Vietnamese garment companies increase competitiveness

VOV.VN - Vietnam earns billions of dollars from garment and textile exports every year. But in the domestic market, local enterprises are facing fierce competition from foreign rivals.

In late 2017 many foreign clothing companies made inroads into the Vietnamese market heating up the competition with local fashion brands and garment manufacturers. After Zara, H&M opened stores in Hanoi and Ho Chi Minh City last September. With Mango and Topshop, they are the favorite brands in Vietnam. 

Nguyen Thi Tuyet who lives in Binh Thanh district, Ho Chi Minh city says “I like foreign brands with affordable prices. They aren’t more expensive than local ones but have good materials and good designs and are fashionable.”

Vietnam’s famous clothing brands like An Phuoc, Viet Tien, and Garment 10 focus on trousers, T-shirts, and vests. Other product lines like dresses, sweaters, and pullovers are facing tough competition from foreign brands. Some Vietnamese companies have begun investing in this market segment.

Than Duc Viet, Deputy General Director of Garment 10 Corporation said, "We focus 80% of our investment in main product line and 20% in fast fashion to increase our competitiveness and maintain our market share amidst young people’s preference for foreign clothing brands.”

Vietnamese enterprises are urged to improve their capacity, focus on long-term investment, recruit competent fashion designers, and promote their products. 

Pham Xuan Hong, Chairman of the Ho Chi Minh City Association of Garment Textile Embroidery Knitting (AGTEK) says, "The Association plans to establish a Fashion Design Center in the hope of creating a breakthrough in fashion design in Vietnam.”

Vietnam is becoming a promising market for foreign clothing makers. Vietnamese enterprises are advised to change their business strategies and adopt new trends in order not to be left behind in the fierce competition.

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