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Is Vietnam Asia's next superstar?
Posted:?Jan 6, 2008 5:30 AM

Intel Corp. is partly responsible for Vietnam's meteoric rise in investors' hot list. Ever since the...[ View complete article ]


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Is Vietnam Asia's next superstar?

Posted:? Jan 6, 2008 5:30 AM
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Author:Barbidoll

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Intel Corp. is partly responsible for Vietnam's meteoric rise in investors' hot list. Ever since the chipmaker announced two years back that it would allocate $300 million (which later increased to $1 billion) for the establishment of an assembly and test facility in the country, Vietnam has been making the headlines all throughout 2007.
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(1) Reply:Is Vietnam Asia's next superstar? Posted:? Jan 6, 2008 5:30 AM
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Author:Barbidoll

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Yes, I believe it is. Some of the problems mentioned seem to be easily rectified. I think the 2008 Global Momentum for countries like China, India and now Vietnam looks very promising.
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(2)

Reply:Is Vietnam Asia's next superstar?

Posted:? Jan 8, 2008 11:52 PM
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Author:VN

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Useful information
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(3) Reply:Is Vietnam Asia's next superstar? Posted:? Feb 15, 2008 6:30 PM
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Author:REDWING

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Let's say the third candidate after 'Chindia'. The fourth one could be Thailand (source: Gartner).
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(4) Reply:Is Vietnam Asia's next superstar? Posted:? Mar 24, 2008 7:41 PM
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Author:Sonnyboy

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Fast inflation coming up in vietnam due to mega hype done by intel and who suffer? those poor low income vietnam people ....
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(5) Reply:Is Vietnam Asia's next superstar? Posted:? Apr 16, 2008 5:54 PM
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Author:sanchu

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China and India are the major players in asia in this industry, this is because of the some very good universities in these two countries like IITs. Also in US universities most of the international students are from these two countries and this number is rising every year. So big companies no doubt know that world class intellectuals in software as well as chip design field can be found in India and China. India takes an upper edge as english speaking is very common here. Last but not the least the population in these two countries make them the most attractive destination for doing business as market is only of people. It will take long time for some other Asian country to be in competition with India and China or either be a fancy place for investment and business.
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(6) Reply:Is Vietnam Asia's next superstar? Posted:? Apr 16, 2008 7:08 PM
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Author:jeffy0

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sanchu gave very good comment ... lots lots .. super lots of India and Chinese are doing Research in US universities ... It's a long journey for Vietnam ...
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(7) Reply:Is Vietnam Asia's next superstar? Posted:? Apr 17, 2008 0:53 AM
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Author:BruceLee

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Awesome! There is something to learn here! It's good to see VietNam is open up to be pro-business. It's been proven that the "Invisible Hand" (Adam Smith) will work best.
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EETimes Asia : China: new fab hub of Asia?
(8) Is Vietnam Asia's next superstar? Posted:? May 3, 2008 2:25 PM
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Author:Sridevi

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Vietnam is sure the next rising tiger. Intel's plan for setting up an assembly and testing plant in Vietnam has give the country a image boost. This success has not arrived overnight, but rather it is a combination of factors such has growing talented workpool, pro-business environment, and sincere efforts by the government to make Vietnam an attractrive investment destination. Nobody expects Vietnam to compete with China in terms of production volumes etc. Vietnam has arrived late but has joined the other SEA countries in strengthening Asia's position in the semiconductor industry. Vietnam has sure as the ability to scale heights, and there is possibility that it will give tough competition to other SEA countries.
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(9) Reply:Is Vietnam Asia's next superstar? Posted:? May 16, 2008 8:35 AM
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Author:Maynard Delfin

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Certainly, it is a good thing to know that Vietnam is joining the bandwagon as the next leading source of electronics. This is a good sign that Vietnam is taking all possibilities of creating its own name in the industry. In time, the country will be a major supplier of electronic products to its neigboring countries.  
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(10) Reply:Is Vietnam Asia's next superstar? Posted:? May 19, 2008 12:58 PM
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Author:CrabTree

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It will be a star... but I doubt it would ever reach the stature of China and India, let alone Japan and Korea.It would take a lot to outshine these reigning giants.
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(11) What Vietnam offer and what obstacle you have to overcome Posted:? Jun 1, 2008 7:45 PM
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Author:huynhquochung

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Offers:
1) Ask anyone about the country's greatest strength and the answer is almost always the same -- its people.
"Vietnamese engineers are excellent, and very suited to creative tasks," agrees Tsuneo Sato, the outgoing president and CEO of Renesas Design Vietnam, which was one of the first major arrivals to the country when it opened its doors in 2004. "They may not have much experience in design or the semiconductor industry, but they study and learn a lot faster than engineers in other locations."
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=1
The other thing universally mentioned is tenacity. Manufacturers are deeply impressed with the diligence of the average Vietnamese employee. "After I hired several engineers and managers, they read through the equipment manuals," Craft said. "By the time the equipment arrived, they knew all about it. I can't say enough about the work ethic."
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=175700160
The Vietnamese have put the war behind them and see education and hard work as the path to victory. By some accounts, 700,000 people in Ho Chi Minh City are going to some type of night school, whether vocational, English or business.
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=175700160

