Conclusion
The opening of Vietnam’s tourism accommodation market to foreign direct investment
and domestic private entrepreneurs has brought about competition, consolidation and
differentiation in the accommodation sector that was absent under the previous state
monopoly. A more intensively-trained workforce and an orientation towards customerresponsiveness
are required to serve this more differentiated and discerning market, and
Vietnam’s accommodation providers are increasingly concerned with meeting
international standards.
Vietnam’s current political transition has influenced the accommodation sector in
a number of ways. The open door policy is to a large extent the primary cause of
Vietnam’s increasing attractiveness as a leisure and business destination in recent years,
and also the resulting rapid growth in numbers of tourists in Vietnam. Parallel to this
quantitatively-measurable growth, qualitatively different types of tourists have begun to
enter the country during this time. The small groups of political and industrial tourists
from COMECON countries during the pre-doi moi years have been replaced by a much
wider variety of visitors, in terms of their origins, travelling budgets and expectations.
The Vietnamese government’s eagerness to enter into the global community of
nations so long denied it is evinced by Vietnam’s recent admission to ASEAN, and WTO
aspirations. The accommodation sector is directly affected by investment law reforms and
other legislation passed in order to meet the requirements of entry into these
organisations. The involvement of organisations like WTO and the UNDP in Vietnam
introduces a global perspective to tourism planning, inspiring the drafting of the
country’s first Tourism Law (2006).
24
Many aspects of the development of tourism businesses in Vietnam in the doi moi
period can be seen as results of the interactions between state-owned, domestic private
and foreign joint venture operators in the industry since the latter two became active in
Vietnam in the late 1980s. The government relinquished its monopoly on tourism
enterprises in order to encourage the growth of a free market within which state-owned
firms competed alongside private sector businesses. Foreign joint ventures have brought
international standards to Vietnamese tourism and thereby brought new impetus for
improvement to domestic and state businesses. Through their small scale, flexibility and
resourcefulness, private entrepreneurs are able to find and fill niches not served by the
larger state and FDI firms, and also play a role in incubating forms of tourism businesses
that may be later taken up by government or foreign operators. All three types of firms
are affected by factors such as government regulation, the quality of available human
resources and infrastructure. State, foreign and domestic private tourism enterprises all
play roles in influencing and directing changes in these and other factors in Vietnamese
society that influence their operating environment.
Conclusion
The opening of Vietnam’s tourism accommodation market to foreign direct investment
and domestic private entrepreneurs has brought about competition, consolidation and
differentiation in the accommodation sector that was absent under the previous state
monopoly. A more intensively-trained workforce and an orientation towards customerresponsiveness
are required to serve this more differentiated and discerning market, and
Vietnam’s accommodation providers are increasingly concerned with meeting
international standards.
Vietnam’s current political transition has influenced the accommodation sector in
a number of ways. The open door policy is to a large extent the primary cause of
Vietnam’s increasing attractiveness as a leisure and business destination in recent years,
and also the resulting rapid growth in numbers of tourists in Vietnam. Parallel to this
quantitatively-measurable growth, qualitatively different types of tourists have begun to
enter the country during this time. The small groups of political and industrial tourists
from COMECON countries during the pre-doi moi years have been replaced by a much
wider variety of visitors, in terms of their origins, travelling budgets and expectations.
The Vietnamese government’s eagerness to enter into the global community of
nations so long denied it is evinced by Vietnam’s recent admission to ASEAN, and WTO
aspirations. The accommodation sector is directly affected by investment law reforms and
other legislation passed in order to meet the requirements of entry into these
organisations. The involvement of organisations like WTO and the UNDP in Vietnam
introduces a global perspective to tourism planning, inspiring the drafting of the
country’s first Tourism Law (2006).
24
Many aspects of the development of tourism businesses in Vietnam in the doi moi
period can be seen as results of the interactions between state-owned, domestic private
and foreign joint venture operators in the industry since the latter two became active in
Vietnam in the late 1980s. The government relinquished its monopoly on tourism
enterprises in order to encourage the growth of a free market within which state-owned
firms competed alongside private sector businesses. Foreign joint ventures have brought
international standards to Vietnamese tourism and thereby brought new impetus for
improvement to domestic and state businesses. Through their small scale, flexibility and
resourcefulness, private entrepreneurs are able to find and fill niches not served by the
larger state and FDI firms, and also play a role in incubating forms of tourism businesses
that may be later taken up by government or foreign operators. All three types of firms
are affected by factors such as government regulation, the quality of available human
resources and infrastructure. State, foreign and domestic private tourism enterprises all
play roles in influencing and directing changes in these and other factors in Vietnamese
society that influence their operating environment.
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