Investment climate in Vietnam: potentials and limitations

Abstract

Due to economic renovation in 1986, Vietnam has gained a number of convincing social-economic achievements. One of the factors determining the success of Vietnam's economy is the support of foreign direct investment. Thus, the study and analysis of the determinants, affecting the ability to attract foreign investment have become more practically oriented and necessary. The main purpose of the article is to clarify the definition of investment climate and its characteristics in Vietnam. The article demonstrates several advantages and potentials in the investment climate of Vietnam. It also figures out some limitations and problems to be eliminated to enhance competitiveness of Vietnam for foreign direct investment (FDI).