Vietnam's nation brand has been valued at US$203 billion, making it among the top 50 most valuable nation brands in the world.
Brand Finance, an independent branded business consultancy, evaluated Vietnam’s brand as having moved up five places from the 2016 ranking to the 45th most valuable nation brand, according to Vietnam News.
Presently, the world’s most valuable brands this year are the US, which is worth US$21.1 trillion, followed by China at US$10.21 trillion, Germany at US$4.021 trillion, Japan at US$3.493 trillion, and the United Kingdom at US$3.129 trillion.
Vietnam’s value has increased 43% since last year and it now ranks as the fifth fastest-growing nation brand of 2016. Iceland jumped 83% in nation brand value, reaching US$26 billion putting it at the number one fastest growing brand, followed by Cyprus, Spain, and China.
Brand Finance gave Vietnam’s nation brand a A+ rating, which means that it is “strong.” In comparison, Singapore has the strongest nation brand with a ranking of AAA+.
Economists attribute the Vietnam’s growth to its participation in free-trade agreements which motivate local businesses to invest in exports and seek new opportunities, according to VietnamNet. At the same time, global commodity prices are on the rise, resulting in increased export values.
The Ministry of Industry and Trade also credited the newfound growth to improvements in Vietnam's investment and business environment, as well as the simplification of administrative procedures.
Brand Finance noted on the effect of the government promotional program known as "Vietnam Value" for the growth of Vietnam’s processed food industry, which now is responsible for more than US$17 billion of the nation’s exports, and the apparel industry which makes up over US$22 billion.
"These economic contributions are absolutely crucial for Vietnam’s overall growth and would not have been entirely possible without the concentrated efforts by the Vietnamese government," the report writes. The program was first implemented in 2003.
Brand Finance also reported on changes in the international marketplace: consumers now have a wider selection of products from different countries, and now seek a higher quality of assurance than what is simply provided by the products’ place of origin.
The report stated: "Gone are the days when just saying 'Made in XYZ' was enough. Clearly everything manufactured in Vietnam, Thailand, India and Australia, as well as Turkey, China or America could not all be great and vice versa.
"Consumers need a warranty and assurance from the governments about the quality of products the country is exporting," Brand Finance noted. It elucidated that building a strong national quality mark is a solution to creating trust in products from a particular country. "A well-managed national quality mark is the key to nation brand success and doing it right can bring great benefits."
[Photo via National Times]
