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Vietnam

Political Factor
Vietnam is considered as a party of Communist state, has one of the South East Asia's
fastest- growing economy. Besides, Vietnam set its sight on becoming a highly developed
nation by 2020. Due to the political stability in Vietnam, it actually helps to attract large
amount of foreign investor to look at Vietnam. For example, Foreign Direct Investment is
coming into Vietnam now and stable Vietnamese Dong against the U.S Dollar and no any
political unrest. According to the above statement, Old Town White Coffee has much
opportunity to reap the greatest profits as if it operate in Vietnam. However, corruption
level in Vietnam is lower as compared to other countries. Vietnam is now placed at 119
out of 175 nations, and is considered in the bottom third of the countries and territories
surveyed. Nowadays, some of the anti corruption action has been implemented by
government so that the business climate able to improve to a better state and foreign
investment can be attract as much as possible. This has encourage Old Town White
Coffee to invest or run their business in Vietnam for long term instead of short term.

Economic Factor
Vietnam's economic freedom score is 50.8, and making its economy the 147th freest in
the 2015 index. Its score is 0.2 point worse than last year, reflecting declines in freedom
from corruption, monetary freedom, and business freedom that outweigh improvements
in labor freedom and fiscal freedom. Moreover, in 2011, GDP growth in Vietnam is at 5.9
percent while they forecast that it will increase up to 7.7 percent in 2016. GDP in
Vietnam was worth 171.39 billion US dollar in 2013, while in the previous year, 2014, it
was worth 155.82 billion US dollar. This has proven that Old Town White Coffee now
able to gain profit in Vietnam and also in the upcoming years. Next, the inflation rate in
Vietnam is keep on decreasing. In 2015, the inflation rate is lower as compared to
previous years, 2014 which are 0.95 and 4.98 subsequently. Therefore, unemployment
rate in Vietnam decrease continuously and is one of the lowest in the world.

Comparison btw India and Vietnam


1) The 2014 corruption rankings for 150 countries in the World Democracy Audit are
listed below.

http://www.worldaudit.org/corruption.htm

2)

http://data.worldbank.org/indicator/SL.UEM.TOTL.ZS/countries?display=default
3) Economic Freedom Rating - Vietnam Compared to Continent

http://www.globalpropertyguide.com/Asia/Vietnam/economic-freedom

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