Franchising forecast to be popular for business development in Viet Nam (15/01)
06/08/2010 - 206 Lượt xem
Following Trung Nguyen, various businesses in
the country have also pursued this strategy with success. Experts forecast that
with an estimated annual growth of 15-20 percent over recent years, franchising
would be a fast-growing form of business in Viet Nam
As almost all Vietnamese enterprises are not strong enough to expand their outlets abroad, franchising is considered to be an appropriate way to help them compete with foreign businesses in the domestic market and indirectly penetrate into larger markets at lowest costs while being able to protect trademarks, experts said.
"Franchising has helped Trung Nguyen trademark be popular not only in the country but also in theUS Russia Japan China Cambodia Singapore Thailand China Japan Russia
Kinh Do and Pho 24 are also well-known trademarks engaging in franchising.
Pho 24 had, by the end of 2006, developed 46 pho ( rice noodle) restaurants throughout the country as well as inIndonesia Philippines Australia Republic of Korea Japan
Kinh Do, a confectionary and bakery, now boasts a network of 150 distributors and 30,000 retailed stores throughout the country.
Owner of a chain of Carings home electric appliance supermarkets, the Ben Thanh Trade and Marketing Co. Ltd., recently signed a contract to franchise the Best Denki group ofJapan Ho Chi Minh
City Da Nang
Trade expert predicted that in the future, franchising will develop not only in the area of culinary service but also in fashion and artcraft trading and particularly, in healthcare and education.
However, they warned of various risks facing enterprises engaging in this form of business, citing dispute, particularly revenue dispute, and the fact that franchisers may have their prestige reduced if franchises do not observe committed regulations.
According to Truong Quang HoaiNam
"This is the right time to enact a specific law on this form of business,"Nam 
As almost all Vietnamese enterprises are not strong enough to expand their outlets abroad, franchising is considered to be an appropriate way to help them compete with foreign businesses in the domestic market and indirectly penetrate into larger markets at lowest costs while being able to protect trademarks, experts said.
"Franchising has helped Trung Nguyen trademark be popular not only in the country but also in the
Kinh Do and Pho 24 are also well-known trademarks engaging in franchising.
Pho 24 had, by the end of 2006, developed 46 pho ( rice noodle) restaurants throughout the country as well as in
Kinh Do, a confectionary and bakery, now boasts a network of 150 distributors and 30,000 retailed stores throughout the country.
Owner of a chain of Carings home electric appliance supermarkets, the Ben Thanh Trade and Marketing Co. Ltd., recently signed a contract to franchise the Best Denki group of
Trade expert predicted that in the future, franchising will develop not only in the area of culinary service but also in fashion and artcraft trading and particularly, in healthcare and education.
However, they warned of various risks facing enterprises engaging in this form of business, citing dispute, particularly revenue dispute, and the fact that franchisers may have their prestige reduced if franchises do not observe committed regulations.
According to Truong Quang Hoai
"This is the right time to enact a specific law on this form of business,"
