Vietnamese Companies Face Challenges in the US Market
During the exploration of entering the US market, many Vietnamese enterprises, especially small and medium-sized ones, encounter numerous difficulties and obstacles. The lack of management skills and technological expertise poses a significant challenge for them to meet the high standards of the US market. This includes the capacity to manage production, quality control, and supply chain management effectively, hindering product quality improvement and production cost reduction.
Information Deficiency and Lack of Proper Preparation
Vietnamese businesses often lack up-to-date and accurate information about the US market, leading to erroneous decisions in export strategies. Inadequate preparation and detailed planning decrease the efficiency of export activities. Relying on outdated and unreliable information results in misunderstandings about the market and US export regulations.
Legal Barriers and Stringent Standards
The US market imposes strict regulations and standards regarding product quality, food safety, environmental standards, and labeling requirements. Vietnamese enterprises must comply with standards such as FDA for food and pharmaceutical products and CPSC for consumer goods. Failure to understand and adhere to these regulations may lead to rejection or recall of products.
Solutions for Exporting to the US Market
To address these issues, leveraging Artificial Intelligence (AI) and Big Data in export operations and business management has emerged as a pivotal solution. AI optimizes HS CODE classification and adjusts product categories to maximize tariff benefits, while also allowing companies to grasp international market trends and turn challenges into opportunities effectively.
Wisematch Vietnam’s Initiative for Export Success
To assist Vietnamese enterprises in seizing opportunities in the US market, Wisematch Vietnam and the Department of Industry and Trade have organized an event titled “Information Consultation and AI Applications in Exporting to the US Market.” This event provides companies with networking opportunities, access to the latest import-export data, assistance in finding manufacturing facilities or materials, and comprehensive insights into the US export market. Additionally, participants will gain in-depth knowledge about AI applications to optimize costs and enhance efficiency in export operations. Reach out here for further details on the program and participation guidelines.
### Additional Facts:
– Vietnamese exports to the US have been increasing steadily over the years, with key products including textiles, electronics, footwear, and seafood.
– The US is one of the top export destinations for Vietnam, highlighting the importance of effectively tapping into this market.
– Cultural differences and language barriers can also present challenges for Vietnamese companies seeking to enter the US market.
### Key Questions:
1. What are the specific regulatory bodies in the US that Vietnamese companies need to comply with when exporting their products?
2. How do market trends in the US impact export strategies for Vietnamese businesses?
3. What are the key technological solutions apart from AI that can help Vietnamese enterprises improve their export operations?
### Key Challenges:
– Adapting to the stringent quality and safety standards of the US market.
– Overcoming information gaps and outdated trade knowledge.
– Developing the necessary skills and expertise to navigate the complexities of international trade effectively.
### Advantages:
– Access to a large and lucrative market with high purchasing power.
– Opportunity for growth and expansion of Vietnamese businesses on an international scale.
– Adoption of AI and data-driven strategies can provide a competitive edge and improve operational efficiency.
### Disadvantages:
– Initial investment in technology and training may be costly for some smaller enterprises.
– Potential language and cultural barriers that could impact effective communication and negotiation.
– Compliance with stringent US regulations may require significant resources and expertise.
### Related Links:
– Wisematch Vietnam
– US Chamber of Commerce
– Country Commercial Guide for Vietnam