EIJS Working Paper Series,
Stockholm School of Economics, The European Institute of Japanese Studies

Abstract: Small and medium sized enterprises (SMEs) have been important for Vietnam’s rapid economic development. However, the context in which SMEs operate are rapidly changing with the current internationalisation of the Vietnamese economy. The question posed in this paper is “How are Vietnam’s SMEs affected by the internationalization process?” This will give an indication of what challenges lie ahead if the plans for further trade liberalization and internationalization are realized. The basis of our analysis is a unique database on the activities of a large sample of Vietnamese SMEs in 1990, 1996, and 2002, with quantitative data about various aspects of company operations, as well as qualitative information about the entrepreneurs’ perceptions of the current business environment and expectations about the future.

Keywords: SME; globalization; internationalization; trade; Vietnam

JEL-codes: F14; O14; O53

37 pages, First version: June 10, 2004. Revised: October 14, 2004.

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Published as

Ari Kokko and Fredrik Sjöholm, (2005), 'Globalization of Vietnamese SMEs', Asian Economic Papers, vol 4, no 1, pages 152-177

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