Saturday, October 26, 2013

What is the challenges for foreigner investors of doing business in Cambodia

 
                       Picture from google

Course: International Business Environment
This morning, I successfully finished group presentation about a topic "Environment of doing business in Cambodia and what is the challenges for foreigner investors?"

After I was across a long researching, I got at least main 6 points challenges for foreigner investors to consider before investing in Cambodia:

1. Political Instability: whenever political in the country is not working stable, It absolutely affects to business investing. And foreigner investors, of course they will consider this point before put more investment in Cambodia.

2. Cambodia GDP: It is still lower if compare with other neighbor countries and over the world. This is also a challenge for foreigner investors to think before doing business in Cambodia.

3. Poverty: Most of Cambodian people are still living in poverty. The poverty also is a concerning for foreigner investors of doing business in this country.

4. Corruption: There are many companies or ministries in the country they are corrupting in many aspects so it is also a challenge for foreigner investor as well. They need to know how is the corruption situation first before doing business in Cambodia.

5. Electricity issue: Cambodia Electricity doesn't serve enough in the country so it is very challenge for foreigner investors to look at this point before going to invest a business in Cambodia.

6. Petroleum price: It's comparatively higher than in the ASEAN countries, so it is also a challenge for investing in Cambodia.

I can recommend more points challenges for foreigner investors such as:

- Cambodia is in under-development country so there are many infrastructures are still under developing.
- Less of high technical people, foreigner investors will get difficulty to recruit some of high technical employees to work in the Technology field.
- Pricing: it is also a very challenge point for foreigner investors because pricing must determine based on the country economic. Cambodia is under developing country so all pricing must not be set higher than other countries. This is also a challenge for foreign investors to consider before investing in Cambodia.

Thanks,
ChanHan HY,
Small research
International Business Environment,

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