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VIETNAM ACADEMY OF SOCIAL SCIENCES GRADUATE ACADEMY OF SOCIAL SCIENCES NGUYEN VIET DUNG DEVELOPING ECONOMIC ZONES IN SOME ASIAN COUNTRIES AND EXPERIENCES FOR THE SOUTHERN ECONOMIC ZONE OF HO CHI MINH CITY Major: International Economics Major code: 31 01 06 SUMMARY OF DOCTOR DISSERTATION IN ECONOMICS Hanoi - 2022 The dissertation was completed at: GRADUATE ACADEMY OF SOCIAL SCIENCES VIETNAM ACADEMY OF SOCIAL SCIENCES Scientific supervisors: Assoc Prof PhD Luu Ngoc Trinh PhD Bui Thi Thuy Nhi Reviewer 1: PGS.TS Nguyễn Việt Dũng Reviewer 2: PGS.TS Trịnh Thị Hoa Mai Reviewer 3: PGS.TS Dỗn Kế Bơn The dissertation will be defended at the Academy-level Committee of Doctoral dissertation assessment at Graduate Academy of Social Sciences, 477 Nguyen Trai Road, Thanh Xuan District, Hanoi At _ date month 2022 The dissertation can be found at: - Library of Graduate Academy of Social Sciences - Vietnam National Library INTRODUCTION Rationale of the research topic Over the past five decades, the wave of development of economic zones (EZs) with various forms has been a widespread trend in the world Some Asian countries in recent years have also chosen to develop EZs as a breakthrough in the process of innovation, opening and integration After only a few decades, they have achieved miracles with the spectacularly successful development of some of the most famous Special Economic Zones (SEZs) in the world What has helped countries like China, South Korea, Malaysia to make the miraculous development with these admirable feats? Vietnam has a strategic location in the Southeast Asia region, with a coastline of more than 3,260 km, with deep-water seaports, large coastal cities, which are very favorable for the development of Special Economic Zones, Special Economic - Administrative Zone In recent years, the movement to develop various types of EZs in Vietnam is not only a prominent highlight in the process of renovation, opening and integration, but also a key to create a great impetus for economic development for each locality, each region and the whole country However, due to the lack of necessary resources such as finance, human resources, technology especially the lack of proper and appropriate mechanisms and policies, our country has reformed for a long time to open the market yet still not developed an EZ at regional and global levels Ho Chi Minh City is a special urban center - a major economic, cultural social, educational, scientific and technological center of the country The city is also a hub for international exchange and integration (global integration), a leading force with great attractiveness and pervasiveness to the Southern Key Economic Region (SEA), the Mekong Delta region and the whole country Over the years, Ho Chi Minh City has always been at the forefront in all breakthrough fields, creating a driving force for economic growth, making great contributions to the overall development of the country However, in recent years, the economic growth of Ho Chi Minh City has been assessed as not commensurate with the position, role and potential of this city To truly be able to follow through on past successes, creating momentum to overcome barriers, and shaping frameworks for future success, Ho Chi Minh City needs to continue to make new breakthroughs The building and development of an EZ is also a good solution that can be chosen to achieve this goal Currently, the Southern urban area of Ho Chi Minh City is considered as a very dynamic development area of the city, with Tan Thuan Export Processing Zone - the first export processing zone of the nation, Phu My Hung model new urban area and Hiep Phuoc Port Industrial Park is gradually being formed The Southern part of the city is also assessed as having almost all the prerequisite conditions to build and develop into an EZ The successful building and development of an EZ in the Southern region of Ho Chi Minh City requires a scientific theoretical basis, especially international practical experience of countries in the region with focus on developing countries with similar political, economic and development conditions to Vietnam The research question was posed "Through the lens of scientific theory, what experiences of some Asian countries are useful for Vietnam and what conditions are needed to apply those experiences?” Stemming from the above practical requirements, PhD candidate chose the topic " Developing economic zone in some Asian countries and experiences for the Southern Economic Zone of Ho Chi Minh City " as the research topic for the doctoral dissertation, with the hope that this study will contribute to adding new research results in the theory and practice of EZ development, providing policy makers, practitioners, and researchers with more information resources Research purpose and objectives - Overall research purpose: