Creators, retailers at risk of overreliance on cross-border digital platforms

The growing dependence of Vietnamese content creators and online retailers on major cross-border digital platforms is creating significant financial strain. Escalating fees and volatile algorithmic rules are directly impacting their profitability, as reported by Báo Sài Gòn Giải Phóng. This dynamic forces many small businesses to absorb higher costs or risk losing market access, limiting their ability to scale and innovate within the digital economy. Our view is that this situation points to a critical vulnerability for Vietnam's digital-first businesses. While these platforms offer unparalleled reach, their unilateral control over pricing and visibility rules can stifle local entrepreneurship. The lack of viable alternative channels for international trade means businesses are effectively locked into terms that may not be sustainable. This trend could slow the growth of Vietnam's digital export sector. The thing to watch is how Vietnamese policymakers and industry associations respond to this challenge. Encouraging the development of domestic or regional platform alternatives, or negotiating more favorable terms with existing giants, could be crucial. Without such interventions, many Vietnamese creators and retailers may struggle to maintain competitiveness and profitability in the long term.