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Outsourcing to Vietnam: A Complete Guide for Businesses in 2026

As global businesses continue to search for cost-effective ways to scale, improve operational efficiency, and access skilled talent, outsourcing to Vietnam has emerged as one of the most attractive strategies in 2026.

Over the last decade, Vietnam has transformed from a manufacturing-focused economy into a thriving hub for technology, business process outsourcing (BPO), customer support, finance, digital marketing, and professional services. Today, companies from North America, Europe, Australia, Singapore, Japan, and the Middle East increasingly look to Vietnam as a strategic destination for building offshore teams and outsourcing critical business functions.

But what makes Vietnam stand out from other outsourcing destinations? And how can businesses successfully navigate the country’s talent market, legal requirements, and operational considerations?

This complete guide explores everything international companies need to know about outsourcing to Vietnam in 2026.

Why Businesses Are Outsourcing to Vietnam in 2026

Global outsourcing priorities have evolved significantly in recent years. While cost savings remain important, businesses now place greater emphasis on talent quality, scalability, time zone coverage, operational resilience, and long-term value.

Vietnam has become one of the few markets that successfully delivers across all these areas.

vietnam

Key advantages include:

  • Competitive labor costs compared to Western markets
  • Large and growing pool of skilled professionals
  • Strong STEM and technical education system
  • High English proficiency among younger professionals
  • Stable economic growth
  • Increasing digital infrastructure and connectivity
  • Favorable business environment for foreign investment
  • Strong work ethic and commitment to quality

As a result, outsourcing to Vietnam is no longer viewed simply as a cost-reduction strategy. It is increasingly seen as a growth strategy that enables companies to access world-class talent while maintaining operational flexibility.

Vietnam’s Outsourcing Industries in 2026

Vietnam’s outsourcing sector has expanded rapidly across multiple industries.

While software development remains one of the country’s strongest outsourcing segments, international businesses are now outsourcing a much broader range of functions, including:

1. Information Technology and Software Development

Vietnam has established itself as a major technology outsourcing destination in Asia.

Companies commonly outsource:

  • Software engineering
  • Web development
  • Mobile app development
  • QA testing
  • Cloud engineering
  • DevOps
  • Cybersecurity
  • AI and machine learning projects
  • Data analytics

Major cities such as Ho Chi Minh City, Hanoi, and Da Nang continue to produce thousands of highly qualified IT graduates each year, helping meet growing global demand.

2. Customer Support and Contact Centers

Many organizations choose Vietnam for multilingual customer service operations.

Common outsourced functions include:

  • Customer support
  • Live chat services
  • Technical support
  • Help desk operations
  • Customer success teams
  • Email support

Vietnam’s young workforce and growing language capabilities make it particularly attractive for businesses serving global markets.

back office operation

3. Finance and Accounting

Financial outsourcing continues to grow rapidly.

Companies frequently outsource:

  • Bookkeeping
  • Accounts payable
  • Accounts receivable
  • Payroll processing
  • Financial reporting
  • Tax support
  • Financial analysis

These services allow organizations to reduce administrative burdens while maintaining high levels of accuracy and compliance.

4. Digital Marketing

Marketing outsourcing has become increasingly popular among startups and growth-stage businesses.

Typical functions include:

  • SEO
  • Content marketing
  • Paid advertising
  • Social media management
  • Graphic design
  • Marketing automation
  • Email marketing
  • Video production

Vietnam offers a large pool of creative and digital professionals capable of supporting global campaigns.

5. Back Office Operations

Many companies establish offshore support teams to handle administrative tasks.

Examples include:

  • Data entry
  • Virtual assistance
  • Research
  • Documentation
  • Scheduling
  • Procurement support
  • HR administration

By outsourcing these functions, businesses can focus internal resources on strategic priorities.

Key Benefits of Outsourcing to Vietnam

1. Significant Cost Savings

One of the primary reasons businesses pursue outsourcing to Vietnam is cost efficiency.