The dissertation aims to derive from the study of international experiences and Vietnam’s actual conditions to propose practical solutions towards the successful building and development of the Southern Economic Zone of Ho Chi Minh City - Specific research objectives: To achieve the above purpose, the dissertation needs to complete the following specific research objectives: + To systematize a number of major theoretical and practical issues as a scientific basis for the building and development of economic zones, to indicate conditions and criteria for successful building and development of an economic zone + To analyze and evaluate the actual situation of building and development of EZs in some Asian countries, to derive experiences in building and developing an EZ + To analyze and evaluate the capabilities and conditions of Ho Chi Minh City in general and the Southern area of Ho Chi Minh City in particular in meeting the criteria for successful building and development of economic zones in this area + On that basis, to propose a number of perspectives, orientations and solutions for successful building and development of the Southern Economic Zone of Ho Chi Minh City Research subject and study scope - Research subject: To study theoretical and practical issues on the building and development of economic zones worldwide, especially typical ones in some Asian countries, as well as necessary conditions for building and developing an economic zone in the Southern area of Ho Chi Minh City - Study scope: + About time scope: The dissertation focuses on the timeline from the 1980s since China's first special economic zone was established + About space scope: Study in the Southern area of Ho Chi Minh City and typical EZ in Asia such as Shenzhen Special Economic Zone (China), Incheon Free Economic Zone (South Korea) and Iskandar Special Economic Zone or South Johor Economic Zone - SJER (Malaysia) + About content scope: Since the development of an economic entity cannot be successful, if the entity is not built on a good foundation; meaning in order to have a good economic entity, their development and building must always be implemented hand-in-hand, closely linked and interacting with each other Therefore, although the dissertation topic refers to the development of the EZ, in fact the research will study not only the development but also the building of the EZ; in which emphasis is placed on the study of the theoretical basis of the EZ, the practical study of the building and development of some Asian EZs; and the conditions for the formation and development of an economic zone in the Southern area of Ho Chi Minh City Methodology and research methods - Methodology and approach: The dissertation approaches the topic through the theoretical lens of Marxism - Leninism: Dialectical Materialism, Historical Materialism and the theory of the disciplines: International Economics, Development Economics, Economic Geography, and Economic History in order to present the problem from the perspective of international experience with the aim at contributing to build a practical basis for the successful development of the Southern Economic Zone of Ho Chi Minh City The dissertation will also combine theoretical research and summary on practical and international success and failure experiences, as well as the conditions for success and causes of failure of typical EZs in Asian countries - Research methods: In order to achieve the above-mentioned objectives, the dissertation used a combination of qualitative methods such as: literature review and systematizing method, case study method, comparative and synthetic methods, professional solution, score-board survey method + Literature review and systematizing method: Documents are collected, systemized and analyzed, combined with desk-based research to process information related to the following contents: The role of the EZ, experience in the building and development of the EZ and the conditions, capabilities of the Southern are of Ho Chi Minh City to build and develop an EZ + Case study method: The studied cases are some EZs in China, South Korea and Malaysia The studied contents in these cases are: Context of formation, process of building and developing EZs, experiences drawn from these EZs + Comparative method: In order to compare the current situation of the Southern area of Ho Chi Minh City with the conditions and ability to meet the success factors of an EZ, to compare the development experience of the Shenzhen Special Economic Zone, the Incheon Free Economic Zone and the Iskandar Special Economic Zone with the conditions of Ho Chi Minh City + Professional solution, score-board survey method: In order to develop the success criteria of an EZ and assess the degree of satisfaction of the success criteria of the Southern area of Ho Chi Minh City to develop into an EZ This method is employed