2) Vietnam offers advantages that seem to be slipping away from China. Take wages.
A skilled employee in China earns two to three times more than his Vietnamese counterpart. Any further revaluation of China's yuan currency, considered likely, would only widen that gap.
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=175700160
Vietnam also has little turnover compared to China’s 25 percent annual turnover rate in electronics hotbeds such as Suzhou. Skilled-labor wages are increasing, although still attractive. An engineering graduate typically earns $300 per month, Tran says.
http://www.edn.com/index.asp?layout=article&articleid=CA6400925

3) Add to this, a government that Sato says is "aggressively" looking to groom the hi-tech industry -- authorities recently unveiled a plan to more than double annual electronics exports to at least $3 billion by 2010 -- and it's no surprise multinationals find Vietnam a welcoming environment.
SHTP, for example, offers investors such goodies as a four-year income tax holiday, import duty exemptions and fast-track visa, investment application and customs services. And many note those moving into the country are likely to get a warmer reception than they would in more crowded destinations.
"In China you have to be an Intel to get attention, whereas in Vietnam you can be a small guy and still get the government's support," says Fred Burke, managing partner at law firm Baker & Mackenzie's Vietnam practice.
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=1
Companies set up in Vietnam's industrial parks have advantages. The government has opened problem-solving channels between officials and manufacturers. Most industrial parks have on-call fixers, people who keep the supply chain oiled.
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=175700160
On a larger scale, Vietnam's political stability has been a primary attraction, particularly with Japan.
http://www.eetimes.com/news/semi/showArticle.jhtml?articleID=175700160
Ito adds that having a Vietnam operation is also seen as a way to spread risk.
“People went into China very aggressively and are starting to feel the need for some kind of risk management,” he says.
http://www.edn.com/index.asp?layout=article&articleid=CA6400925

Obtacles:
1) So far the main challenge is also workforce-related.
“We can get enough engineers, but they are not trained to the level we require,” Tran says.
Therefore, a large part of Renesas’ budget involves training, and the company has established links with universities to better prepare engineering graduates.
http://www.edn.com/index.asp?layout=article&articleid=CA6400925
"There's a lot more competition in this industry now, so in that sense it's become a bit difficult to hire more good engineers ... sooner or later the costs are going to start increasing," says Sato, who is trying to source around 500 staff over the next two years for a new design facility.
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2

Others say it has become even harder to fill senior positions.
"At the basic engineer level there's a really good pool of talent because Vietnam has a lot of educated people who are strong in math and science," Burke says. "The real shortage is as you get up to the project management level."
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2
2) Legal professionals also see some aspects of Vietnamese law as problematic, especially if the government hopes to develop the domestic technology industry.
Burke says while new technology transfer legislation will make it easier for foreign firms to disseminate solutions or knowledge to local partners, local copyright law leaves the door open for inventors or developers to stake claims to work produced under contract.
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2
3) Vietnam also shares some of the weaknesses common to other developing Asian nations.
"Infrastructure, especially in communications, is poor," Sato sighs. "Broadband is still very slow, so when we try to send a lot of data to Japan, everything gets stuck."
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2

Rick Howarth, general manager of Intel Products Vietnam, says corruption remains a "looming cloud" over the country, and that its bureaucracy could prove trying for smaller investors.
"It's easier for us -- we've had the red carpet," he says. "The followers, the smaller customers, will have more difficulty than we do. But coming in understanding that there are going to be difficulties, and if you have the right level of patience, it can work, you can get things through the system."
http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2

Look ahead:
Officials insist they are not ignoring the obstacles that could dog the electronics sector in the years ahead.

"Of course in the years ahead there will be some constraints, but in places like the educational system the country is already making efforts to improve itself," says SHTP's Mai. "There's still time for us to develop."

After all, he says, Vietnam has built an industry from scratch before. "It's the same as with software five years ago, there was nothing here, and no one could imagine that Vietnam would be a place where you could get (development) done," he says. "But nowadays more and more people come to do just that."

http://www.eetimes.com/showArticle.jhtml?articleID=201807202&pgno=2

huynhquochung edited at Jun 1, 2008 7:45 PM
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(12) Reply: Is Vietnam Asia's next superstar? Posted:? Sep 21, 2009 9:31 AM
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(13) Reply: Is Vietnam Asia's next superstar? Posted:? Apr 24, 2010 10:41 PM
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Author:Visitor 1768

Dream on guys....not in my life time....
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(14) Reply: Is Vietnam Asia's next superstar? Posted:? Jan 6, 2015 7:39 PM
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Nice blog .australian open 2015 live
lucky goud edited at Jan 6, 2015 7:39 PM
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