There are many businesses around Vietnam brought about by tourism such as hotels in Danang but nothing is more stable than the industrial zones in the country which lures in foreign investors. These industrial zones are locations that have been strategically chosen by the government in order to produce the countries goods and services.
Majority of the time, investors would look through a nation’s industrial zone because of the facilities available, logistics as well as infrastructure which could rival other areas in the region. Foreign companies who are planning to invest will be able to use the resources provided by these industrial zones in order to save costs and receive financial incentives.
Regardless, the industrial zones can be differentiated because of a number of factors including incentives, structures and location among many others. Investors that are planning to settle down close to an industrial zone are used to investigate before they fully decided to see if the location answers to the need of the business. There are several factors they have to consider before making a decision to determine if their investment is worth putting in an establishment governed by a certain industrial zone.
Many of the investors are now relocating their factories in Vietnam which greatly benefited the domestic property market. The boom led to the steady increase of prices. The highest demand now comes from factories that are ready to build. In fact, the occupancy rate is already at 85 per cent. The highest demand is currently in areas in the southeastern side such as Dong Nai and Binh Duong because they are more accessible when it comes to transport infrastructure.
There are currently three industrial zones located all over Vietnam – north, south and central. The north is covered by the Dinh Vu Industrial Zone with more than 420 investment projects. The projects amount to more than US $10 billion. Hoa Khan Industrial Zone is responsible for the central Vietnam while the south is under the Vietnam-Singapore Industrial Park. These are essential pillars of the country’s economy aside from tourism revenues from accommodations like hotels in Danang and other local businesses brought about by tourism in the country.