through surveys and actual interviews with officials and civil servants working in relevant departments, branches, districts, institutes/schools in Ho Chi Minh City The results of actual investigation, surveys and interviews are primary information processed by simple statistical methods with the mean value showing the level of satisfaction of the conditions and capabilities of the Southern region of Ho Chi Minh City to develop into an EZ - Data collection methods: In this study, the author used secondary data sources including statistics, reports of organizations, studies, documents, articles and reports presented at conferences and seminars related to EZ policy and EZ development in some Asian countries and Vietnam Primary data is the results of investigation, surveys and actual interviews with experts who are officials and civil servants working in departments/sectors, districts, institutes/universities related to the research content in Ho Chi Minh City Main scientific contributions of the dissertation - This dissertation argues that: EZs have a long history of formation, although they exist in many different forms, one thing in common is that they all enjoy specific preferential mechanisms and policies compared to the outside zones EZs have both positive and negative impacts, but EZ development is still a prominent trend in many countries, especially for developing economies in the world - Developing a successful EZ can quickly create an economic and technological breakthrough for a region or a country, which can have a large spillover effect on the entire economy - To successfully develop an EZ, it is necessary to meet basic factors, but determining success is still a matter of strong-enough institutions, demonstrated through political commitment with a supportive coalition; and policies with state intervention and private sector involvement The success of an EZ is to achieve the initial set of objectives and to satisfy the basic conditions: Firstly, to have a large-enough scale to be able to gather enterprises in the same industry and in many industries, and at the same time ensure the best infrastructure to minimize costs, take advantage of economies of scale and agglomeration Secondly, the selected location must be able to connect and create spillover effect Thirdly, human resources are guaranteed in terms of quality and quantity Theoretical and practical significance of the dissertation The dissertation is a practical scientific research work with theoretical significance The paper has logically systematized basic theoretical issues on EZs and EZ development with important aspects The study has synthesized concepts and types of EZs through many different perspectives; identified objectives, connotations and factor determinants of the success or failure of the EZ The dissertation also has practical value which is proven by: Assessing of the role, trends and practice of building and developing EZs worldwide; analyzing and deriving experience lessons from some Asian countries in building and developing EZs; and proposing oriented solutions towards the successful building and development of an EX in the Southern area of Ho Chi Minh City Structure of the dissertation In addition to the introduction, conclusion, list of abbreviations, list of references, appendices and list of tables, figures the dissertation is structured into chapters with specific contents as follows: Chapter Literature review on research works related to the dissertation topic Chapter Theoretical and practical basis for the building and development of economic zones Chapter Situation of building and developing economic zones in Asian countries Chapter Some solutions for building and developing the Southern Economic Zone of Ho Chi Minh City 11 must build a strong-enough institution with outstanding points, having a good plan, including the plan for building, development, advertising campaign; The EZ must ensure an attractive and low-cost investment environment; Operation and management of EZs should be agile and compact; The EZ must be well guaranteed in terms of infrastructure and services; and Making good linkages with the inland In addition, studies also consider strong political support from the government along with involvement of the private sector as a determining factor for success 1.4.2 Study narratives (1) There has not been a comprehensive and systematic study on the building and development of an EZ in Ho Chi Minh City (2) The previous studies on building and development of EZs are mostly practical application rather than summarizing practices to build a theoretical framework or design a model (3) There is no research on model of building and development of EZs for a province/city like Ho Chi Minh City Therefore, the problem needs to continue to focus on solving: (1) Systematize the theoretical and practical basis of EZ development