Salary levels remain substantially lower than those in the United States, Canada, Australia, the United Kingdom, and many European countries.

However, the value extends beyond lower wages. Businesses also reduce costs associated with:

  • Office space
  • Recruitment
  • Employee benefits
  • Infrastructure
  • Equipment
  • Administrative overhead

The result is a highly attractive cost-to-performance ratio.

2. Access to Skilled Talent

Vietnam’s workforce is young, educated, and increasingly specialized.

The country produces a steady pipeline of graduates in:

  • Engineering
  • Computer science
  • Business administration
  • Accounting
  • Marketing
  • Finance

As global talent shortages continue to impact many developed economies, outsourcing to Vietnam provides access to professionals who may be difficult or expensive to hire locally.

3. Scalability and Flexibility

Outsourcing allows businesses to scale operations much faster than traditional hiring models.

Organizations can:

  • Launch new teams quickly
  • Expand into new markets
  • Add specialized talent on demand
  • Support seasonal demand spikes
  • Reduce operational risk

This flexibility is particularly valuable for startups, high-growth companies, and multinational organizations.

4. Strong Cultural Compatibility

Vietnamese professionals are widely recognized for being collaborative, adaptable, and eager to learn.

Many international employers report positive experiences working with Vietnamese teams due to:

  • Strong work ethic
  • Professional communication
  • High attention to detail
  • Commitment to continuous improvement
  • Team-oriented mindset

These qualities often contribute to long-term outsourcing success.

Potential Challenges of Outsourcing to Vietnam

Although outsourcing to Vietnam offers many advantages, businesses should also prepare for potential challenges.

1. Language Differences

English proficiency continues to improve across Vietnam, particularly among younger professionals and technology workers.

However, communication skills can vary depending on role, industry, and location.

Companies should establish:

  • Clear documentation
  • Standard operating procedures
  • Structured onboarding
  • Regular communication channels
hiring offshore tech talent in southeast asia

2. Time Zone Management

Vietnam operates on Indochina Time (ICT), UTC+7.

For businesses in North America or Europe, this can create scheduling challenges.

Many organizations address this by:

  • Creating overlapping work hours
  • Using asynchronous communication tools
  • Establishing clear response expectations

With proper planning, time zone differences often become a strategic advantage that enables round-the-clock operations.

3. Compliance and Employment Regulations

Hiring employees directly in Vietnam may require navigating local labor laws, tax regulations, payroll obligations, and employment contracts.

Businesses that lack a local legal entity may encounter administrative complexity.

This is why many organizations partner with Employer of Record (EOR) providers or outsourcing specialists to ensure compliance.

Popular Outsourcing Models in Vietnam

There are several approaches to outsourcing in Vietnam.

1. Project-Based Outsourcing

Project-based outsourcing is one of the most common ways for companies to begin outsourcing to Vietnam, especially when they want to test the market before making a larger commitment. Under this model, a business hires an outsourcing provider or external team to complete a specific project with clearly defined deliverables, timelines, and budgets.

For example, a company may outsource:

  • Development of a mobile application
  • Website redesign and migration
  • CRM implementation
  • Digital marketing campaigns
  • Software testing and quality assurance
  • Data migration projects
  • Market research initiatives

The primary advantage of project-based outsourcing is predictability. Since the scope is agreed upon upfront, businesses can estimate costs, timelines, and expected outcomes more accurately. This makes it particularly suitable for organizations that need specialized expertise for a short-term initiative but do not require ongoing support after the project is completed.

For instance, imagine a U.S.-based startup needs to develop an MVP (Minimum Viable Product) for a new SaaS platform. Hiring an in-house development team may require recruiting multiple specialists, purchasing equipment, and managing employment costs. Instead, the company can engage a Vietnamese software development team to deliver the MVP within a defined timeframe, allowing leadership to focus on product strategy and fundraising.

