Japan Raises the Bar for Vietnam

Vietnam is in Japan’s sights for future business opportunities. But, according to some top Japanese business leaders Vietnam is not responding quick enough or well enough.

Canon Vietnam general director, Kageyama Sachio, says that Japanese companies are not satisified and are still waiting for the Vietnam goverment to give proper assurances and more transparent policies with regard to:

1. taxes

2. employment

3. import-export

Yep, that’s about it. If I didn’t know how much taxes I had to pay, who was going to work for me and how much I had to pay, and I didn’t konow what and how much tariffs would be, I wouldn’t want to do business either.

There is a Vietnam-Japanese Joint Initiative to Improve Business Environment. The second phase will be operational next year. The aim:

1. Improve Vietnam’s weak infrastructure

2. Clarify customs procedures.

3. Address Intellectual property rights

4. Support industries

5. Meet the needs of under-skilled human resources.

If Vietnam does NOT address these matters sufficiently, Japanese investors are likely to turn elsewhere – Thailand and China.

Vietnam has a very good opportunity to do business with Japan. But, Vietnam needs to get on the stick to meet Japan’s high standards or they are likely to find themselves left further behind.

What do you think?