Unstable demand and high capital investment costs are the main obstacles for homestay hosts, industry insiders say. Seeing the potential of this business model, an entrepreneur named Trinh rented out in HCMC’s coastal district of Can Gio, a house with a garden near the forest for VND8.5 million ($364.05) a month to run it as a homestay. The homestay is targeted at young people, she said, adding that rent for the whole house would amount to VND5-7 million ($214.14 - $299.80) per day. "I run the business myself and only hire janitors, so the costs are not so high. However, the risk of rooms not selling in the rainy season is very high, so I have to find a way to make up for it as much as possible during the dry season." In addition, Trinh also faces the risk of her landlord cancelling the tenancy at any time. The unstable number of guests is also a worry for Hung, a bungalow owner in Ho Chi Minh City. The rent for the bungalow is relatively high, at VND1.2-1.6 million ($51.39 - … [Read more...] about Homestay owners in Vietnam struggle to make money
Investors make money
VietNamNet Bridge - Some years ago, private investors, recognizing that state-owned hospitals were getting overloaded, rushed to build hospitals. However, the profits they have gained remain modest. The demand for healthcare service is increasing Trieu An Hospital, a well-known private hospital in HCMC, owned by the businessman Tram Be, has released its H1 business report, showing modest net profit of VND28 billion. The figure represented a 28 percent growth rate over the last year, but the ROE (return on equity) was very low at 4.9 percent because of huge investment capital. Financial experts think that if counting all types of expenses, Trieu An’s profits would be even lower. Its investments in some subsidiaries are bringing losses, while Trieu An did not make provisions for investment items. Phuc An Khang, a hospital worth VND2.5 trillion, operated for several years before it had to shut down last year as the low number of patients did not allow to cover operation … [Read more...] about Private hospitals in VN find it difficult to make money
Illustration photo The ministry reported that Japan ranked second with US$50.6 billion (accounting for 15.7% of total FDI), followed by Singapore and Taiwan, British Virgin Islands, Hong Kong, respectively. In the first five months of 2018, the RoK was the largest among 126 countries and territories investing in the country, with total registered capital of US$59.46 billion (making 18.4% of total FDI). This was mainly attributed to the additional US$500 million plus invested by LG Innotek Co in a project in the northern port city of Hai Phong. By May, 20 2018, foreign investors pour money in 19 among 21 sectors of Viet Nam economy classification system. Specifically, they have committed to pouring US$9.9 billion in projects in Viet Nam in the first five months this year, marking a year-on-year decline of 18.4%, government data has shown. According to the Ministry of Planning and Investment’s Foreign Investment … [Read more...] about RoK remains largest FDI investor in VN
VietNamNet Bridge - Both Vietnamese and foreign investors are rushing to pour money into coffee farms and coffee house chains as the market is very promising. But not all of them will succeed. More new coffee brands have turned up More new coffee brands have turned up in the Vietnamese coffee market, where ‘veterans’ like Trung Nguyen, Vinacafe Bien Hoa and Nestle are holding their firm positions. Three ‘big guys’ Though the trio has similar products, each has special characteristics which make them original. Trung Nguyen ranks Number 1 in terms of diversity with many coffee products, from instant to roasted coffee to civet coffee. Nescafe provides a wide range of mineral water products, food for children, and coffee and dairy products. Meanwhile, Vinacafe only focuses on products made of coffee, offering diverse coffee flavors for choice. More new coffee brands have turned up in the Vietnamese coffee market, where ‘veterans’ … [Read more...] about Is it easy to make money from Vietnam’s coffee market?
The real estate market in the southern province of Đồng Nai still lacks a strategy to develop and attract high-powered investors, despite its many inherent advantages.- Photo dantri.com.vn Đồng Nai has a convenient and well-connected location that is on the main road of National Highway 1A and HCM City – Long Thành – Dầu Giây expressway. Plans are being drawn to build the country’s largest international airport, Long Thành, in the province. Đồng Nai’s tourism sector is growing significantly thanks to the construction of Phạm Văn Đồng road linking Tân Sơn Nhất international airport with Đồng Nai’s Biên Hòa City and the expansion of the National Highway 1A, reducing travel time between HCM City and Đồng Nai Province. In addition, at the end of 2017, HCM City approved the construction of the Metro No. 1 line connecting Bến … [Read more...] about As investors flood Đồng Nai, housing market strains