How to promote products that available in Thailand
in Vietnam market
------------------------------- Market situation:
1. Currently all the products: clothes such a Arrow, Guy Laroche, DAKS, Wacoal, St., Andrews; cosmetics such as BSC; consumer goods such as Mama instant noodle, PAO detergent, toothpaste such systema, etc…have been presented in Vietnam by one way or another. They could be imported by a number of trading companies from Vietnam by both official and unofficial channels.
Some products such as Wacoal accessories have been presented in Vietnam since 2 years ago and now developing a retailer system with a chain of retailing shops cross the country including 3 shops in HCMC, 2 shops in Hanoi and 01 shop in Hai Phong.
Some other products such as MAMA instant noodle are quite popular in both supermarket and retailed shops of the country. The market shows that demands for those kinds of goods are huge especially in the big cities such as HCM City, Can Tho, Danang, Hue, Hanoi, Hai Phong, Quang Ninh, etc…
2. For training services as mentioned in the request paper at the article 2, Vietnam currently does not have it.
There are a number of paths to access to and promote those kinds of products in Vietnam market, they could be:
1. Build up the practical distribution channels with some options;
a. Exclusive national distribution: Identifying and selecting a national distribution company to be the only licensed wholesaler in Vietnam;
b. Non- competing regional distribution: Identifying and selecting different distribution companies to be the only licensed wholesalers in each of the two primary local market in Ho Chi Minh City and Hanoi;
c. Nationally tiered distribution: Identifying and selecting a primary national distribution company to resell to secondary or regional wholesalers in Vietnam.
2. Set up representative office or company in Vietnam to do trade those products in the market with working partners.
- Thai Company can do registration with the Department of Industry and Trade (DOITs) of cities/provinces to set up the representative office or;
- Do registration with the Department of Planning and Investment of cities/provinces to set up a company business in Vietnam. This may take time but can be seen the advantages of long term business and being able to understand the market deeply and to catch up the market change/demand instantly to revise the production strategy at the mother country.
3. Invest in Vietnam (FDI) to produce products for the domestic demand or export to the third countries.
Thai company can think of investment to produce the products in Vietnam to take the advantages of local workforce, materials and transportation cost. The production can meet two things: provide for the domestic market and export to the third country.
This is the way that a lot of Japanese companies have been doing with Vietnam market.
(Please, see the attached documents for information of how to do registration to set up
representative office or company branch or FDI in Vietnam)