The reason why brand of Vietnam is the most valuable in the world

  • NEWS
  • 08-01-2021

(PLO) - Vietnam is emerging to be a new country of production in Asean and is has the strongest increase in national brand in the world this year

In 2020, COVID 19 pandemic  has cast a shadow in the globe, created an unprecedented crisis leading to economic, financial and social challenges. In spite of these challenges, Vietnam is positioned to be as one of the 100 most valuable brands in the world.

Being good at anti-epidemic COVID-19

Recently, Brand Finance ( UK), a firn specializing in international brand valuation, said that in 2020, the valuable brand of Vietnam reached USD 319 billion, an increase of 29% compared to 2019 - the fastest increase in the world.  As a result, Vietnam’s brand value has increased nice places over the same period and reached 33rd in the world.

The value of  Vietnamese brands has increased strongly  thanks to the effectively prevention of COVID-19 epidemic. In particular, Vietnam has emerged as the leading destination on Southeast Asia in terms of production and an attraction for multinational corporations, especially from the US to set up factories to reposition supply in the context of The US-China trade war has not cooled down yet.

The increasingly deep and effective integration of Vietnam with the world economy through important trade agreements is also a plus for the brand value of our country.

Recently, the foreign investors have assessed that skills of Vietnamese workers and engineers have improved. Image: QUANG HUY

Recently, the foreign investors have assessed that skills of Vietnamese workers and engineers have improved. Image: QUANG HUY

“ A sharp-national brand will attract investment greatly, increase the value of exporting and  attract tourists, professionalsl and business. Vietnam’s rise is set up in its own values. This value lies  in a national program that is planned to focus on economic growth ”- Brand Finance said

Economy analysts believe that this is not a temporary result but accumulated over many years. Especially,  in the past four years, the ranking of Vietnam’s value of  brand thanks to efforts to reform the investment and business environment, and strong export turnover ...

In a report published last December, the World Bank also assessed that despite the unprecendented measures of social separation and the inprecendented global recession, Vietnam’s economy still grew. growth of nearly 3% by 2020. “Although this efficiency is nearly 4% lower than the results of previous years, Vietnam is still in a positive growth zone, while the world economy is expected to decline. at least 4% ”- World Bank commented.

Don’t get old before jaundice

On December 31st , 2020, the Ministry of Planning and Investment celebrates its 75th anniversary. Speaking here,  Prime Minister Nguyen Xuan Phuc evaluated that in addition to the outstanding achievements achieved in recent years, the country is facing many difficulties and challenges.

In particular, there are major challennges such as: the context of the world continues to be uncertain, especially the impact of the COVID-19 pandemic and the geopolitical tentions that we must face.

The fourth industrial revolution creates great opportunities for developing countries to catch up with the rich, but also comes with many challenges of being left behind or depending more heavily on the rich.

Although our country's position and force are stronger than before, there are many potential risks, many bottlenecks have not been cleared yet; The risk of falling behind, and the risk of falling into the middle income trap is still very large, especially some groups of factors and groups that are vulnerable to economic changes.

Demographics, rapid aging of the population puts great pressure on our country's social security system ...
"It is necessary to take advantage of the golden population structure to get rich before getting old, not old before getting rich" - emphasized the Prime Minister.

Effective integration, good at coping with shock

The value of Vietnam is also evident in the assessment of Dr. Tran Dinh Thien, former Director of the Vietnam Institute of Economics. He said that our country has achieved many admirable achievements such as maintaining a positive growth rate throughout the year 2020 amid the COVID-19 epidemic causing the effect of supply chain breakdown. The stable macroeconomy has created room for fiscal and credit policies to actively support businesses and the economy.
"This is also a very important foundation for us to be stable, stabilize the country, resiliently resilient and maintain growth in the difficult context" - Mr. Thien commented.

“Remarkably, it is the expansion and diversification of integration of Vietnam that has helped Vietnam increase exports strongly while exporting countries decline. Because Vietnam has a diversified and mutually complementary export market, when one market falls, another market can compensate for it. This is the advantage of risk diversification ”- Dr. Nguyen Xuan Thanh acknowledged.

Many challenges ahead

Vietnam is becoming the trust base and safe destination for international investors on their journey to shift the global wave of responsible and sustainable investment. Mrs. Chau Ta, Chairman of the Australian-ASEAN Chamber of Commerce, acknowledged that before the pandemic broke out, Vietnam was already a bright spot on the investment map and many large investors came to Vietnam.

"For foreign investors, besides good anti-epidemic, political and economic stability is a plus point when considering making investment decisions abroad and this is an advantage that Vietnam owns" - Ms. Ta said.

However, Dr. Tran Dinh Thien admits that foreign investors come to help Vietnam benefit in terms of budget, employment, governance ... But low-quality jobs, because Vietnam has not prepared enough labor. high quality to absorb multinational corporations.

“We feel it is a pleasure to create jobs, because in the short term it is always pressing problem but in the long term, it is very dangerous. Foreign investment in Vietnam really makes a good contribution but should have made a much stronger and better contribution to Vietnam "- Mr. Thien acknowledged.

At the same time, economists said that despite many positive signals from foreign investment inflows, Vietnam has less advantages compared to other countries such as India, Thailand, Indonesia ...

Therefore, to attract large corporations with high-quality capital flows, Vietnam still has many things to do immediately. It is more concerned with protecting intellectual property rights; increase transparency and stability of the legal system of investment; invest more in supporting industries; delete unofficial charges.

A strong national brand will attract investment greatly, increase export value and help attract tourists. Photo: TU UYEN

A strong national brand will attract investment greatly, increase export value and help attract tourists. Photo: TU UYEN

Top 40 largest economies in the world

At the 75th anniversary of the industry's founding, December 31, 2020, Minister of Planning and Investment Nguyen Chi Dung said that our country has steadily stepped on the path of innovation, reaping many important achievements.

By 2020, the scale of our country's economy will reach about USD 343 billion, standing in the top 40 largest economies in the world; GDP per capita reached 3,521 USD.

The General Statistics Office also said that the growth rate of Vietnam in 2020 was among the highest in the world. Specifically, in 2020, Vietnam's GDP will increase by 2.91%, despite the COVID-19 epidemic causing a recession for the world economy.

Notably, the merchandise trade balance is estimated to have a trade surplus of 19.1 billion USD. This is the highest level in five years of trade surplus since 2016.

Many corporations invests to Vietnam

Mr. Hong Sun, Vice Chairman of the Korean Business Association in Vietnam, commented that the Vietnamese government's very good support in the epidemic has helped Korean businesses to operate stably.
“Thanks to this, many Korean corporations continued to expand the scale of their investment in Vietnam. The leading mobile phone companies in Korea such as Samsung, LG recently announced that investment to expand production in Vietnam is typical ”- Mr. Hong Sun said.



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