To maximize success with project-based outsourcing, businesses should:

  1. Define project requirements in detail.
  2. Establish clear milestones and deliverables.
  3. Create realistic timelines and budgets.
  4. Agree on communication and reporting processes.
  5. Define ownership of intellectual property from the outset.

A well-structured project brief significantly reduces misunderstandings and helps both parties align expectations from day one.

Best suited for:

  • Startups validating new products
  • Businesses with one-time projects
  • Organizations requiring specialized expertise
  • Companies exploring outsourcing for the first time

2. Dedicated Offshore Teams

As businesses become more comfortable with outsourcing to Vietnam, many transition to a dedicated offshore team model. Rather than outsourcing a single project, companies build an ongoing team that functions as a direct extension of their existing workforce.

Under this model, team members work exclusively for your company and integrate into your daily operations, workflows, and company culture. Although they are based in Vietnam, they often participate in the same meetings, use the same collaboration tools, and follow the same performance standards as employees in headquarters.

Dedicated offshore teams can include:

  • Software developers
  • Product managers
  • UI/UX designers
  • Customer support specialists
  • Marketing professionals
  • Finance and accounting staff
  • HR and recruitment professionals
  • Data analysts

This approach offers a balance between cost efficiency and operational control. Unlike traditional outsourcing, where a vendor manages project execution, a dedicated team allows your managers to oversee priorities, assign work directly, and build institutional knowledge over time.

bpo companies

Example:

For example, consider a U.K.-based software company planning to scale from 20 to 100 employees over the next three years. Hiring entirely in London may significantly increase payroll expenses. Instead, the company could establish a dedicated offshore engineering team in Vietnam consisting of:

  • 1 Engineering Manager
  • 6 Software Engineers
  • 2 QA Engineers
  • 1 UI/UX Designer

The result is a scalable development capability that remains fully integrated with the company’s broader operations.

Dedicated teams are particularly effective because they create continuity. Team members gain a deeper understanding of company processes, customer needs, and long-term objectives, which often leads to higher productivity and stronger retention compared to short-term project engagements.

When building a dedicated offshore team, companies should focus on:

  • Hiring for long-term cultural fit
  • Establishing clear reporting structures
  • Providing onboarding equivalent to local employees
  • Encouraging cross-border collaboration
  • Creating career development opportunities

Businesses that treat offshore employees as integral members of the organization often achieve the best results.

Best suited for:

  • Growing startups
  • Scale-ups
  • Technology companies
  • Businesses seeking long-term operational support
  • Organizations building global workforce strategies

3. Business Process Outsourcing (BPO)

Business Process Outsourcing (BPO) involves delegating entire business functions to a specialized outsourcing provider. Instead of managing individual employees or project teams, the service provider takes responsibility for staffing, training, management, quality control, and operational performance.

This model allows businesses to focus on their core competencies while outsourcing routine, repetitive, or operationally intensive functions.

global recruitment partner

Common BPO services in Vietnam include:

Customer Service

Companies frequently outsource:

  • Phone support
  • Email support
  • Live chat operations
  • Customer onboarding
  • Technical assistance
  • Customer retention programs

For example, an eCommerce company serving customers across multiple regions may use a Vietnam-based BPO provider to deliver 24/7 customer support without building its own contact center.

Back-Office Administration

Many administrative processes can be handled efficiently through BPO partnerships, including:

  • Data entry
  • Document processing
  • Appointment scheduling
  • Order management
  • Procurement support
  • Administrative assistance

These functions are essential but often do not directly contribute to revenue generation. Outsourcing them allows internal teams to focus on higher-value activities.

Finance and Accounting

Organizations also leverage Vietnamese BPO providers for:

  • Accounts payable
  • Accounts receivable
  • Payroll processing
  • Bookkeeping
  • Financial reporting
  • Reconciliation activities

This can significantly reduce administrative workloads while improving process consistency and accuracy.

Human Resources Support

Many companies outsource HR-related functions such as:

  • Candidate sourcing
  • Resume screening
  • Employee onboarding
  • Benefits administration
  • HR documentation management

This is particularly valuable for companies expanding internationally and managing employees across multiple jurisdictions.

