U.S. Strategic Management in Vietnam's Transition Economy

Abstract

The aim of this research is to evaluate effective U.S. organization and management strategies in Vietnam's transition economy. The goal is to show effective organizational planning in terms of international firm structure as well as market entry strategies. Vietnam's economic reforms initiated in 1987 have created an important emerging market increasingly integrated with the Southeast Asian Political‐Economic system. The research fulfills several scholarly needs. It fulfills a need for information on the transition of a centralized command economy to a market economy. It also fulfills a need for an evaluation of effective management strategies including localization, training and development, relationship marketing, and niche marketing.

The transfer of training and development practices in Japanese subsidiaries in Vietnam

“…This study indicates that the onus has now been placed on MNCs to intensify training efforts to upgrade the quality of their workforce. Similar findings have been reported by Geib () and Thang and Quang (), who suggest that MNCs play a crucial role in the upskilling process, and Thang and Buyens (), who highlight training initiatives as a key strategic concern for MNCs.…”

“…The studies conducted on training and development initiatives in different economic sectors, including small and medium businesses (SMEs), state‐owned enterprises (SOEs) and MNCs, confirm a positive relationship between training investment and organisational performance (see Geib ; King‐Kauanui et al. ; Thang and Buyens ).…”

“…Although limited, the research on the training initiatives of joint‐venture and foreign‐owned companies in Vietnam suggests these organisations invest more in training and development initiatives than either SMEs or SOEs (Friedman ; Thang and Quang ). Foreign investors consider training and development a key strategic concern (Geib ; Thang and Buyens ), due to their recognition of the lack of skills and qualifications in the Vietnamese labour market (Thang and Quang ). Consequently, many companies have actively sought out collaborative relations with education institutions and consultancies as a means of redressing the shortage of specific behavioural, technical and professional skills (Thang and Quang ).…”

“…The studies conducted on training and development initiatives in different economic sectors, including small and medium businesses (SMEs), state-owned enterprises (SOEs) and MNCs, confirm a positive relationship between training investment and organisational performance (see Geib 1999;King-Kauanui et al 2006;Thang and Buyens 2008). While most Vietnamese organisations are also aware of the link between training and development and business success, they often lack the necessary monetary resources to implement adequate training initiatives (Thang and Quang 2007).…”

Whither ‘training and development’ in Vietnam?: learning from United States and Japanese MNCs' practice

“…Training studies focus on different sectors in Vietnam (McDaniel, Schermerhorn and Cuoc ), including small and medium businesses (SMEs), state‐owned enterprises (SOEs) and MNCs, and confirm a positive relationship between training investment and organisational performance (see Geib ; King‐Kauanui, Ngoc and Ashley‐Cotleur ; Thang and Buyens ). Thang and Quang () stated that while most Vietnamese organisations are aware of the link between training and performance, they often lack resources to implement training.…”