Dong Nai’s Trade sector experiences drastic changes

Potential Market

Trade is a fast developing sector in Dong Nai, especially in Bien Hoa.

Customers visit and shop at Telecommunications A

In the first half of 2008, Dong Nai has issued investment certificates for 22 projects with the total capital of VND7,040 billion concerning domestic investment attraction only. Many businesses want to exploit this potential market, shown by the fact that a great number of joint stock commercial banks’ affiliations and agent’s offices, trade centres and supermarkets have been opened, such as Military Joint Stock Commercial Bank, ACB, Phuong Nam, Taxi Vinasun, Telecommunications A, FPT group and so on. Products that attract investment in Dong Nai are high tech products like computers and cell phones, commodities used in daily lives and production and essential services.

With the population of over 2 million people, the residents’ shopping need is really great. Along with the economic growth rate, their lives are considerably improved. The total retail sales are estimated at VND15,498.6 billion in the first six months of 2008 in the province, statistical data read. Specifically, the trade sector reached VND12,974.8 billion, hotel-restaurant sector VND995.6 billion and service sector VND1,521.4 billion. The consumer price index increases year on year. This index in May 2008 is 23.28 percent higher than that in May 2007. This indicates the strong purchasing power of Dong Nai’s consumers. Dong Nai residents’ lives are rather high compared to the whole country and the southern key economic zone. In term of market, this reflects the community’s consumption need and the payment ability. This is also an important factor in businesses’ investment strategies and has a positive influence on the increase in the source of supply in the market.

Military Joint Stock Commercial Bank –Bien Hoa Affiliation inaugurated

Most of businesses said that Dong Nai is a dynamic and potential development area but it is not properly exploited. Dong Nai is a priority choice for businesses that want to expand the market to other provinces due to its numerous advantages like its fast growth rate and less fierce competition than HCMC where the trade investment rate tends to slow down. This shows the strong attraction of the province in calling for investment, especially investment in trade.

Creating new shopping habit

One of trade and service development directions in the province within the past years was the modern buying and trading form. Trade centres, supermarkets and convenient stores have been drawing a great number of residents to come for shopping. This is because they have more strong points than the traditional markets such as commodities have clear origins, price is posted, customer care services are provided, shopping is fast and convenient, meeting the various needs and suitable to most of consumers. This has created a new shopping habit of the residents. It is predicted that supermarkets and trade centres will gradually replace traditional markets.

According to an insufficient statistic, Dong Nai has presently 9 supermarkets with both wholesale and retail combination.

Shopping at supermarkets – new choice of consumers

It is expected that Dong Nai, by 2010, will develop some other kinds of small and medium supermarkets in urban areas and residential areas near industrial zones. According to the planning of trade centres and supermarkets across the province by 2010 and towards 2020, the province will have 28 trade centres and 51 supermarkets of all kinds, meeting the development potentiality in the future in Bien Hoa in particular and in the province in general.

The supermarket system in Dong Nai increasingly develops, positively contributing to the commodity circulation served in production and daily lives and gradually meeting the residents’ needs. In general, along with the positive economic change, trade activities in the province develop quickly, contributing the higher growth rate of the province.

Reported by N.Thuong, Translated by Tuyenvanah