The Indian market is left out in the cold!Chinese companies changed the direction of the market, and

Mondo Finance Updated on 2024-01-30

In recent years, the snubbing of the Indian market has attracted the attention of Chinese companies. Although India has introduced a series of favorable policies to attract overseas investment, many companies are hesitant to invest in the Indian market due to its poor business climate. At the same time, the Vietnamese market has attracted more and more Chinese investment due to its favorable business environment and convenient conditions for import and export cooperation.

1.Superior business environment: Compared with India, Vietnam's laws and regulations are relatively stable and enforceable, providing a more reliable and reliable business environment for enterprises.

2.Geographical advantage: Vietnam's geographical location is close to China, and import and export cooperation is more convenient, which can better connect with the Chinese market and improve the convenience of the first chain.

3.Matching of technical level: Vietnam's technological level is relatively high, which is comparable to that of Chinese enterprises, making it easier to achieve technical exchanges and cooperation.

4.New opportunities: With the huge potential of the Vietnamese market and the rapid upgrading of consumption, Chinese companies can take advantage of the development opportunities of the Vietnamese market to achieve higher growth.

Vietnam has achieved remarkable results in attracting investment from Chinese enterprises. According to market data, from January to November this year, Vietnam's cumulative approved overseas investment reached US$28.8 billion, of which the share from Chinese enterprises accounted for US$8.3 billion. This fully demonstrates the importance of Chinese enterprises in the Vietnamese market. At the same time, the Vietnamese market has also had a huge impact on Chinese companies.

1.**Chain transfer: Many Chinese enterprises have shifted their investment focus from India to Vietnam, accelerating the construction of Vietnam's **chain. Companies such as Luxshare Precision and BYD have turned their attention to the Vietnamese market after abandoning investment in the Indian market. This will provide more opportunities for Chinese companies to develop in the Vietnamese market.

2.International cooperation platform: Vietnam, as an open economic system, has attracted the attention of many international enterprises. The investment of Chinese enterprises in the Vietnamese market will provide more opportunities for cooperation between Chinese enterprises and international enterprises, opening up a new platform for international cooperation.

3.Improving competitiveness: Vietnam is a fast-growing country with a large market size and strong consumer demand. The investment of Chinese enterprises in the Vietnamese market will help improve the competitiveness of enterprises, expand their market share and achieve higher growth.

The snub in the Indian market has taught Chinese companies some valuable lessons. First of all, Chinese enterprises should not rely too much on the external market, but should pay more attention to their own technological research and development and innovation capabilities to improve their core competitiveness. Second, Chinese enterprises should conduct a comprehensive assessment of the business environment, laws and regulations of the target market before investing, so as to avoid unnecessary distress and risks. Finally, Chinese enterprises should actively seek new market opportunities, diversify their investment layout, reduce their dependence on a single market, and achieve sustainable development.

To sum up, in the face of the cold fall in the Indian market, Chinese enterprises have begun to turn to the Vietnamese market, by strengthening investment and layout in the Vietnamese market, looking for new market opportunities and expanding a broader space for development. The Vietnamese market provides a good business environment and abundant opportunities for Chinese enterprises, and Chinese enterprises will take Vietnam as a starting point to further expand international cooperation, improve competitiveness and achieve sustainable development.

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