ABSTRACT

This chapter presents rural necessity and opportunity entrepreneurship both occur in rural remote areas as well as in proximity to urban agglomerations. However, business opportunities are generally greater in urban areas because of higher incomes and greater demand for products and services. In addition, alternatives to self-employment in the form of wage employment are more common. Thus, if rural non-farm businesses predominantly emerge in urban proximity, this may be the first sign of a high share of opportunity entrepreneurship. The chapter suggests that non-farm entrepreneurship in rural Vietnam cannot be regarded solely as a result of distress or deprivation. In light of the large number of entrepreneurs who are at least partly motivated by opportunity, it supports the idea that rural self-employment in a transition economy is not solely a sign of distress. Entrepreneurship support policies, for example vocational trainings and credits, could help to unleash the potential of these opportunity entrepreneurs for future rural non-farm development.