Vietnam’s Low National Competitiveness, Causes, Implications and Suggestions for Improvement

This study provides an in-depth analysis of main causes of Vietnam’s low competitiveness from the country’s perspective. These are structural problems due to its factor-based growth model, expansionary policies to aid growth, slowly improved business environment, low R&D expenditure, poorly performing higher education and under-developed infrastructure. Further, the research examines implications of these shortcomings for Vietnam. These are low productivity, diminishing GDP growth, middle income trap, macroeconomics instability, low business competitiveness, low technology level, low human capital quality and environmental degradation.