Garment manufacturers in Vietnam are trying to capture the domestic market. They are developing and introducing new products for local consumers and turning to becoming original design manufacturers. They are investing in new technologies and focusing on new product development. As of now the market is predominated by global brands.
Spending on garment products accounts for about six per cent of Vietnamese consumers’ total spending, indicating that the market holds great potential for domestic enterprises. These companies are attempting to raise their market share from ten per cent to 30 per cent. Despite their strength in exports and being the world’s third largest garment exporter, Vietnamese garment companies have yet to tap into the domestic market in a significant way. Most companies focus on developing stores in major towns and cities without adequate attention to the rural market.
Vietnamese garment makers need to renovate their management methods and equipment while ensuring quality and affordable prices of their products. They also need to focus on designs, building brands and expanding the retail network in order to increase their competitiveness and capture the domestic market share.
One company has opened nearly 200 fashion outlets throughout the country featuring a wide variety of products. Some companies are introducing their own brands to the market.