Choosing the Right Outsourcing Model

The best outsourcing model depends on your business goals, growth stage, and operational requirements.

Business NeedRecommended Model
One-time projectProject-Based Outsourcing
Product development and long-term growthDedicated Offshore Team
Operational efficiency and process managementBPO
Testing outsourcing before larger investmentProject-Based Outsourcing
Building a permanent overseas workforceDedicated Offshore Team
Managing high-volume support functionsBPO

Many successful organizations ultimately use a combination of all three models. For example, a company may begin with a project-based software development engagement, transition into a dedicated offshore team as operations expand, and later outsource customer support through a BPO provider.

This hybrid approach allows businesses to maximize flexibility while leveraging Vietnam’s deep and growing talent pool across multiple functions.

How to Successfully Outsource to Vietnam

Outsourcing to Vietnam can deliver significant benefits, including access to skilled talent, lower operating costs, and faster scalability. However, achieving these outcomes requires more than simply hiring an external team. The most successful companies approach outsourcing strategically, with clear goals, structured processes, and a long-term mindset.

The following steps can help businesses build a successful outsourcing strategy in Vietnam while minimizing common challenges.

1. Define Your Objectives Before You Start

Before speaking with outsourcing providers or beginning recruitment efforts, take time to clearly define what success looks like for your organization.

Many outsourcing initiatives struggle because companies focus on reducing costs without first identifying their broader business objectives. While cost efficiency is certainly important, outsourcing should ultimately support larger goals such as growth, innovation, customer experience, or operational scalability.

Ask yourself:

  • What business problem are we trying to solve?
  • Which functions should remain in-house?
  • Which tasks can be outsourced effectively?
  • Are we looking for short-term support or long-term team expansion?
  • How quickly do we need to scale?
  • What budget have we allocated?

For example, a startup may outsource software development to accelerate product launches, while a mature enterprise may outsource finance operations to improve efficiency and reduce administrative overhead.

Clearly defined objectives will influence:

  • The outsourcing model you choose
  • The type of talent you need
  • Budget planning
  • Performance metrics
  • Provider selection

The more specific your goals are, the easier it becomes to build an outsourcing strategy that delivers measurable results.

Practical Tip

Create a simple outsourcing roadmap before engaging any provider. This document should outline:

  • Business goals
  • Roles to be outsourced
  • Timeline
  • Expected outcomes
  • Success metrics
  • Budget parameters

This creates alignment internally and helps potential partners understand your requirements more accurately.

2. Choose the Right Outsourcing Partner

Choosing the right outsourcing partner can significantly influence the success or failure of your initiative. Even the most talented workforce may struggle if the provider lacks strong recruitment capabilities, operational expertise, or local market knowledge.

Rather than selecting a partner solely based on pricing, businesses should evaluate the overall value they bring.

Key evaluation criteria include:

Industry Experience

Look for partners that understand your industry and business environment.

For example:

  • Technology companies may require experience hiring software engineers and product teams.
  • eCommerce businesses may need expertise in customer support and digital marketing.
  • Financial services firms may prioritize compliance and accounting expertise.

Industry knowledge often leads to faster hiring, better candidate quality, and smoother onboarding.

Recruitment Capabilities

A strong outsourcing partner should have access to a broad talent network and proven recruitment processes.

Questions to ask include:

  • How do you source candidates?
  • What screening methods do you use?
  • What is your average time-to-hire?
  • How do you assess technical skills?
  • How do you verify language proficiency?

The quality of talent you hire will directly impact the success of your offshore operation.

Compliance Expertise

Vietnam’s employment regulations, tax requirements, payroll obligations, and labor laws require careful management.

Your outsourcing partner should demonstrate expertise in:

  • Local labor laws
  • Employment contracts
  • Payroll administration
  • Tax compliance
  • Data protection requirements

This is particularly important for companies that do not have a legal entity in Vietnam.

