Compared with businesses in the US and Europe, the digital transformation process in Vietnamese enterprises is less risky and simpler.
Reports all show that the proportion of Vietnamese mobile phone users is higher than the average level in the world and the demand for the services related to mobiles and the internet is increasing rapidly.
Businesses are under increased pressure to optimize their user experience and to create personalized service experiences for each customer. Digital transformation will help Vietnam’s enterprises do this more effectively.
A study found that digital transformation made up 25 percent of GDP in Asia Pacific in 2019 (6 percent in 2017), while the figure will be 60 percent by 2021. The productivity is expected to increase by 21 percent in 2020 thanks to digital transformation. However, changes will be seen in 85 percent of careers in the next three years.
Vietnam is the country which has advantages in digital transformation. According to Erich Gerber, vice president of Tibco, Vietnam has very impressive economic growth rates with expected GDP growth rate of 6.5 percent for 2020 and the next year.
The middle class in Vietnam has been growing the fastest in Southeast Asia, which promises great potential for finance, banking and insurance sectors.
Vietnam also has great advantages in human resources in technology. There are many schools giving training in IT, which is the source of high-quality labor force majoring in technology and data science.
Another advantage that Vietnam can enjoy in the digital transformation process is the lower risks than other countries. Since the information and technology systems in Europe and the US are very large, they have to meet high risks, especially with core systems, every time when they need to make adjustments to digitize the phases of the production process. Meanwhile, the systems in Vietnam bear little systematic risks. Vietnam can carry out the digital transformation faster and safer. It is the right time for Vietnam to grab opportunities to boost its growth.
International corporations can also provide silutions, including IBM, which is present in Vietnam, while the market may receive Google and domestic technology firms in the future.
