful financial capability, it is just a ‘newcomer’ in the drug distribution market. Nguyen Duc Tai said that The Gioi Di Dong is now just an ‘apprentice’ in the field and has to be cautious with every step in the specific market. However, he stated that The Gioi Di Dong will open 50-100 drug stores in 2018. Tai is optimistic about his decision because he believes the risk is low. “The scale of drugstores is small compared with The Gioi Di Dong’s capability. Even if we fail, this won’t affect our general business,” Tai said. Besides The Gioi Di Dong, FPT Retail, also a big hi-tech product distributor, has jumped into the … [Read more...] about Drug retail market expands with new players
Retail marketers
Mounting pressure on competitive retail market
NDO – Considered one of the world’s 30 most attractive retail markets, the Vietnamese retail market has constantly drawn foreign investors in recent times. Alongside their superiority in terms of finance and supply sources, foreign retailers have applied diverse business strategies, together with modern and professional administration methods. In that context, it is a must for Vietnamese enterprises to deploy reasonable development measures and strategies in order to avoid losing on home territory. Pressure from foreign opponents The recent launching of the first 7-Eleven store, the US-based world largest convenience store chain, in Ho Chi Minh City has drawn attention from many consumers. In addition to essential products, 7-Eleven Vietnam is introducing branded products to Vietnamese consumers. The store also offers office lunches with more than 20 versatile dishes, changing every day, in line with the local culinary culture. Particularly, 7-Eleven … [Read more...] about Mounting pressure on competitive retail market
Vietnam back to list of top ten retail markets
Vietnam back to list of top ten retail marketsQuoc Hung HCMC – Vietnam has jumped five spots to sixth place in the Global Retail Development Index (GRDI) released on June 5 by American consulting firm A.T. Kearney. According to the GRDI results this year, Vietnam came behind such large markets as India, China, Malaysia, Turkey and the United Arab Emirates but overtook some strong competitors in the region such as Indonesia, Thailand and the Philippines. The results showed the Vietnamese market has regained its growth momentum. Vietnam fell off the top 30 retail markets in the world in 2012 while it topped the list in 2008, and ranked sixth in 2009, fourteenth in 2010 and twenty-third in 2011. Vietnam’s higher ranking this year is supposed to be driven by liberalized investment laws that have helped boost the country’s attractiveness to foreign retailers. In particular, the Government has allowed 100% ownership by foreign retailers, and favorable policies continue to … [Read more...] about Vietnam back to list of top ten retail markets
Bản in : Vietnam seen among Asia’s top 5 retail markets
Hanoi (VNA) – Final consumption expenditure (percent of GDP) in Vietnam was estimated at 70 percent last year by the World Bank with household consumption accounting for 90 percent, making the country among Asia’s top 5 retail markets. The information was heard at the 2015 Vietnam Retail Forum in Hanoi on December 9. The country’s middle class, the most promising consumers of retailers, is forecast to triple by 2020. Speaking at the forum, Duong Duy Hung, deputy head of the Department of Domestic Market under the Ministry of Industry and Trade, said Vietnam has opened its door to dozens of multinational retail groups since the country joined the World Trade Organisation (WTO) five years ago. Domestic retailers, despite previous concern over their passive acts amid fierce competition, has tailored themselves to the new context and gradually improved their competitiveness, he noted. He warned that huge investment waves from foreign firms are posing numerous … [Read more...] about Bản in : Vietnam seen among Asia’s top 5 retail markets
Vietnam not prepared for retail market expansion
VietNamNet Bridge - Vietnam has opened its retail market widely to foreign investors under WTO commitments and FTAs. It should not try to restrict foreign retailers’ expansion, but instead support Vietnamese retailers by creating a level playing field, experts have said. Since January 1, 2008, theyhave been able to set up joint ventures in which the capital contribution ratio is up to 99.99 percent. And since January 1, 2009, they can set up 100 percent foreign owned retail chains.Under WTO, after January 11, 2007, foreign investors can begin distribution activities if they set up joint ventures with Vietnamese partners (foreign capital contribution ratio must not be higher than 49 percent). As such, within two years, Vietnam opened its retail market, almost half of the time it is needed to open other markets such as delivery, stock and transport services. Vietnam also set up barriers to protect its retailers. It prohibits foreign investors distribute nine products and … [Read more...] about Vietnam not prepared for retail market expansion