1. Vietnam's Textile Industry - Opportunities and Challenges Vietnam's textile industry has expanded altogether since normalizing associations with the United States in the 1990's. The textile business is presently the second greatest exporter in Vietnam.

2. Labour Cost Advantage In the textile business, organizations are progressively searching for lower cost nations that can give outsourcing opportunities. The increasing expense of land and labour are lessening China's work cost favorable position and Vietnam is progressively observed as an low cost sourcing alternative option to China.

3. Low Cost Location However, low cost labour is not really an upper hand in the long haul. Labour cost continues changing and today's low cost location is not really tomorrow's suitable outsourcing location. If it is not China or Vietnam, it could be Bangladesh or Cambodia.

4. The Vietnam Advantage Manufacturing advantages in Vietnam go beyond labor cost and the nation has some upper hands contrasted with China. Vietnam has great weaving skills and needle work. A great deal of designers and producers require weaving skills and Vietnam has stayed in contact with its traditional roots. Vietnam has higher production minimums than numerous different nations. Lower minimums would permit smaller organizations to source their product in Vietnam.

5. Intellectual Property Threat For some organizations outsourcing to Vietnam, intellectual Property (IP) remains a concern. Inside the fashion business, IP is not as enforced as it is inside the film and music industries. Designers can "take inspiration" and it is viewed as a noteworthy driver for setting trends in the business.

6. Infrastructure Development For Vietnam to progress as an outsourcing location, the textile industry supply chain needs to be considered. Nearby logistics are impacted by immediate and indirect cost. Numerous experts believe that China's propelled foundation gives it a noteworthy upper hand. Power and transportation expenses will probably descend much further and this will significantly affect the aggregate cost, regardless of the possibility that their labour is more costly.

7. Through evaluating the overall supply chain, instead of a solitary concentrate on labour costs, it is simpler to recognize where Vietnam's opportunities and challenges lie in the textile business.

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