Vietnam tops global outsourcing market for first time
18:09, 2015/03/26
Vietnam has become the world’s top outsourcing location for the first time in terms of costs, risks and operational conditions, according to new research from global real estate adviser Cushman & Wakefield (C&W).
Vietnam has capitalised on increasing labour costs in China to take first place in the ranking while India remains the world’s largest business process outsourcing market.
Vietnam established its presence in the sector thanks to numerous government reform policies to promote the country as a key outsourcing destination. C&W predicts the service segment will expand rapidly given the average age of the country’s workforce is under 30 and 1-1.5 million people enter the labour market every year.
Vietnam established its presence in the sector thanks to numerous government reform policies to promote the country as a key outsourcing destination. C&W predicts the service segment will expand rapidly given the average age of the country’s workforce is under 30 and 1-1.5 million people enter the labour market every year.
The software industry has increased rapidly in recent years with over 1,000 operating companies recruiting 80,000 labourers. Vietnam has become one of the world’s biggest software exporters and the second biggest outsourcing country for Japan.
C&W Vietnam’s Director of Valuation and Research Department Jonathan Tizzard said the ranking reflects the Government’s ability to create a stable business environment and introduce policies to improve education quality and professional skills for the younger generation.
Additionally, foreign direct investment to Vietnam is expected to increase with the signing of the Trans-Pacific-Partnership Agreement, possibly this year or in 2016, and once the two revised Laws on Housing and Real Estate officially take effect in July 2015, making room for foreign investors to operate in the country, he added.
C&W’s Head of occupier services for the Asia-Pacific and the Middle East and Africa Richard Middleton said that while Vietnam is not the cheapest outsourcing destination, it is still very competitive globally.
Wage increases in India and China have pushed Vietnam to top the rankings in 2015, he added
C&W Vietnam’s Director of Valuation and Research Department Jonathan Tizzard said the ranking reflects the Government’s ability to create a stable business environment and introduce policies to improve education quality and professional skills for the younger generation.
Additionally, foreign direct investment to Vietnam is expected to increase with the signing of the Trans-Pacific-Partnership Agreement, possibly this year or in 2016, and once the two revised Laws on Housing and Real Estate officially take effect in July 2015, making room for foreign investors to operate in the country, he added.
C&W’s Head of occupier services for the Asia-Pacific and the Middle East and Africa Richard Middleton said that while Vietnam is not the cheapest outsourcing destination, it is still very competitive globally.
Wage increases in India and China have pushed Vietnam to top the rankings in 2015, he added
20:50, 2024/04/08
PM calls for tougher cyber security measures
Efforts will focus on working with security and defence agencies to monitor, detect and respond quickly to cyber threats.
22:14, 2024/02/28
Hanoi's young talents to attend 2024 World Robot Olympiad
Hanoi students can participate in the global playground that fosters their creativity and problem-solving abilities.
22:23, 2024/01/24
US-Vietnam Digital Workforce Development Program forges new partnerships
The US Mission to Vietnam and the NIC have partnered to expand digital skills in the Vietnamese labor market to improve the upward mobility and competitiveness of Vietnam's workforce.
21:17, 2024/01/21
VEX Robotics National Championship finds talents for international competitions
The Vietnam VEX Robotics National Championship 2024 is a platform open to all robotics enthusiasts nationwide, with no barriers based on gender, ethnicity or geography.
18:14, 2024/01/11
Hanoi to launch nine more electric bus lines
The city is determined to build a green public transport network in line with its commitment to environmental protection.
14:22, 2023/12/13
Make in Vietnam Awards 2023 recognize 43 outstanding digital products
Vietnam is home to more than 1,400 digital technology companies with a combined revenue that is approaching the $10 billion mark.
- Vietnam wins big at World Robot Olympiad
- Vietnamese Government approves national datacenter
- Hanoi committed to start-ups and innovative enterprises development
- Vietnam customs needs to accelerate digital transformation: Deputy PM
- Hanoi gets ready for digital economy growth
- Vietnam Digital Awards 2023 recognizes outstanding digital transformation solutions