Scalability

Your needs today may be very different from your needs in twelve months.

Consider whether your partner can support:

  • Hiring one employee
  • Building a team of ten
  • Scaling into hundreds of employees

A scalable partner reduces the need to switch providers as your business grows.

Practical Tip

Before making a final decision, request:

  • Client references
  • Case studies
  • Sample hiring timelines
  • Service-level agreements (SLAs)
  • Detailed pricing structures

A transparent provider should be able to clearly explain how they deliver results and support long-term growth.

3. Invest in Comprehensive Onboarding

One of the most overlooked aspects of outsourcing success is onboarding.

Many companies assume that once talent is hired, productivity will immediately follow. In reality, even highly skilled professionals require time, guidance, and context to become effective contributors.

A structured onboarding process helps offshore employees understand:

  • Your company mission
  • Products and services
  • Internal workflows
  • Communication expectations
  • Performance standards
  • Customer requirements

Without proper onboarding, new team members often spend weeks trying to fill knowledge gaps, which can delay results and create unnecessary frustration.

What Effective Onboarding Should Include

Company Overview

Introduce your organization’s:

  • History
  • Vision
  • Core values
  • Organizational structure
  • Key stakeholders

This helps offshore employees feel connected to the larger business.

global recruitment platform
Role-Specific Training

Provide documentation and training related to:

  • Systems and software
  • Standard operating procedures
  • Team responsibilities
  • Quality standards
  • Project workflows

The clearer the documentation, the faster employees can become productive.

Product and Customer Education

Employees who understand your customers make better decisions.

Share information about:

  • Target audience
  • Customer challenges
  • Product offerings
  • Brand positioning
  • Competitive landscape

This context improves performance across virtually every role.

Practical Tip

Many successful companies create a 30-60-90-day onboarding plan that outlines:

First 30 Days

  • Learning and training
  • Shadowing team members
  • Understanding processes

Days 31-60

  • Taking ownership of tasks
  • Increasing productivity
  • Receiving regular feedback

Days 61-90

  • Operating independently
  • Achieving performance targets
  • Contributing strategic insights

This structured approach helps employees transition smoothly into their roles.

4. Establish Strong Communication Frameworks

Communication is often cited as one of the most important factors in outsourcing success.

While technology has made global collaboration easier than ever, businesses still need clear communication systems to ensure teams remain aligned across countries and time zones.

Without structure, communication gaps can lead to:

  • Delayed projects
  • Misunderstood priorities
  • Reduced productivity
  • Employee disengagement

Fortunately, these challenges are highly manageable with the right processes in place.

Create Clear Communication Channels

Determine which platforms will be used for different purposes.

For example:

PurposeRecommended Channel
Quick questionsSlack or Microsoft Teams
Formal updatesEmail
Project managementJira, Asana, ClickUp, Monday.com
DocumentationConfluence, Notion, Google Drive
MeetingsZoom or Google Meet

When employees know where information belongs, communication becomes more efficient and organized.

Schedule Regular Check-Ins

Consistency is critical.

Many organizations establish:

  • Daily stand-ups for project teams
  • Weekly team meetings
  • Monthly performance reviews
  • Quarterly business reviews

Regular meetings help identify issues early and keep everyone aligned on priorities.

Manage Time Zone Differences Strategically

Vietnam operates on ICT (UTC+7), which creates varying degrees of overlap with global markets.

Approximate time differences include:

LocationTime Difference
SingaporeSame time zone
Sydney+3 hours
Dubai-3 hours
London-6 to -7 hours
New York-11 to -12 hours
Los Angeles-14 to -15 hours

Rather than viewing this as a challenge, many companies leverage time zone differences to extend operational coverage and accelerate project delivery.

For example, a U.S. company can assign tasks at the end of its workday and receive completed work the following morning.

Practical Tip

Document key decisions after meetings and store them in a centralized location. This reduces misunderstandings and provides clarity for team members who may not attend every discussion.

