On December 18, 2017, The Gioi Di Dong (Mobile World), a big mobile phone distribution chain, opened its first drugstore called An Khang, officially setting foot in the US$5 billion market. The Gioi Di Dong has taken over Phuc An Khang distribution chain. Though The Gioi Di Dong has big influence with powerful financial capability, it is just a ‘newcomer’ in the drug distribution market. Nguyen Duc Tai said that The Gioi Di Dong is now just an ‘apprentice’ in the field and has to be cautious with every step in the specific market. However, he stated that The Gioi Di Dong will open 50-100 drug stores in 2018. Tai is optimistic about his decision because he believes the risk is low. “The scale of drugstores is small compared with The Gioi Di Dong’s capability. Even if we fail, this won’t affect our general business,” Tai said. Besides The Gioi Di Dong, FPT Retail, also a big hi-tech product distributor, has jumped into the drug market. The company invested in Long Chau drugstore chain and began doing business in early 2018. In mid-August 2017, Digiworld, a digital product distributor, joined forces with Vinamedic to distribute functional food. IBM, a market survey firm, predicted that the Vietnamese drug retail market was worth US$4.7 billion in 2017. The figure is expected to reach US$7.7 billion by 2021 and US$16.1 billion by 2026, which means 11% growth rate annually. Also according to IBM, Vietnamese spending on drugs will rise from US$56 per head… [Read full story]
India's government announced on Thursday it was throwing open the nation's huge retail sector to global supermarket chains in a reform that could herald a consumer revolution. The cabinet approved a plan to allow international firms to hold a 51 percent stake in multi-brand retailers, a government official told AFP, in one of the Indian government's boldest economic reforms. It also raised the foreign investment cap to 100 percent from 51 percent at present for single brand retail operations such as Gucci, Nokia or Reebok, the government official said, speaking on condition of anonymity. This "can be a game changer"…... [read more]
Experts say the domestic distribution market will receive more big foreign retailers. Meanwhile, the existing distribution chains in Vietnam also plan to expand their investment scale. Thoi bao Kinh te Saigon has quoted its source from the HCM City Planning and Investment Department as saying, that the Japanese leading retail group – Aeon – has applied for investment license in the distribution sector in HCM City. The retailer with more than 180 subsidiaries plans to invest more than 100 million dollars to build a trade center that serves its business in Tan Phu district. Aeon is believed to be a…... [read more]
Manh Tung A view of office and retail buildings in HCMC’s central business district. Property service provider CBRE said the AEC will help boost development of the office and retail market in the region in general and Vietnam in particular - PHOTO: QUANG DUC CBRE projected that industrial space and office supply and demand would increase in most ASEAN markets in the short and medium terms given the establishment of more small and medium-sized enterprises and the presence of more multinational firms. The growing industrial real estate market will also boost office supply as multinational companies will join the market.…... [read more]
Vietnam has been ranked sixth among the world's most attractive retail markets and named in the top 30 most lucrative retail markets this year, said Hoang Anh Tuan, deputy head of the Ministry of Industry and Trade (MoIT)'s Domestic Market Department. Tuan made the remarks at the Vietnam Retail Forum 2017 which was held by the Association of Vietnam Retailers (AVR) in Hanoi on December 12. Tuan said that according to the Global Retail Development Index (GRDI), released by the US-based A.T. Kearney in June this year, Vietnam's retail market has increased significantly in recent years and attracted a large…... [read more]
NDO – Considered one of the world’s 30 most attractive retail markets, the Vietnamese retail market has constantly drawn foreign investors in recent times. Alongside their superiority in terms of finance and supply sources, foreign retailers have applied diverse business strategies, together with modern and professional administration methods. In that context, it is a must for Vietnamese enterprises to deploy reasonable development measures and strategies in order to avoid losing on home territory.
Pressure from foreign opponents
The recent launching of the first 7-Eleven store, the US-based world largest convenience store chain, in Ho Chi Minh City has drawn…... [read more]
