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Vietnam Retail Analysis (2008-2012)

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Fast pace growth in Vietnams retail market has made the country an attractive destination for multinational retailers. Vietnam holds 4th position among 30 countries attracting foreign investors. As per the WTO agreement, the government has removed limitation on capital invested by the foreign investors. With the economic growth of around 6.4 in 2010 as per the government target, changes in the countrys regulatory structure favoring foreign investors and increasing consumer attention towards modern retail concepts, the retail sales are expected to surge at a CAGR of around 20 during 2010-2012, says our new research report Vietnam Retail Analysis (2008-2012).

Vietnam Retail Analysis (2008-2012)

The retail market in Vietnam is much smaller than other developing economies in Asia, but it has shown strong fundamentals and buoyant expansion in comparison of its neighbors like India and China. The value of retail sales in Vietnam has rapidly risen over the past few years. It is expected that retail sales will reach nearly US$ 78 Billion in 2010 from around US$ 65 Billion in 2009 on account of rising consumer expenditure and changing market dynamics.

We expect that the retail market in Vietnam will continue to grow at fast rate despite the poor infrastructure in different province. Government support and favorable consumer confidence will result in positive outlook for retailers. Traditional retail channels will continue to dominate the market, but the government decision to allow 100 entry to foreign retailers under the WTO commitment will lead modern retail to realize unrealistic growth. The share of modern retailing in 2009 reached 26 against 23 in 2008.

With such strong fundamentals, we anticipate the retail industry revenue will surpass US$ 113 Billion by 2012. Modern retail channels are expected to play a crucial role in the future growth, improving their position in the market. We also expect a short wave of consolidation in the next few years as foreign retailers will try to consolidate their position and deepen their market penetration.

Our research report will help consultants, industry analysts and vendors to get an in-depth knowledge of the current, past and future performance of the retail market. The future outlook given in the report is derived by interacting with various industry veterans, developers, analyzing information from research papers, journals and our industry-specific in-house developed models

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