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Comparative Analysis of Trade Competitiveness between Bangladesh and Vietnam: Lessons for Bangladesh

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  • Mai, Nhat Chi

Abstract

Bangladesh and Vietnam have been the largest garments exporters to the world in recent decades after China. Therefore, competition between Bangladesh and Vietnam in the textile industry is getting intense day-by-day. Nonetheless, both the country shared some of the similar traits in policy reformation. Such as, both the nations became independent during the 1970s and reformed export-oriented policies during the 1980s. However, except for the apparel industry, Bangladesh had not gained any extraordinary success that can be comparable to Vietnam. Moreover, Vietnam’s trade competitiveness had always been better than Bangladesh in most of the period. The paper aims to identify the areas where Bangladesh is lagging behind Vietnam in terms of trade. In this regard, the various international index had been compared. From the comparisons, it has been linked with the trade scenario associated with both the nations. The findings are Vietnam’s policy has always been investing more in human capital, infrastructure and chances of export diversification. Additionally, Vietnam had been prosperous in attaining FDI inflows in different sectors of the economy. Hence, the country gained strong trade competitiveness through diversified export basket especially in electronics.

Suggested Citation

  • Mai, Nhat Chi, 2019. "Comparative Analysis of Trade Competitiveness between Bangladesh and Vietnam: Lessons for Bangladesh," OSF Preprints b7fkj, Center for Open Science.
    • Handle: RePEc:osf:osfxxx:b7fkj
    DOI: 10.31219/osf.io/b7fkj
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