in the current conditions and situation (2) Analyze and assess the actual situation of the development of an EZ in the southern area of Ho Chi Minh City (3) Propose orientations, models, methods, and solutions for the building and development of the Southern EZ of Ho Chi Minh City in the current situation 1.5 Further research directions of the dissertation (1) To successfully build and develop an EZ, what conditions have Asian countries created? (2) What have Asian countries done and how to 12 successfully build and develop EZs? (3) Compare with the experience of Asian countries, clarify what conditions the Southern area of Ho Chi Minh City has acquired to be able to successfully build an economic zone? and (4) What does Ho Chi Minh City need to to create and supplement the necessary conditions and prerequisites to successfully build an EZ in the Southern area in the upcoming future? Chapter THEORETICAL AND PRACTICAL BASIS FOR THE BUILDING AND DEVELOPMENT OF ECONOMIC ZONES 2.1 Theoretical basis for EZ development 2.1.1 EZ concept In this study, an EZ is referred to an integrated socio-economic entity, which has clear geographical boundaries within the sovereignty of a country but relatively isolated from the external territory; with a high degree of autonomy; and a specific administrative and economic management mechanism to create outstanding incentives 2.1.2 Characteristics of popular types of EZs Economic zones in the world have been formed and evolved over time There have been many models of EZs as follows: - Free Trade Zones (FTZ) - Export Processing Zones (EPZ) - Special Economic Zones (SEZ) - Specialized Zones (SZ) - Single Factory (SF) - Enterprise Zones (EZ) 2.1.3 Objectives of building and development of economic zones Firstly, to attract FDI and developing science and technology 13 Secondly, to develop "hard and soft" infrastructure Thirdly, to promote trade under constrained conditions that cannot be reformed Fourthly, to solve the pressure of population growth and job demand Fifthly, to play the role as a new policy and approach "laboratory" Sixthly, the EZ becomes the pole/center or growth engine of the country/or region 2.1.4 Criteria for evaluating the development of EZs Assessing success or failure when developing an EZ through the following criteria: 2.1.4.1 Vision, goals 2.1.4.2 Scope factor 2.1.4.3 Location and connectivity 2.1.4.4 Industry concentration 2.1.4.5 Hard and soft infrastructure 2.1.4.6 Policy framework In summary, the research showed that a successful EZ must have: Firstly, the scope is large enough to be able to gather businesses in the same industry and from many industries, at the same time, good infrastructure to reduce costs and take advantage of business advantages Second, connectivity, pervasiveness, and must be well managed Second, connectivity, pervasiveness, and must be well managed Thirdly, human resources must ensure in terms of quality and quantity 2.1.5 Conditions and possibilities for a successful EZ 2.1.5.1 Basic conditions for a successful EZ: (1) Location; (2) Human resources; (3) Infrastructure; (4) Industry and scope of competition; (5) Connection with the domestic economy; and (6) Challenges from the international environment 14 2.1.5.2 Possibilities determining the success of EZs: (1) Political commitment and coalition support; (2) State policy and intervention; (3) Involvement of the private sector 2.1.6 Basic contents of the building and development of EZs 2.1.6.1 Creating consensus on awareness and cooperation of stakeholders 2.1.6.2 Shaping a legal framework 2.1.6.3 Designing policy model 2.1.6.4 Deploying the construction of economic zones 2.1.6.5 Organizing a management and execution mechanism 2.1.6.6 Attracting human resources 2.1.7 Roadmap for building and development of EZs There are two roadmaps for the development of popular EZs in the world, for the EZs built by the government, the roadmap is as follows: (1) The government chooses a suitable location, (2) The government designs a legal framework, defines a specific institutional model, (3) Attracting investors The second roadmap is more common for EZs jointly developed by the government and the private sector According to the following roadmap: (1) The Government together with strategic investors choose a favorable location to build the economic zone, (2) The Government together with strategic investors negotiate to build a legal framework, a special institutional model of the EZ, (3) Attracting investors 2.2 Practical basis for building and development of EZs 2.2.1 The need to build and develop EZs in the world 2.2.2 Practice of building and development of EZs in the world 2.2.2.1 The development of the EZ in terms of quantity and scale 2.2.2.2 The development of the EZ in terms of patterns 2.2.2.3 The development of the goals and role of Ezs 15 Summary of Chapter The concept and form of an EZ evolve