Opportunities and Challenges of Social E commerce in Vietnam

Asian countries have not been left behind in incorporating the internet to transact business operations. Such nations have realized the importance of embracing the World Wide Web. E-commerce can be conducted in many ways. Social electronic commerce is a critical aspect of consideration when conducting online business. It is at times referred to as the act of social shopping. Nowadays, the trading activities are being digitized. Therefore, there is the need to research on the various dimensions of the social shopping in Vietnam. Scope The issue of social electronic commerce is gaining popularity in most parts of the world. It is a product of technology that is swiftly transforming the buying and selling of goods and services. The project is concerned with the social shopping as a type of e-commerce.

Vietnam is a country in Asia that has seen the introduction of e-commerce in the recent past. The idea has not yet fully established as it is in most developed nations. Under the section, I will be analyzing the literature available concerning social e-commerce in the nation. I will look at the various opportunities and challenges available in such a market. Opportunities Opportunities are crucial gaps that a business can capitalize on to attain maximum outputs. A majority of the youth and the old have social media accounts. The most common website accessed by the population is Facebook. About 12 million individuals use the site as their main social site where they can interact with others in the society (Liang, Ho and Turban, 1).

The United States-based website is then followed by Zing Me which also has got a huge section of the population using it. The figure of the social media users grows every day. It is an essential advertising tool that should be incorporated by companies in the region. For instance, the use of Facebook site in Vietnam can be efficient tool since consumers can advertise and promote their products. They can share information on goods and services over the available social sites. Such a trend is an enabling factor for doing business in social media in the country. Mobile Phones Salvatori and Marcantoni presuppose that the emergence of a large variety of cell phones has transformed the livelihood of people all over the world (3).

Such data would then enable the company to obtain useful information about what they offer. Later, the firm would put strategies as per what the consumers say. Therefore, the wide usage of handsets in Vietnam spearheads the social electronic commerce. Social Shopping as a growing Concept The economy of Vietnam is still in transformation as most of the people are in the middle class (Talib and Saat 2). Under such regions, there are many opportunities to conduct businesses. Challenges It can be defined as the obstacles that hinder achievement of something (Liang, Ho and Turban 2). In the case of social electronic commerce, it is vital to understand the issues likely to be faced while transacting. It would enable companies to come up with new strategies that would conquer such challenges.

Different parts of the world have distinct challenges regarding social commerce. It is due to the difference in the economic status and development. The likes of Lazada and Shoppe have gained enormous popularity among the population. However, there are many other new entries into the market that employs the social shopping. Therefore, it is the task of the companies to improve their social stores in terms of experiences and the services offered. Failure to adopt effective features on the social media would lead to business decline. Additionally, the new entries have the challenge of establishing their social presence. Due to such evident illiteracy levels, the idea of social shopping is crippled. A few can be able to connect and interact with businesses in the social media.

The larger market for goods and services in Vietnam are semi-literate hence unable to shop on applications such as Facebook. However, the population’s skills level is on the rise and might have a positive impact on the social shopping sector in the near future. Privacy Problems The social media sites are essential components of our daily lives (Salvatori and Marcantoni, 4). The Vietnamese population still has a limited confidence in social selling and buying. Culture The people’s culture is a critical element in trade (Liang, Ho and Turban 4). Organizations are supposed to assess the various characteristics of the society before commencing their operations. The technological sector is adversely affected by the cultural practices of the society. Some of the communities tend to be resistant while embracing new aspects of doing things.

Conclusion The electronic commerce has evolved in the previous years. The incorporation of the social media aspect into the industry has become a game changer for businesses all over the world. The introduction of such functionalities is crucial for business prosperity. In Vietnam, the situation is a bit different from other developed nations. The idea of trading over the internet is still in progress and has not yet been widely accepted by the community. A large section of the population has acknowledged the importance of conducting businesses through the social media platforms. Therefore, there is a promising future for companies that employ the use of social shopping to do their businesses in Vietnam. Works Cited Gatautisa, Rimantas and Audrone Medziausiene. "Factors Affecting Social Commerce Acceptance in Lithuania.