The Vietnamese pharmaceutical market: a comparison of foreign entry strategies

Background. Entry strategies in the Vietnamese pharmaceutical market are under-researched. Aim. The first part of the paper provides an overview of the Vietnamese pharmaceutical market, and the second part a theoretical framework to understand the various foreign entry strategies. Methodology. Literature review and interviews with professionals. Contribution. Preference for one mode over another depends on market and company characteristics, the firm's objectives and risk aversion level. Recommendations. There are few joint ventures. Licensing and acquisition of a local drug firm appear risky owing to lack of IP rights and cultural clash. The long-term pay-offs of wholly owned subsidiaries are higher.