Vietnamese Restaurant Market

            Vietnamese food is not strange to Americans these days, Vietnamese food is well known for using heady aroma and fresh ingredient to create rich nutrient dishes and great taste. Nowadays, when people are care more about their daily meals, healthy and rich nutrient such as – Vietnamese food is an optimal choice. Most well-known Vietnamese dishes is “Pho”. Currently, there are 2 million Vietnamese people live in United States and around 2000 Vietnamese restaurants in United States and Canada. Vietnamese restaurants will growing more popular in United States, in future chain of Vietnamese restaurants will become a part of mainstream culture of United States.

            Since 1999 till now, Asian food restaurants grown more than 135 percent in United States (Ferdman, 2015). It proves that, Asian cuisine is become a food trend for Americans. Asian food is includes: Chinese, Thai, Malaysian and Vietnamese. In United States, the famous Chinese fast food chain is Panda Express and its reach to $2 billion sales in 2013 (Ferdman, 2015). This a proof that Americans are prefer to eat Asian food and Vietnamese restaurant future market will grow stronger and striking in future.

Vietnamese cuisine first appear in United States around later 1970s when Vietnamese people come to United States to run away from Communist rule in Vietnam. Many Vietnamese people choose to settle in United States due to the relationship of Southern Vietnamese and Americans before 1975. Before 1975, many Americans soldiers who stationed in Vietnam have chance to eat Pho – a Vietnamese traditional food. Therefore, first Vietnamese restaurant was born like that to serves Vietnamese refugees and American soldiers after war. Few first Vietnamese restaurant in United Stated opened in Southern California and then become a small Vietnamese communities Little Saigon. At first, it is hard to find full and right ingredients to cook right bowl of Pho. Vietnamese in United States have to use ingredients from Chinese market and America market to cook Pho. Later, Viet entrepreneurial, more authentic ingredients were imports to serves Vietnamese communities in United States. Afterwards, Vietnamese communities bigger as the development of Vietnamese cuisine spread out all over United States. Vietnamese introducing Pho to their Americans friends and now it is normal for Vietnamese restaurants visits by Americans. The number of Vietnamese people in United States, grow more than 2 million people. Thus, there are around 2000 Vietnamese restaurants in United States and Canada (Phofever.com). This is prove that the development of this Vietnamese market in United States grow rapidly.

Why Americans love Vietnamese food – Asian cuisine? First, Vietnamese food is rich nutrient and healthy more than Americans food by using fresh ingredients and balancing in protein, fiber, carbohydrates. It is low fat, gluten-free and heart healthy. Second, Vietnamese food have unique flavor. “Pho” – traditional Vietnamese dishes is offer flavor with fresh and unique tastes. “Pho” broth is made from beef bone with onions, shallots and Vietnamese herb cook for 12 hour (Spector, 2003). When it serves, customers can add chili, lime and herbs to boost the flavor. Third, Americans loves Vietnamese food because it is about: customizing. Everyone can choose from variety of options to create their own dishes. Lastly, Vietnamese food is easy to take out, delivery and catering. Another Vietnamese traditional food become popular and get in Americans mainstream culture is Vietnamese sandwich called “Banh Mi.” “Banh Mi” is the creation combined everything in one sandwich: carbs, protein and fiber. The baguette is filled with choice of chicken, pork, Vietnamese sausages and vegetables like pickled carrots and daikon with sauce from the meat and a hint of mayonnaise and pates. “Banh Mi” tastes good but still rich nutrient and able to “grab and go” so it is easy to understand “Banh Mi” arrives on mainstream menus of Americans (Kruse, 2015). Based on these following internal factor, Vietnamese Restaurant market will develop more in around next 5 years.

            The major internal factors which may affect the Vietnamese restaurants include slow economic growth, and strict laws (Kruse, 2015). Slow economic growth leads to inflation, a factor which contributes to the reduction in the number of customers. Strict laws regarding hotel industry in the U.S may also affect the industry, due to the high demand of Vietnamese cuisine in the next 1-5 years. On the other hand, the main external factors which may affect the business include: strict immigration laws, and strict business ties between the U.S and Vietnam (Ferdman, 2015).

What are the major external and internal factors that will impact this industry over the next 1-5 years?

 

The U.S under the rule of president Trump has come up with strict laws against immigrants, a factor which has made it hard for Vietnamese immigrants to freely move to the U.S. Most of the employees in Vietnamese restaurants are immigrants from Vietnam, due to the skills and the knowledge which they have concerning Vietnamese cuisine (Kruse, 2015). Barring them from moving to the U.S through strict laws may affect the general performance of Vietnamese restaurants in the country. Secondly, strict business policies between the U.S and other countries may also affect Vietnam restaurants, since they are mostly owned by Vietnam based companies. Due to the slow rate of economic growth in the U.S, it will be necessary for the country to change its relation ties in order to manage its economic growth.

What is the future for this industry – is it growing and why?

The future of this industry is bright, however, the rate at which the industry is growing may not be the same in future. This is basically because of the changes in economic growth which will be witnessed in the near future. In addition, marketing patterns and new laws will also greatly affect the business, making it to perform poorly than now (Ferdman, 2015). Nonetheless, the industry will really grow in the U.S, but the number of sales and revenue will drop drastically over the years. The future of the business is therefore brighter, since more people are more likely to be attracted to the Vietnamese cuisine, a factor which will increase the sales and the revenue realized from the industry (Kruse, 2015).

On the other hand, the future of the industry is also likely to be bright all over the world, and not only in the U.S. The industry likely to dominate other countries all over the world such as the Middle East countries and in African countries too. This is basically because of the dominance of the industry in the U.S. More people particularly tourists would always want to taste the Chinese cuisines in different parts of the world, making most restaurants all the world to start preparing Vietnamese cuisine. Moreover, good relationship ties between Vietnam and other countries will also lead to the growth of the industry all over the world, a factor which will lead to the dominance of Vietnamese restaurants all over the world. The demand of Vietnamese cuisine is also very high, due to the nutritional contents of the food. Unlike the pizza, Vietnamese cuisine is not rich in fats, hence making it more organic food than the pizza. Due to the increase in fat related diseases, most people are more likely to opt for Vietnamese cuisine all over the world, thus replacing it with pizza. This will therefore see the Vietnamese restaurants being opened in different parts of the world.   

                                                                                                                  

 

 

            Citation:

The Origins of Pho. (n.d.). Retrieved October 10, 2017, from http://www.phofever.com/facts.php

Ferdman, R. A. (2015, February 03). Asian food: The fastest growing food in the world. Retrieved October 10, 2017, from https://www.washingtonpost.com/news/wonk/wp/2015/02/03/the-fastest-growing-food-in-the-world/?utm_term=.0ad71bf05ce8

Spector, A. (2003). Souping up Asian cuisine. Nation's Restaurant News, 37(26), 166.

 Kruse, N. (2015). Bánh mì arrives on mainstream menus. Nation's Restaurant News, 49(14), 29-31.

 

 

 

• What are the major external and internal factors that will impact this industry over the next 1-5 years?
• What is the future for this industry – is it growing and why?