Why global companies hire outsourcing software development in Vietnam?

OCT 21,2022
Thao Nguyen

Vietnamese outsourcing software development is increasingly being hired by businesses globally. This is due to a variety of factors, including the nation's educated and talented workforce as well as its low cost of living.

In this post, we'll take a deep look at what businesses might anticipate from outsourcing to Vietnam. Along with a list of the best outsourcing firms in Vietnam, we'll also talk about the country's business climate and infrastructure.

Why is Vietnam the best choice for outsourcing software development?

Saving costs and beneficial business location

The possibility of cost reduction is one of the most important benefits. Vietnam has a comparatively cheap cost of living, which means that labor costs are also lower than in other nations. The Vietnamese government also provides a number of incentives to businesses that outsource their activities there. These incentives consist of tax reductions, special treatment for company licenses, and permits.

Vietnam's business environment is also advantageous for outsourcing companies. The Vietnamese government has been putting a lot of effort into enhancing the business climate and increasing its allure to global investors. Additionally, Vietnam has a significant number of bilateral and multilateral trade agreements, making doing business there simpler for corporations.

Educational and talented human resources

One of the main advantages is the nation's skilled and educated workforce. Vietnam has a top-notch educational system, and many pupils start learning English at an early age. This facilitates communication between businesses and their Vietnamese counterparts.

Additionally, the talent pool in Vietnam is deep, and many experienced software developers are looking for work. Vietnamese outsourcing companies also have access to a sizable pool of professionals who have settled down after working abroad. These employees frequently have previous experience working for multinational corporations and are acquainted with Western business procedures.

Supportive political conditions for outsourcing software development

Vietnam's excellent political climate is one of the factors that make it a desirable outsourcing location. Since the 1990s, the nation has been progressively advancing toward democracy, and as of right now, it is referred to as a "consolidated democracy." Therefore, businesses in Vietnam can conduct operations without worrying about political unrest or interference.

Additionally, Vietnam has free trade agreements in place with other nations, including the United States, and is a member of the World Trade Organization (WTO). This makes it simple for businesses to conduct trade with and export their goods to other markets from Vietnam.

Last but not least, Vietnam is one of the few nations in Southeast Asia free of territorial conflicts with its neighbors. As a result, conducting business there is quite safe and secure.

3 Key Challenges of Outsourcing to Vietnam 

There are a few major issues with software development outsourcing that businesses need to be aware of. These consist of:

Infrastructure: When outsourcing to Vietnam, infrastructure is one of the main obstacles. Infrastructure-wise, the nation lags behind neighboring Southeast Asian nations like Singapore and Malaysia. Companies may find it challenging to interact with their staff and complete the work on time as a result.

The Business Environment: When outsourcing to Vietnam, businesses must also contend with the local business climate. The business climate in the nation is still quite young and underdeveloped. Companies may find it challenging to negotiate contracts and recruit skilled candidates as a result.

The Language Barrier: The language barrier is one of the biggest obstacles to outsourcing to Vietnam. Despite rising in popularity, English is still not commonly spoken throughout the nation. Communication may become challenging as a result, necessitating that businesses spend money on language training for their staff.

Top Software Outsourcing Companies in Vietnam 

Vietnam offers a wide range of excellent possibilities when it comes to outsourcing software development. Three of the best software outsourcing businesses in the nation are listed below:

Melisoft

Melisoft offers high-quality outsourcing software development for businesses. Our services include Website / Mobile Applications, Blockchain, AI and Big Data services. Melisoft is a professional in software development, dedicated to transforming your dream business with advanced technology.

Melisoft provides high-quality software development and software testing services to clients worldwide. Founded in 2019, we have developed our Meliplatform to support young startups and turn them into “Unicorns”.

What makes Melisoft the excellent choice for startup businesses:

  • High-quality source code delivery

"Code for the maintainer" is our golden rule. Our engineers & QA team follow strict protocols/guidelines to deliver the source code that is structurally clear & easy to understand, making it sustainable for long-term development.

  • Reduce your cost

Leverage costs Offshore Model, leverage the latest digital platforms and technologies to optimize cost while improving performance.

  • Focus on UI/UX

We are not just software engineers. We are also product owners and obsessed with user experience as well. We analyze business requirements and, together with our client, come up with the best UI/UX experience for end users.

  • Fast delivery

We have been praised for our speed. Our team is extremely productive. We've been also developing our homegrown Meliplatform and used it for different projects over the years.

Saigon technology

One of the leading outsourcing firms for software in Vietnam is Saigon Technology. Since its founding in 2012, the business has finished more than 200 projects for customers all over the world. Saigon Technology specializes in a broad range of services, including the creation of custom software and web and mobile applications.

Saigon Technology's commitment to quality sets it apart from other software development firms. The business follows a tight quality control procedure that includes unit testing and routine code reviews. All consumers are also given a 100% satisfaction guarantee by Saigon Technology.

KMS Technology

A leading supplier of software services, including consulting, testing, and development, is KMS Technology. The company's headquarters are in Ho Chi Minh City, and it employs more than 1500 people. Since its founding in 2006, KMS Technology has collaborated with some of the biggest corporations in the world, such as Dell, Microsoft, and Samsung.

Enterprise resource planning (ERP) systems, web and mobile application development, e-commerce options, and other software development services are all provided by KMS Technology. The business employs a group of seasoned programmers with expertise in several different programming languages, including Java,.NET, PHP, and Python.

Conclusion

Vietnam is a wonderful place to outsource your software development if you want to save money and have access to skilled staff. The workforce in the nation is educated and skilled, and living expenses are low.

The Vietnamese government also provides numerous incentives to businesses that outsource their operations there. Contact us if you want to work with a reliable outsourcing company in Vietnam.

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