according to the goals, roles and conditions of each country through each stage of development Regardless of the form of development or existence, EZs are associated with the following objectives: Attracting investment; Developing infrastructure; Promoting commercial development; Solving labor and employment problems In particular, the EZ also has played a great meaning as a "laboratory" for new policies, as a center/pole to create the growth engine of a country or region Evaluation of the success of an economic zone is usually through the following criteria: Firstly, having a large-enough scale, good infrastructure to reduce costs, taking advantage of economies of scale and agglomeration Secondly, the location must be able to connect and create spillover effect Thirdly, human resources must be ensured in both quantity and quality and must be well managed Building and developing a successful EZ requires important conditions, which are: Location, human resources, infrastructure, industry and competitive scope, ability to connect with domestic and foreign economies, or ability to withstand the pressure of global competition At the same time, the building of a superior institution is reflected through the strong political commitment of the government, the intervention policy of the state, the participation of the region, the participation of private sector as a decisive role in the success of an EZ The connotation of EZ development includes: (1) Creating a consensus on awareness and cooperation of stakeholders; (2) Shaping a legal framework for the EZ to ensure its superiority; (3) Designing models, selecting main industries and fields, implementing completed infrastructure construction, planning preferential policies; (4) Selecting the appropriate location; and (5) Attracting and developing human resources 16 In fact, nowadays, the trend of developing EZs around the world is occurring very quickly The process of developing EZs in the world is shown through many lenses, from the growth in quantity and scale; form; or its role objective In this chapter, the basic contents of EZ development are presented based on the factor determinants, the ability determining EZ success which is verified through the criteria for evaluating the development of the EZ analyzed as a general analytical framework of the dissertation Chapter SITUATION OF BUILDING AND DEVELOPING ECONOMIC ZONES IN ASIAN COUNTRIES 3.1 Features of building and development of EZs in Asian countries EZs being built and developed in Asian countries have the following characteristics: Firstly, the building and development of Asian EZs is a competition to attract resources Secondly, the EZs in Asia are diverse in type Thirdly, EZs in Asia are developed in strategic locations Fourthly, the source of capital for the development of Asian EZs is diverse Sixthly, Asian EZs perform their roles well as: hubs for technology transfer, export promotion, and job creation 3.2 Situation of building and development of some EZs in China, Korea and Malaysia 3.2.1 Shenzhen Special Economic Zone - China One of the most successful SEZs in the world today is China's Shenzhen SEZ Shenzhen was formed in the early 1980s, from a small fishing village with more than 30,000 inhabitants Nowadays, SEZ Shenzhen has become a world-class financial and technology center 3.2.2 Incheon Free Economic Zone - South Korea 17 Incheon Free Economic Zone, with a total area of 209.38 sqr km2, located in the middle of the Korean peninsula, in the center of the West Sea (Yellow Sea), close to many important Chinese cities, such as Beijing and Shanghai 3.2.3 Iskandar Special Economic Zone - Malaysia Iskandar is an SEZ located in the Johor state of Malaysia Over the past 15 years, Iskandar SEZ has developed rapidly and been considered as an attractive international urban center for investors to work, live and play in Malaysia and the whole Southeast Asia region 3.2.4 Comparing the formation background, contents and experience in building and development of EZs in China, Korea and Malaysia Table 3.1 Formation background of EZs in China, South Korea and Malaysia Shenzhen (China) Incheon (South Korea) Iskandar (Malaysia) - Area: 1,950 sqr km - Area: 209.38 sqr km - Area: 2,217 sqr km - Established in 1980, when China implemented the reform and opening policy Conducting experimenting policy as a "policy lab" - Established in 2003, when South Korea reformed its economic institutions on a new development mindset basis - Took advantage of the geo-economic political position for development to create new impetus - Established in 2006, when the Government introduced the economic liberalization policy, relaxation of regulations and improvement of investment policies Contributed to making Malaysia a developed country by 2020 Table 3.2 Comparing lessons of EZs in China, South Korea and Malaysia Shenzhen (China) - Acquired strong political