Analyze "SWOT Model" in Attracting the Foreign Direct Investment (FDI) of Korea in Viet Nam

초록

As a developing country in the industrialization and modernization process, Vietnam considers foreign direct investment (FDI) a significant element enhancing the social-economic development. Since the establishment of diplomatic relationship with Korea (December 22, 1992), Korea has always been listed in Top 3 largest countries investing in Vietnam.The FDI have contributed much to the success of innovation process and restructuring process in Vietnam from 1986 to date. However, the attraction level of South Korean investment in Vietnam compared to that of other Asian countries was lower in 2010 than in 2005. According todate from the Ministry of Planning and Investment (MPI), by July 20th 2011 South Korea has taken the leading position among 92 countries and territories to invest in Vietnam with 2,832 projects and pledged capital of 23.404 billion USD (accounting for 21.8 % of all projects and 11.5% of total registered capital), which is 260 times as much as that in 1992 (90 million USD) when Vietnam-Korea diplomatic relation was set up (22/12/1992). Through analyzing the "SWOT model", in this paper, we will attempt to explain the effect of Strengths, Weakness, Opportunities and Threats(SWOT) of Vietnam on attracting the Korea’s FDI flow into Vietnam.

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