Opportunities for Vietnamese Businesses to Expand Global Markets

He said Japan is one of the most important investment and trade partners of Vietnam and the second largest export market of the country after only the United States, with growing two-way trade turnover reaching over US$25 billion in 2013. Vietnam mainly exports apparels, woodworks, handicrafts, seafood, foodstuffs, mechanical machines, telephones, computers, cameras and vehicles to Japan. Vietnam earned US$8.5 billion from exports to Japan in the first seven months of 2014. Many exports brought in more than US$100 million to Vietnam, including seafood with US$620 million, coffee with US$113 million, woodworks with US$542 million, garments and textiles with US$1.41 billion, and footwear with US$297.8 million.

 

Mr Thanh said, compared with investors from other countries, Japanese-invested projects usually have large scales and the proportion of capital disbursed is very high. Particularly, Japanese investors strictly observe policies and laws on investment, thus creating better goodwill and good impression. Currently, the Japanese business community mainly invests in potential fields in Vietnam such as industrial processing, manufacturing, high-tech and supporting industries.

 

Mr Akira Nishiyama, Director of BSO Business Consulting Company of Japan, said Japan’s human resources are shrinking and labour shortage will continue to be seen in many industries. To deal with this difficulty, Japan tends to recruit human resources from other countries. In addition to manpower recruitment from other nations, Japan also increases imports and deploys overseas investments in labour-intensive industries which will be exported back to Japan to meet its demand. He said "This is a great opportunity for Vietnamese businesses. Furthermore, cooperation with Japanese companies will enable them to acquire know-how to do business in global markets, not only in the domestic market." He proved that, Japan deployed a Japanese garlic growing project in Vietnam in 2013 and expected to export garlic back to Japan in the next three years. Given its good climate and soil, Vietnam is chosen to grow other potential agricultural products by Japanese businesses.

 

While sharing the experience in doing business with Japanese companies, Akira Nishiyama said Japanese people have very deep impressions on the first meeting. They think that meetings, presentations and punctualities will build up the initial trust where may result in longer and stronger cooperation decisions. Therefore, Vietnamese companies should pay attention to the working manner, keep punctual and keep prestigious with Japanese partners.

 

Besides, Vietnamese companies should seek to contact with leaders of Japanese firms to discuss cooperation issues. This is a smart method to accelerate negotiations and contract signing. Besides, to have long-term cooperation with Japanese partners, Vietnamese companies should regularly propose feasible projects as well as do their utmost to improve relationships.