will of the central government of China and Guangdong province Incheon (South Korea) - Chose a prime location with easy access to high-quality infrastructure - Decided the right Iskandar (Malaysia) - Took advantage of the strategic location, bordering Singapore as the development center Identified key 18 - Determined the right strategic location - Built a strong enough specific institution Possessed appropriate industry development strategy - Provided attractive incentives policies time to develop Acquired outstanding administrative institution with an open "one-stop shop" mechanism - Possessed policy to attract large “leading bird” TNCs - Provided good initial support from the government industries for development - Well implemented social security policies to attract high-quality human resources - Successfully built a strong local brand 3.3 Lessons from the building and development of EZs in Asian countries 3.3.1 Lessons on identifying the success conditions of EZs - Firstly, building visions and goals; Secondly, determining the scale; Thirdly, determining the location and connectivity; Fourthly, focusing on professions; Fifthly, building hard and soft infrastructure; Sixthly, policy framework 3.3.2 Lessons on the contents of building and development of EZs Through the synthesis study EZs in China, South Korea, and Malaysia, the dissertation summarized some important experiences to develop a successful EZ: Firstly, choosing an appropriate strategic location; Secondly, deciding the appropriate investment time; Thirdly, building strong-enough specific institutions; Fourthly, planning a strategy to develop spearhead industries, appropriate, towards sustainability in all three pillars: economy, society and environment; Fifthly, designing attractive incentive policies; Sixthly, implementing an effective marketing program with a strategy to attract strategic investors such as the "leading bird", building a strong local brand 19 Summary of Chapter EZ development in Asia in recent times has emerged as a strong wave; indeed it is the race and fierce competition among countries in the region to attract investment Countries often reserve strategic locations for the development of EZs Developed EZs are very diverse in size, type, and investment capita these characteristics also depend on the development conditions and circumstances of each country Researching the experience of developing typical EZs in countries with similar development conditions and goals as Vietnam, and the scale is similar to the area studied by the dissertation Research showed that, although the circumstances and time of establishment of each EZ are different, the emergence of EZs carries very important tasks for each country in testing, implementing new policies, pioneering in opening and integrating, or creating a driving force for pervasive development in the region or the whole country Factor determinants contributing to the success of the above economic zone are: Selecting an appropriate strategic location; Deciding the appropriate investment time; Building strong-enough specific institutions; Planning strategies to develop spearhead industries, suitable, in a sustainable direction; Designing attractive preferential policies in areas such as: Investment attraction, finance, land, business support, social security and human resource development ; and Implementing effective marketing program, building strong local brand Moreover, the important initial conditions determining the success of the EZ are political will, strong commitment from the government and local authorities, and initial government support in developing essential infrastructure 20 Chapter SOME SOLUTIONS FOR BUILDING AND DEVELOPING THE SOUTHERN ECONOMIC ZONE OF HO CHI MINH CITY 4.1 Necessity, perspective, orientation for the building and development of the Southern EZ of Ho Chi Minh City 4.1.1 The need to build and develop the Southern EZ of Ho Chi Minh City 4.1.2 Perspectives, development orientation of the Southern area of Ho Chi Minh City 4.2 Conditions and possibilities for the building and development of an EZ in the Southern area of Ho Chi Minh City In order to assess the conditions and ability to successfully build and develop an EZ in the Southern area of Ho Chi Minh City, the study has based on the results of analysis and comparison of natural, socio-economic, cultural and social conditions of this area with the degree of meeting the success criteria of an economic zone This study has also referenced the set of 10 criteria for developing a special EZ proposed by the Ministry of Planning and Investment in the Draft Report of the project titled "Determining the locality with conditions to develop the Master Plan on the Special Administrative - Economy Region in Vietnam” in July 2013 4.2.1 Location and scope 4.2.2 Human resources 4.2.3 Infrastructure 4.2.4 Industry concentration and