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Finding the Right Partners for Software Expansion in South East Asia
Dante Bui
August 5, 2025
In the recent blog series, we’ve been exploring key opportunities for software expansion in the frontier of scaling revenue – South East Asia and Vietnam. We also talked about why this is an endeavor worth considering. In this sharing, we would like to discuss taking action with you.
Naturally, entering a new market comes with a plethora of unknowns. The best way to navigate through the fog and to quickly find the right part is having local partners.
Why Local Partners Matter?
Vietnamese companies often prefer working with trusted, local entities. Why? Because these partners understand local business practices, regulatory hurdles, and customer expectations in ways that outsiders rarely do. By collaborating with local distributors or offshoring partners, foreign firms gain valuable market access while minimizing risk.
Joint Ventures (JVs) can be particularly effective—if managed well. They combine the foreign partner’s technology with the Vietnamese partner’s market insight and reach. This can create a powerful competitive edge.
However, JVs and other close partnerships are not without challenges. Studies reveal incompatibilities in management styles between Western and Vietnamese partners—particularly around planning, problem-solving, and decision-making. These differences often stem from cultural gaps and divergent corporate goals (especially in cases involving state-owned enterprises).
The takeaway? Choosing any local partner isn’t enough. You need to carefully evaluate:
- Cultural compatibility
- Long-term alignment of goals
- Communication and management styles
The quality of the partnership and the way it is managed are just as important as the business terms themselves.
Choosing the Right Partnership Model for Revenue Growth
There are multiple partnership models that foreign software companies can consider, each suited to different go-to-market strategies:
✅ 1. Authorized Resellers
Partnering with resellers enables you to tap into their existing networks, client trust, and sales experience.
Example: FPT, Vietnam’s largest technology company, became the first ServiceNow Reseller Partner in the country—playing a key role in accelerating AI-powered low-code solution adoption across APAC.
This model can also support incentive programs and co-investments in tailored solution packages for digital transformation projects.
✅ 2. Managed Service Providers (MSPs)
MSPs bundle your software with their services, offering end-customers a complete solution. This is ideal for recurring revenue streams and rapid scaling.
MSPs handle:
- Software deployment
- Ongoing supportClient relationship management
It’s a great choice if you want deep customer engagement with lower operational burden.
✅ 3. Strategic Alliances with Offshoring Partners
Vietnam boasts a strong ecosystem of IT outsourcing firms with international credibility, including:
- FPT Software
- TMA Solutions
- VITEX
Vitex and similar colleagues of ours offer everything from mobile app development to consulting and implementation, with proven delivery speed and communication standards.
By working with offshoring partners, foreign companies can:
- Shorten time to market
- Avoid costly in-house development
- Deliver at scale through trusted local teams
Think Beyond Vietnam: Regional Expansion via Local Partners
The right Vietnamese partner can offer more than just access to the domestic market. Many major IT firms in Vietnam already operate across Cambodia, Laos, Myanmar, Malaysia, and other ASEAN countries.
Instead of navigating market entry into each country independently, a strong Vietnam-based partner can act as a regional growth anchor, multiplying the impact of your initial investment.
When evaluating potential partners, consider:
- Do they already operate in other Southeast Asian countries?
- Do they have ambitions for regional growth?
- Can they help scale your product beyond Vietnam?
This broader footprint can significantly reduce costs and timelines associated with multi-country expansion.
Unique Support From Vietnam: Strong Dutch-Vietnamese Business Ecosystem
Vietnam offers a particularly welcoming business environment, thanks to the presence of a strong support system among Dutch-Vietnamese organizations.
The Dutch Embassy in Hanoi, the Dutch Business Association Vietnam (DBAV), as well as market enablers like Vitex provide tailored support that goes far beyond general trade facilitation. These organizations offer:
- Help setting up legal entities and finding office space
- Business matchmaking with local partners and distributors
- Sector-specific trade missions and networking events
- Direct access to C-level networks and government liaisons
- Active policy advocacy via EuroCham and local regulatory bodies
Partnering locally is not just a tactical move—it’s a strategic imperative. Vietnam’s software ecosystem offers foreign firms immense opportunities, but unlocking them requires the right partner and the right model.
To succeed:
- Evaluate cultural compatibility as carefully as you assess business metrics
- Choose a partnership model that fits your growth goals
- Consider regional expansion from the start
- Leverage ecosystem support like DBAV to accelerate success
Vietnam is more than a market—it’s a gateway. With the right partner, you’re not just entering one country. You’re stepping into an entire region.
Vitex has spent years bridging business & tech communities across Europe and South East Asia. We would love to provide you with a tailored feasibility report for your market expansion in SEA. Let’s talk!
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