In addition to investment evaluation and promotion, “Part B” of MPDF’s core programs involved business support services. At the time of this study, business services in Vietnam accounted for less than 1% of the country’s total domestic output, compared with 10% in more developed market economies. In former Marxist countries such as Vietnam, “services” were once considered “non-productive” activities and were thus discouraged, leaving the sector underdeveloped.
Carried out in February and March 1999, this survey of business service providers and users focused on seven of the most critical services: accountancy, computer services, consultancy, design and packaging, distribution logistics, market research and training. The study found seven major issues: 1) government misperceptions about the role of business services in the economy, 2) adequate to poor quality services, 3) expensive services, relative to their quality, 4) excessive number of internal service provisions made because of quality concerns, 5) difficult regulatory framework, 6) lack of specialized capabilities or customer orientation among providers and 7) public sector domination of services to the private sector. To deal with these problems, the report’s researchers proposed the Vietnam Business Services Work Program, a series of initiatives that would address issues of quality, awareness, skills, regulatory changes and others.
December 1998
Full report English 
(323kb) | Full report Vietnamese 
(569kb)
