illustration photo In the red In Vietnam, Lotteria and KFC are considered the leading fast food brands. However, the financial statement of Lotteria showed that the fast food chain recorded after-tax losses were VND118 billion ($5.22 million) and VND135 billion ($6 million) in 2015 and 2016 respectively. By the end of 2016, Lotteria’s accumulated losses were more than VND413 billion ($18.27 million), while its charter capital reached only VND433 billion ($19.16 million), as reported by local media. In the meantime, Lotteria’s competitor, KFC also reported losses with a low profit margin at around 15 per cent in 2016. This was even lower in the previous year, at only 10 per cent. As a result, KFC lost VND25 billion ($1.1 million) in 2015 and made a profit of VND15 billion ($664,000) in 2016. The Fast Food in Vietnam report by Euromonitor International reveals that many international fast food brands in Vietnam have declined in 2017, including Burger King, Popeyes, Subway, … [Read more...] about Foreign fast food giants defy losses in Vietnam
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VietNamNet Bridge - The first model of smartphones of the technology group BKAV, most likely named Bphone, is attracting huge attention online. There is not much information about it but many people have made different predictions about the device. BKAV Vice Chair Vu Thanh Thang shares some information about the product. - What is the difference between Smartphone BKAV and locally-made cell phones in Vietnam today? - Vu Thanh Thang: There is a huge difference. Other companies in Vietnam produce smartphones by the ODM method (original design manufacturer) under two forms. The first is ordering foreign partners, usually Chinese partners, to manufacture smartphones with their own brands. The second form is importing components and assembling under available designs. Smartphones BKAV is researched, developed and manufactured under the OEM form (original equipment manufacturer), similar to the way of Sony, Apple, Samsung ... ie BKAV masters all stages of style design, mechanical design, … [Read more...] about BKAV to produce trully Made-in-Vietnam smartphones
Hanoi (VNA) – Automobiles which are priced higher in Vietnam than in regional countries is the reason for the sluggish development of the automobile industry, experts say. The information was discussed by participants at the seminar on the real situation of the automobile industry and spare parts in Vietnam, held in Hanoi on December 8. Nguyen Thi Xuan Thuy, an official from the Ministry of Industry and Trade's Institute for Industry Policy and Strategy, said the price of cars in Vietnam was more than in other countries including Indonesia and Thailand. She cited some examples of vehicles in the middle segment. The prices of Toyota Vios and Toyota Innova were 570 million VND (25,300 USD) and nearly 800 million VND (35,500 USD) in Vietnam, while in Indonesia they were 11,700 USD and 12,530 USD, respectively. Similarly, Honda CRV 2.0AT in Vietnam was more than 44,400 USD, which is about 27,000 USD higher than that in Indonesia. Thuy said the price of cars in Vietnam was three or … [Read more...] about High prices hamper auto growth in Vietnam
He said every year Samsung makes huge contributions to Vietnam's export revenues, and creates jobs for hundreds of thousands of Vietnamese, and that all its products are labeled as "made in Vietnam." Han's statement, despite raising a few eyebrows, did not cause any strong controversy, until recently. During a press conference to promote Vietnamese goods last Wednesday, Vo Van Quyen, who is in charge of domestic market issues at the Ministry of Industry and Trade, seemed to support Han's view. Quyen said products made by Samsung, or any other foreign companies in Vietnam, can be categorized as Vietnamese products. Many local businesses and economists simply do not like that idea. They say the electronics giant, which is now the biggest foreign investor in Vietnam with a total capital of US$11.3 billion, wants to receive the same favorable treatment that the government has given to Vietnamese producers to encourage the consumption of locally made products. Economist Nguyen Van Ngai … [Read more...] about Made in Vietnam: Should Samsung be treated as a local company?
Foreign investors in Ho Chi Minh City have continued to complain about difficulties in buying parts and materials for production, urging the government to try harder to help its stagnant supporting industries. Yutaka Watanabe, general director of Towa Industrial Vietnam, a Japanese producer of precision machines parts used in vehicles, said at a meeting on Wednesday that manufacturers have been facing many troubles looking for materials in Vietnam. The company, which started operating in Vietnam in 1995, said it has to import most of what it needs from Thailand. Importing materials causes input costs to surge by 18 percent, but Watanabe said local suppliers in Vietnam cannot meet the high technical demands required in the precision industry. Vietnamese suppliers need more money and the government should provide funding to help them upgrade production capability, Watanabe said, adding that Japan has helped its own businesses that way. Vietnam has for years tried to boost … [Read more...] about Foreign firms struggle to buy parts, materials in Vietnam, plea for more support