Professional Documents
Culture Documents
GROUP ASSIGNMENT
UNIVERSITY
“Analyze the Economic and Non-Economic
factor of Environment in VN”
How far the Environment is Supportive to foreign
Investors?
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“Analyze the Economic and Non-Economic factor of Environment in VN”
Table of Contents
I- Introduction
II- Objectives of the Paper
III- Methodology of the Paper
IV- Discussion of the Topic
1-Discuss about Economic Factor of Environment in Vietnam
1-A-Economic Growth
1-B-Exchange Rate
1-C-Inflation
1-D-Unemployment
1-E-Balance of Payment
2-Discuss about Non-Economic Factor of Environment in Vietnam
2-A-Political
2-B-Social Cultural
2-C-Legal
2-D-Technological
2-E-Geographical
3- Discuss about Challenge and Supportive Factor to Foreign Investors
3-A- Challenge to Foreign Investors
3-B- Supportive Factor to Foreign Investors
V- Conclusion and Recommendations
VI- References:
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I- Introduction
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“Analyze the Economic and Non-Economic factor of Environment in VN”
1-B-Exchange Rate
- Vietnam is a two-currency country.
- Both Vietnamese dong and US dollars are legal tender in
the country. But most of the places like market, hospital,
small restaurant,…. are preferred DONG rather than USD.
1-C-Inflation
- Inflation is a general and sustained increase
in prices.
- It is quoted as a percentage annual figure.
- Vietnamese inflation slowed for a second
month in May 2010, giving policy makers
room to spur growth by boosting credit and
encouraging market interest rates to fall.
- According to figures from the General Statistics
Office in Hanoi, consumer prices climbed 9.05%
in May from a year earlier.
- The inflation rate in April was 9.23 percent.
Prices rose 0.27 percent in May from the
previous month.
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“Analyze the Economic and Non-Economic factor of Environment in VN”
Inflation (Continued)
Year Inflation
2002 4.079
2003 3.303
2004 7.895
2005 8.394
2006 7.503
2007 8.349
2008 23.115
2009 7
1-D-Unemployment
-The rate of unemployment can have a major effect
on the economy.
-The more people who are out of work, the less money
that is circulated into the economy through the purchase
of goods and services.
-Vietnam becomes an export based developing country
once it joined ASEAN Free Trade Area (AFTA) in 2001.
-Exporting labor to wealthier parts of the world has long
been something in which Vietnam has lagged behind its
Asian neighbors, but the government hopes to change
that soon.
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“Analyze the Economic and Non-Economic factor of Environment in VN”
Unemployment (Continued)
Date of
Unemployment rate Rank
Year Information
2003 25.00 % 34 2002 est.
2004 6.10 % 135 2003 est.
2005 1.90 % 12 2004 est.
2006 2.40 % 21 2005 est.
2007 2.00 % 14 2006 est.
2008 4.30 % 53 2007 est.
2009 4.70 % 58 2008 est.
2010 6.50 % 61 April 2009 est.
Remark:
6.5% (April 2009 est.)
- country comparison to the world: 61
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“Analyze the Economic and Non-Economic factor of Environment in VN”
1-E-Balance of Payment
- 2010 Socio-Economic Report recently announced by
Ministry of Planning and Investment, Vietnam balance
of payment in 2010 may run a deficit of $4 billion.
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“Analyze the Economic and Non-Economic factor of Environment in VN”
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2010 17.525 14.014 * From Jan to Mar
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“Analyze the Economic and Non-Economic factor of Environment in VN”
2-A-Political In VN
-Form of Government:The Communist state.
-Legal system: based on communist legal theory and French
civil law system
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-Role of government:
Planning is a key characteristic of centralized, economic
development guidelines for all its regions.
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-Social groups
• Changes in lifestyle for different social groups
• Subject to ruler
• Son to father
• Wife to husband
• Younger brother to elder brother
• Mutual respect between friends
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“Analyze the Economic and Non-Economic factor of Environment in VN”
Infrastructure Projects:
Increasing capacity and efficiency of currently 16
operational and 9 new airports.
Expanding the number of deep sea ports.
Up-grading highways
Improving internet-access, telephone and mobile
phone availability and reduce cost.
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“Analyze the Economic and Non-Economic factor of Environment in VN”
VI- References:
A-Books:
1- International Business Environment (Handouts) - Dr. T. R. Dash, BBU, August, 2010
2- International Business: The Challenge of Global Competition- Donald A. Ball, Wendell, Paul, J. Michael and
Michael S. Minor, McGraw-Hill/Irwin, New York, 2004
3-Vietnam's economic development: Opportunities and challenges towards the integration tendency Prof.,Dr.
Nguyen Thi Ngoc Huyen and Prof.,Dr. Bui Anh Tuan, National Economics University, Hanoi, Vietnam
B-Websites:
1- Investment and Trade Promotion Center,
http://www.itpc.gov.vn/investors/news/2010/10/2010-10-28.342326/MISNews_view/?set_language=en
2- MUTRAP, http://www.mutrap.org.vn/en/Lists/Posts/Post.aspx?List
=04b7f557-7dc2-4103-91f3-a38d33dc893d&ID=178
3- VOANEWS.VN,
http://english.vovnews.vn/Home/Vietnam-an-attractive-destination-for-foreign-investors/20063/36897.vov
4- Service Industry Promotion Center, http://www.taiwanbiztour.com/global/Content.aspx?id=36
5-The World Bank,
http://web.worldbank.org/WBSITE/EXTERNAL/COUNTRIES/EASTASIAPACIFICEXT/VIETNAMEXTN/0,,menuPK:387
575~pagePK:141132~piPK:141107~theSitePK:387565,00.html#challenges
6- http://www.haivenu-vietnam.com/vietnam-culture-attitudes.htm
7- http://www.indexmundi.com/vietnam/unemployment_rate.html
8- http://www.indexmundi.com/vietnam/inflation_rate_(consumer_prices).html
9-http://www.businessweek.com/news/2010-08-31/vietnam-s-2010-economic-growth
10-http://web.worldbank.org/
11-http://www.vietnewsonline.vn/News/Business/6242/Vietnam-sees-2010-GDP-growth-at-65-7.htm
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