India and China have been the two most well-known hotspots for any foreign technology company to get outsourcing IT support. Besides, Vietnam has managed to catch up and draw comparative numbers of businesses’ attention looking to their needs in recent years. Nowadays, more and more businesses notice Vietnam IT outsource for its groundbreaking growing IT infrastructure.
However, with the aim to reach 1,000,000 software engineers in 2020, the Vietnamese Government has adjusted a lot of laws and issued many circulars to support the development of technology. Therefore, a number of organisations and companies which are looking for exporting IT projects to Vietnam are supported to find real estate and connected with local HR organisations or the telecom vendors.
Reducing cost is one main factor for Vietnam IT outsourcing’s appeal. To hire labour here, it doesn’t cost you much. The cost of labour is just about one-third of the cost of labour in India.
People are young, enthusiastic about the work they are assigned. educated talent pool. About two-thirds of the population is under the age of 30.
Vietnam seems to be an attractive destination to invest if you introspect other factors like wage inflation, salaries, real estate costs, etc. Moreover, with 30-50% less in terms of cost of operations than India, many companies now are seeing Vietnam as a great potential outsourcing place.
If labour cost is what attract foreign businesses outsource to Vietnam, workplace loyalty is a crucial thing they want to invest in the long term. It seems to be a characteristic of Vietnamese culture, influencing attrition rates. According to remoteresources.com, this rate in Vietnam is just between 6 and 8%, compared to this rate in India at about 20%.
Moreover, Vietnamese talent in the software development industry is prestigiously valued for their hard-working spirit, flexibility and adaptability to the fast-changing environment.
Although IT outsourcing in Vietnam is quite new, its significant growth proved that this country is a promising potential market. With a fast-growing GDP, high technical talent, modern technological infrastructure and high retention rates, Vietnam is making their way to attract global companies, also further develop its already-strong IT infrastructure.