Vietnam has become one of Asia’s most attractive investment destinations, driven by strong economic growth, a growing consumer market, competitive manufacturing, and deeper integration into global supply chains. As foreign companies seek opportunities in manufacturing, sourcing, distribution, joint ventures, and strategic investment, finding reliable local partners has become increasingly important. 

This article outlines Vietnam’s investment appeal, domestic business landscape, key considerations when working with Vietnamese companies, successful partnership cases, and how B&Company’s business matching services can help investors identify suitable partners. 

Why Vietnam Is an Attractive Destination for Foreign Investors 

Over the past decade, Vietnam has transformed from a low-cost manufacturing destination into one of the most dynamic economies in Asia. The country offers a combination of political stability, a large workforce, an expanding middle class, and extensive participation in global trade agreements. 

Vietnam’s economic performance continues to strengthen investor confidence. According to the World Bank, Vietnam’s GDP grew by 8.0% in 2025 and is forecast to maintain robust growth at 6.8% in 2026 and 7.1% in 2027. The country also has one of the highest trade-to-GDP ratios in the world, approaching 170%, reflecting its deep integration into international trade and manufacturing networks. [1] 

Vietnam GDP growth (%)

Source: Vietnam General Statistics Office 

Foreign direct investment (FDI) remains a key driver of Vietnam’s economic development. In 2025, total registered FDI reached USD 38.42 billion, while disbursed FDI reached USD 27.62 billion, up 9% year-on-year and the highest level recorded during the 2021–2025 period. [2] 

In terms of cumulative FDI amount in Vietnam, South Korea remained the largest foreign investor. Singapore and Japan also maintained significant investment positions and continue to play strategic roles in Vietnam’s industrial development 

Cumulative FDI Amount and Number of Projects by Major Countries (2024)

Source: Ministry of Planning and Investment (MPI) of Vietnam 

Manufacturing and processing continue to attract the largest share of foreign investment, while sectors such as real estate, logistics, retail, and high-tech services are also drawing increasing attention. 

Share of Cumulative FDI by Sector (%, 2025)

Source: Ministry of Planning and Investment (MPI) 

These figures demonstrate that Vietnam is no longer viewed solely as a low-cost production base. Instead, it has become a strategic destination for companies seeking long-term growth opportunities, supply chain diversification, and access to Southeast Asia’s rapidly expanding markets. 

For foreign companies, partnering with local businesses can offer several practical advantages, such as faster market entry, better understanding of local regulations, access to customers and suppliers, support with licenses and permits, and stronger local business networks. 

As a result, finding the right Vietnamese partner is often a critical factor in achieving long-term success in the market. 

Overview of Vietnamese Domestic Companies 

Vietnam’s domestic business sector has expanded significantly alongside the country’s economic growth. According to B&Company’s enterprise database, Vietnam had more than 1 million domestic companies in 2024, compared with approximately 20,000 foreign-invested companies. 

However, the domestic business landscape is highly fragmented. Micro, small, and medium-sized enterprises account for around 98% of all domestic companies, while large enterprises represent only about 2%. This structure shows that although Vietnam has a broad and dynamic base of local businesses, many companies remain relatively small in scale and may have limited management resources, financial transparency, or experience in working with international partners. 

Number of local Vietnamese enterprises by company size (%)

Source: B&Company enterprise database 

Vietnamese companies have become increasingly competitive and export-oriented, especially in sectors such as electronics, textiles, furniture, food processing, supporting industries, logistics, and retail. 

However, readiness for international cooperation varies significantly. While some firms have strong management systems, financial transparency, compliance standards, and global business experience, others still rely on informal management and owner-driven decision-making. Therefore, foreign companies should assess not only products and services, but also management quality, financial reliability, compliance, and communication capability. 

Cultural understanding is also important. Vietnamese companies are generally relationship-oriented, pragmatic, and flexible, but key decisions are often made by owners, general directors, or a small senior management group. Approaching the right decision-makers and building trust through direct communication can help partnerships progress more smoothly. 

Vietnamese prioritize a work-life balance in the workplace 

Source: VnExpress 

Face-to-face meetings remain highly valued in Vietnam. In-person discussions, factory visits, and site visits often help build trust more effectively than emails or online meetings alone. They also provide useful opportunities to observe a company’s facilities, working style, production capacity, quality control practices, and overall commitment to cooperation. 

At the same time, clear documentation is essential. Key issues such as pricing, payment terms, lead times, warranties, exclusivity arrangements, quality responsibilities, and after-sales support should be clearly confirmed in writing. Providing meeting summaries, written follow-up notes, and bilingual documentation when necessary can help prevent misunderstandings and ensure that both sides have the same understanding before moving forward. 

Key Considerations When Searching for Vietnamese Business Partners 

The first step in finding a suitable Vietnamese business partner is to clearly define the purpose of cooperation. For example, a company looking for a manufacturing partner will need to assess production capacity, quality control, certifications, and delivery capability, while a company seeking a distributor should focus more on sales channels, customer networks, market coverage, and after-sales support. 

Business matching in Vietnam should therefore be approached as a structured process, not simply as a search for company names. It typically involves identifying potential local partners, screening their credibility and business fit, arranging direct meetings, and conducting follow-up communication to confirm mutual interest and cooperation terms. 

Although Vietnam offers many partnership opportunities, foreign companies may face challenges such as limited public information, differences in management standards, language barriers, and unclear decision-making processes. For this reason, careful partner screening, direct communication, and proper documentation are essential to building reliable and long-term business relationships. 

Business Matching process and potential challenges for foreign investors 

Source: B&Company Vietnam 

Successful Examples of Foreign–Vietnamese Partnerships 

Many successful collaborations demonstrate how foreign companies and Vietnamese businesses can create mutual value. 

B&Company’s synthesis

These cases demonstrate how foreign companies can help local companies integrate into global supply chains while strengthening Vietnam’s industrial ecosystem.  

How B&Company Supports Business Matching in Vietnam 

To overcome these challenges, foreign investors can use business matching services as a bridge to connect with suitable Vietnamese partners. Based on specific requirements such as location, production capacity, distribution network, and language capability, these services help identify and screen potential partners, arrange meetings, coordinate factory visits, and support follow-up communication. They also provide market insights, basic due diligence support, translation, and cultural mediation, helping foreign companies save time, reduce risks, and build more reliable partnerships in Vietnam. 

Established in 2008, B&Company is the first Japanese market research and consulting firm dedicated to the Vietnamese market, with offices in Hanoi and Ho Chi Minh City. With an enterprise database covering more than 1 million companies in Vietnam, B&Company can effectively support business matching by identifying, screening, and connecting foreign companies with suitable local partners. 

Business Matching Service at B&Company Vietnam 

Source: B&Company 

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