5. Monitor Performance and Continuously Improve

Outsourcing should not be viewed as a “set it and forget it” initiative. Like any business function, it requires ongoing measurement and optimization.

Successful organizations establish performance metrics from the beginning and review them regularly.

Depending on the function being outsourced, relevant KPIs may include the following (we have divided the KPIs into different types of teams for easier visualization):

Customer Support Teams

  • First response time
  • Resolution time
  • Customer satisfaction scores (CSAT)
  • Net Promoter Score (NPS)
  • Ticket backlog

Software Development Teams

  • Sprint velocity
  • Delivery timelines
  • Defect rates
  • System uptime
  • Code quality metrics
IT department

Finance and Accounting Teams

  • Processing accuracy
  • Reporting timelines
  • Reconciliation completion rates
  • Compliance adherence

Performance reviews should focus not only on results but also on identifying opportunities for improvement.

Questions to ask regularly include:

  • What’s working well?
  • What challenges are emerging?
  • Where can efficiency improve?
  • What additional resources are needed?
  • Are current processes still supporting business goals?

Continuous improvement ensures that your outsourcing operation evolves alongside your business.

6. Build Long-Term Relationships, Not Vendor Relationships

One of the biggest mistakes companies make is treating outsourced teams as external resources rather than valuable members of the organization.

The most successful offshore teams are those that feel connected to the company’s mission, culture, and long-term objectives.

Businesses can strengthen engagement by:

  • Including offshore employees in company meetings
  • Sharing business updates and successes
  • Recognizing achievements publicly
  • Providing professional development opportunities
  • Encouraging collaboration across regions

When offshore professionals feel invested in the organization’s success, they are more likely to contribute innovative ideas, remain with the company longer, and consistently deliver high-quality work.

This is particularly important in Vietnam, where workplace culture often emphasizes teamwork, loyalty, and long-term professional relationships.

Is Vietnam Better Than Other Outsourcing Destinations?

Many businesses compare Vietnam with other major outsourcing markets such as India, the Philippines, Malaysia, and Eastern Europe.

While every destination has its strengths, Vietnam offers a compelling balance of:

  • Competitive costs
  • Technical expertise
  • Workforce quality
  • Economic stability
  • Talent availability
  • Business-friendly environment

For organizations seeking a long-term outsourcing destination in Asia, Vietnam remains one of the strongest options available in 2026.

The Future of Outsourcing to Vietnam

The outlook for outsourcing to Vietnam remains exceptionally positive.

Several trends are expected to drive continued growth:

  • Expansion of digital transformation initiatives
  • Increased global demand for skilled technology talent
  • Growth of AI and data-focused roles
  • Rising demand for multilingual support teams
  • Continued foreign investment in Vietnam
  • Greater adoption of remote and distributed workforce models

As companies seek resilient and scalable workforce solutions, Vietnam is positioned to play an increasingly important role in global outsourcing strategies.

How TalentHero Helps Companies Build Efficient Teams in Vietnam

For international businesses looking to enter the Vietnamese market, finding and managing talent can be challenging without local expertise.

TalentHero helps companies hire, manage, and scale teams across Vietnam and the broader APAC region through flexible workforce solutions designed for businesses of all sizes.

Our services include:

  • Employer of Record (EOR) Services: Hire employees in Vietnam and other countries without establishing a local legal entity while remaining fully compliant with local regulations.
  • Recruitment on Demand: Access top talent quickly through our vetted network of recruiters and hiring partners.
  • Outsourcing & BPO Solutions: Build high-performing offshore teams that support growth while optimizing operational costs.
  • Global Payroll: Manage payroll accurately, efficiently, and compliantly across multiple countries.
  • Contractor Management: Engage freelancers and independent professionals while reducing compliance risks.
  • Office Space & Hot Desking: Support distributed and hybrid teams with flexible workspace solutions.
  • Equipment Procurement & Rental: Provide laptops, technology, and equipment to employees wherever they are located.
  • Visa & Immigration Services: Simplify international talent mobility and cross-border hiring.
  • Earned Wage Access: Improve employee experience by allowing workers to access earned wages before payday.

