Grant Thornton’s latest International Business Report survey indicated that the ambition for cross-border trade among mid-market businesses in Vietnam reduced remarkably as a result of the global economic slowdown.
According to IBR’s data, when asked about the possibility of expanding exports to more markets, 52% of surveyed businesses in Vietnam affirmed to have plans, a decrease of 10% from the preceding survey. The number of Vietnamese firms expecting higher revenue from overseas markets also saw a drop from 66% to 53%. In contrast, the global average figures recorded a slight increase.
Another observable trend from the IBR survey is the shift in focus to the domestic market by majority of Vietnam’s mid-market enterprises. Only 35% of surveyed companies opted to use overseas suppliers and outsourcers, marking a 10% decrease from the prior survey, and reverting to the levels recorded during the pandemic period. As high inflation in the world leads to a sharp rise in prices of imported raw materials, choosing domestic suppliers and outsourcers is a means to reduce the cost burden for businesses. Overall, the current difficult state of exports seems to have caused firms to rethink their business strategies.
To discover more about the plan for global trade among mid-market businesses globally, access the story at: http://grnt.tn/vj6