Vietnam Pros And Cons

1297 Words6 Pages
Vietnam is known for focusing on manufacturing industries as the country is labor abundant and firms are able to hire labor at a lower cost which reduces their cost of production. Over the recent years, the textiles and garments industry and also the electrical and electronics industry in Vietnam have gone through a rapid growth. These two industries are considered Vietnam’s key industries as textiles and garments make up 14% of its total exports, and electrical and electronics make up 19% of total shipment (Tot, 2014).
The electrical and electronics sector in Vietnam has the highest export performance among all the other products and sectors with an annual average export growth rate of 65% throughout the period of 2008-2012. Vietnam’s electrical
…show more content…
In 2009, Samsung opened its first manufacturing plant in Vietnam worth US$700 million where it produced 1.5 million units a month (Hung, 2009). The plant has since then grown to be worth US$2.5 billion. In July 2009, Samsung opened another plant worth US$1 billion and subsequently invested another US$3 billion in 2014 to expand an existing US$2 billion manufacturing plant to further improve its mobile manufacturing business (Cheng,…show more content…
It will do wonders for the country’s political relationships with partnering countries and also improve the country’s economy greatly. However, the possible pollution from dyeing and finishing firms can greatly affect the health of the citizens as well as the environment if it is not monitored properly. Foreign companies also have the ability to sue the Vietnamese government if their policies affect the profit they make. In my opinion, the pros outweigh the cons. Therefore, I recommend that Vietnam adopt the TPPA as it will boost their economy and provide opportunities for them which will not be possible without the
Open Document