Whether you need to hire a single specialist or build a large offshore operation, TalentHero provides the expertise, infrastructure, and local knowledge required to scale with confidence.

Ready to Build Your Team in Vietnam?

Outsourcing to Vietnam has evolved far beyond a cost-saving initiative. In 2026, it represents a strategic opportunity for businesses seeking access to skilled talent, operational flexibility, and sustainable growth.

For companies ready to build offshore teams, expand globally, and access top-tier talent, Vietnam remains one of the most compelling outsourcing destinations in the world.

Contact TalentHero today and unlock the full potential of global talent.

Frequently Asked Questions About Outsourcing to Vietnam

1. Why are companies outsourcing to Vietnam in 2026?

Companies are increasingly outsourcing to Vietnam because the country offers a strong combination of skilled talent, competitive labor costs, economic stability, and a growing digital economy. Vietnam has become a leading outsourcing destination for software development, customer support, finance and accounting, digital marketing, and back-office operations. For many businesses, outsourcing to Vietnam provides access to high-quality talent while reducing operational costs and improving scalability.

2. What services can be outsourced to Vietnam?

Vietnam supports a wide range of outsourcing functions across multiple industries. Commonly outsourced services include:

  • Software development and IT services
  • Customer service and technical support
  • Finance and accounting
  • Digital marketing and creative services
  • Human resources and recruitment support
  • Data entry and administrative tasks
  • Business process outsourcing (BPO)
  • eCommerce operations and support

Many businesses begin by outsourcing a single function and gradually expand their offshore teams as their needs grow.

3. Is Vietnam a good alternative to India or the Philippines for outsourcing?

Vietnam is often considered one of the strongest alternatives to traditional outsourcing destinations such as India and the Philippines. While each market has its own strengths, Vietnam is particularly attractive for companies seeking technical talent, dedicated offshore teams, and long-term workforce solutions. Businesses often choose Vietnam for its strong STEM talent pipeline, competitive costs, high employee retention rates, and rapidly growing technology ecosystem.

4. Do I need to establish a legal entity to hire employees in Vietnam?

Not necessarily. Companies that want to hire talent in Vietnam without setting up a local entity can work with an Employer of Record (EOR) provider. An EOR serves as the legal employer on behalf of the company and manages employment contracts, payroll, benefits, tax compliance, and local labor law requirements. This allows businesses to hire quickly and compliantly while avoiding the cost and complexity of establishing a local subsidiary.

5. What is the best outsourcing model for businesses entering Vietnam?

The best outsourcing model depends on your business objectives and growth plans.

  • Project-Based Outsourcing is ideal for short-term initiatives with defined deliverables.
  • Dedicated Offshore Teams are best for companies seeking long-term talent and greater operational control.
  • Business Process Outsourcing (BPO) works well for organizations looking to outsource entire functions such as customer support, finance, or back-office operations.

Many companies start with a project-based engagement and later transition to dedicated offshore teams as their operations expand in Vietnam.

“The future of staff augmentation looks promising, with technological advancements and globalization shaping its trajectory. It will become an even more important part of staffing strategies across industries.”  

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OLIVER LEWIS

Founder & CEO

Oliver is an entrepreneur and global recruiter with over 15 years experience – owning, training, managing and growing a recruitment businesses in Europe and South East Asia. He successfully built RPO teams for the UK, Europe, Singapore, Hong Kong, Japan, Australia, Canada, and the USA. He’s managed to grow a start up from 2 employees to 600+ employees.

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TalentHero is your all-in-one platform for building and managing a global workforce. We streamline international hiring with expert Employer of Record (EOR) services, Global Payroll, and Recruitment on Demand. From sourcing talent and managing contractors to handling visas, office space, and equipment, we provide the essential solutions to help you scale your team anywhere in the world, compliantly and efficiently.

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