scope of competition 4.2.5 The ability to connect with the domestic economy 21 4.2.6 Resilience to the challenges of the international environment 4.2.7 Political determination of the City government 4.3 Main solutions for building and developing a EZ in the Southern area of Ho Chi Minh City 4.3.1 Solutions to shape the legal framework for the Southern EZ of Ho Chi Minh City - Developing the Southern EZ of Ho Chi Minh City following the model of "Special Economic Zone" as a city-level administrative unit directly under Ho Chi Minh City - Building specific economic institutions for the South City EZ with special policies 4.3.2 Proposal on areas for the development of the Southern EZ of Ho Chi Minh City The proposed area for the development of the Southern EZ of Ho Chi Minh City covers the following districts: District 7, Nha Be district, and Can Gio district, with a total area of 840.24 square kilometers 4.3.3 Design and implementation solutions for the building of the Southern EZ of Ho Chi Minh City - Attracting and using investment capital effectively - Planning EZ towards sustainable development - Orienting to attract major industries and fields: (1) Developing marine and maritime economy; (2) Developing logistics services and exporting with high added value; (3) Developing banking and financial services industries; (4) Developing tourism and entertainment services; (5) and Developing high-quality human resources training 22 4.3.4 Solutions to attract human resources for the Southern EZ of Ho Chi Minh City - Solutions to create a good living and working environment - Solutions to build a good welfare system 4.4 Recommendations 4.4.1 For the Government - Perfecting the specific institutions for EZs, submitting to the National Assembly for the promulgation of the Law on Special administrativeeconomic units - Proposing to the National Assembly to adjust, amend and supplement laws related to EZ development - Establishing a National Steering Committee on the building of special administrative and technical units headed by the Prime Minister - Prime Minister: Approving the addition of the Southern Economic Zone of Ho Chi Minh City to the Development Plan of Vietnam's EZs in the period of 2020 - 2025 4.4.2 For the government of Ho Chi Minh City - Conducting research and submitting to the Government to adjust and supplement the development planning of the Southern EZ of Ho Chi Minh City - Organizing the development of the project on the establishment of the Southern EZ of Ho Chi Minh City - Preparing resources for implementation 23 Summary of Chapter In this chapter, the dissertation has done the followings: - Analyzed the need, perspective and orientation for the building and development of the Southern Economic Zone of Ho Chi Minh City - Analyzed the conditions and possibilities for the building and development of an economic zone in the Southern area of Ho Chi Minh City The author applied comparative method, professional solution, scoreboard survey method to discussed and recorded experts’ opinions on the degree of achievement of the success criteria of an EZ The results showed that the Southern area of the city meets the conditions for a successful development of EZ in the near future - Proposed groups of solutions: (1) Solutions to shape the legal framework; (2) Proposal on areas for EZ development; (3) Design and implementation solutions for the building of EZs; (4) Solutions to attract human resources - Recommendations to the Government, the Government of Ho Chi Minh City to develop an EZ in the Southern area of Ho Chi Minh City in a feasible and effective way CONCLUSION EZs have both positive and negative impacts, but EZ development is still a dominant trend in many countries, especially for developing economies Developing a successful EZ will create an economic and technological breakthrough for a region or a country, which can have a large spillover effect on the entire economy Research showed that, in order to develop a successful EZ, it is necessary to pay attention to important conditions, which are: Location, human resources, infrastructure, industry and competitive scope, ability to connect with the domestic economy, or the ability to cope with global competitive pressures However, a dominant institution comes from the strong ... CHI MINH CITY 4.1 Necessity, perspective, orientation for the building and development of the Southern EZ of Ho Chi Minh City 4.1.1 The need to build and develop the Southern EZ of Ho Chi Minh. .. the Southern area of Ho Chi Minh City 4.3.1 Solutions to shape the legal framework for the Southern EZ of Ho Chi Minh City - Developing the Southern EZ of Ho Chi Minh City following the model... of the Southern Economic Zone of Ho Chi Minh City to the Development Plan of Vietnam's EZs in the period of 2020 - 2025 4.4.2 For the government of Ho Chi Minh City - Conducting research and submitting