1 AIT Asian Institute of Technology

The business environment in the rural area of Vietnam in 2008

AuthorLo Thi Duc
NoteA project submitted in partial fulfillment of the requirements for the degree of Master of Business Administration (Executive) in International Business, School of Management
PublisherAsian Institute of Technology
AbstractThe enterprises doing agricultural business and enterprises locating in rural area of Vietnam are mostly small and micro small size (about 77.5% of total enterprises), their number employee less than 50 people. The large and medium size enterprises are sited mainly in Hanoi, Hochiminh, Binhduong and Dongnai provinces. Enterprises involve four major economic activities that consist of agriculture, manufacturing, construction, wholesale and retail trade industries. In addition, some features of the enterprises reveal as following indicators: total asset of a company is VND 27.5billion; fixed assets account for 49.5 percent of total assets; total debt ratio is 57 percent; annual revenue per company gains VND33.4billion; and annual net income per company earns VND1.2billion. The most important capital sources of these enterprises consist of their retained earnings and Vietnam commercial banks. Another capital is land using with average area per enterprise reaches 30.8 hectare. The rural business environment is evaluated by 16 indicators divided into 3 dimensions (1) infrastructure with 4 indicators, (2) business services with 8 indicators, and (3) policy and law implementation with 4 indicators. Most of enterprises give their moderate and good assessment of the business environment in rural areas that they are locating on three above dimensions. In total 63 provinces, there is 76.2% rural areas appreciated at satisfied level by enterprises located in those rural areas. In all rural areas, the business environment reaches nearly at moderate level with general index equal 96.1 marks (the moderate level ranges between 97 and 108 marks). Especially, the three first ranks of rural business environment belong to the rural areas of Dongthap, Vungtau and Binhduong provinces in Southern Vietnam.
Year2010
TypeProject
SchoolSchool of Management (SOM)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSMaster of International Executive MBA (IE-MBA)
Chairperson(s)Winai Wongsurawat;
Examination Committee(s)Logan Muller;Dimmitt, Nicolas J;


Usage Metrics
View Detail0
Read PDF0
Download PDF0