This year, cross-border expansion has become a hot topic in the home furnishing industry. Influenced by trade policies and the domestic real estate market, Chinese home furnishing enterprises are actively going abroad and seeking a second growth curve beyond the domestic market, making overseas expansion an industry trend.

Southeast Asia has become a new direction for companies expanding overseas business. Chinese-funded enterprises are entering the Vietnamese market at an unprecedented speed and scale, and under this trend, Vietnam's home furnishing industry is also entering a brand-new period of development opportunity.

01. Strong comprehensive advantages are driving an investment wave by Chinese home furnishing enterprises in Vietnam

Vietnam has become an important destination for Chinese home furnishing enterprises expanding overseas because of its clear overall advantages. It has abundant natural resources, cost-effective labor resources, open policy support, and a continuously improving business environment. Supported by developed ports, efficient maritime transport networks, and favorable free trade policies, Vietnamese wooden furniture has already been exported to more than 140 countries and regions worldwide.

For furniture manufacturers, labor is one of the most critical production factors. At present, Vietnam still enjoys a strong demographic dividend, with a young and abundant labor force that provides enterprises with cost advantages.

With these multiple advantages, Vietnam is rapidly becoming a popular destination for overseas investment by Chinese home furnishing enterprises. According to statistics, about one-third of foreign-invested home furnishing enterprises in Vietnam have relocated from China. Vietnam has become a key battleground for Chinese home furnishing companies.

This trend brings both opportunities and challenges for Vietnamese and Chinese home furnishing enterprises. The management and production issues caused by scale expansion, as well as the changes in consumer demand and supply chain management challenges resulting from relocation, are significant tests for home furnishing companies. Actively pursuing digital transformation has therefore become an inevitable choice for both local Vietnamese home furnishing enterprises and Chinese companies operating overseas.

02. Digital empowerment is accelerating transformation for Vietnamese and Chinese overseas home furnishing enterprises

To solve the management, production, and supply chain problems brought about by expansion and overseas operations, digitalization has become a natural demand for both Vietnamese home furnishing companies and Chinese enterprises going global. More and more companies hope to use digital tools to seek breakthroughs in marketing, management, manufacturing, and supply chain operations.

As an integrated digital solution provider for the home furnishing industry, Soonfor Software has spent nearly 30 years working to use digital technology to connect key links across the entire home furnishing industry chain. It has successively customized and flexibly built dedicated digital solutions for more than 3,000 medium-sized and large home furnishing enterprises around the world.

At present, many well-known enterprises in Vietnam's home furnishing sector are already using Soonfor Software management systems, including Vietnam Baofa, Chengye, Musen, Meike, Muyao, Yuejia, Hongsen, Nonggen, Dongpo, Lifu, Dingjue, Fuding, and Xinghong. At the same time, many well-known Chinese enterprises such as Zhenxing Group, Yangchen Group, Panya Co., Ltd., and Fengsheng Group are also using Soonfor management systems in their Vietnam factories and domestic headquarters to carry out cross-border group management.

In today's rapidly changing era, the home furnishing industry is facing unprecedented challenges from international policy adjustments, fast industry development, and changing consumer demand. Digital transformation has become an unavoidable choice for Vietnamese home furnishing enterprises and Chinese home furnishing companies expanding overseas.

Whether they are local Vietnamese home furnishing enterprises or Chinese companies entering overseas markets, both still need to strengthen core competitiveness in areas such as product quality and service quality. Digital transformation can not only provide more precise decision-making support, but also promote continuous innovation in product quality and service, ensuring that enterprises remain competitive in the global market, achieve leapfrog development, and find new growth points.