Expanding into Vietnam does not always begin with opening a legal entity. For many international companies, the first step is to understand the market and test local opportunities. This is where business incubation services in Vietnam can create real value.
These business incubator services give foreign companies a practical way to start locally, while receiving support with recruitment, workspace, HR coordination, administrative processes, and market understanding.
In this client testimonial, Joel Ma, General Manager and Executive Director of Hallmark Global Asia Co., Ltd., shares Hallmark’s Vietnam expansion journey with Source of Asia. From early market exploration to local team development, office growth, and long-term corporate services support, the interview shows how a phased approach can help foreign companies move from opportunity assessment to real operations in Vietnam.
Key Insights
- Business incubation services in Vietnam can help foreign companies build a local presence before creating their own legal entity.
- Hallmark started exploring Vietnam in 2015 and later used Source of Asia’s incubation support around 2018 or 2019.
- Source of Asia supported Hallmark with business incubation, recruitment, office space, local HR understanding, and labor market insights.
- Hallmark later opened its own Vietnam entity in 2024, after gradually building its team and local operations.
- The collaboration continued beyond incubation, showing the value of a long-term local corporate services partner.
Hallmark’s Vietnam Expansion Journey, From Market Exploration to Local Presence
Hallmark’s Vietnam journey started with market exploration. Joel Ma first visited Vietnam in 2015, when the company did not yet have existing suppliers in the country. At that time, Hallmark already had long-standing supplier relationships in markets such as Sri Lanka, Thailand, and Indonesia, while Vietnam was still a new market to assess.
Hallmark’s Vietnam expansion journey reflects a gradual move from market exploration to local presence and long-term operations.
After that first visit, Hallmark continued to explore Vietnam more actively. Between 2017 and 2019, Joel visited the country frequently to meet suppliers, visit industrial parks, and evaluate whether Vietnam could become a strategic location for the company and its partners.
As some suppliers began expanding their operations into Vietnam, Hallmark also started considering its own local presence. The company needed people on the ground to coordinate more closely with suppliers and support its growing Vietnam activities.
However, opening a company immediately was not the right first step. Hallmark wanted to start properly, legally, and with a structure adapted to its stage of development. As Joel explained, the question was how to put local staff in Vietnam and “do it right, do it legally.”
This was the point where Source of Asia became part of Hallmark’s Vietnam expansion journey.
Why Business Incubation Was the Right First Step
For Hallmark, business incubation offered a practical way to enter Vietnam without committing too early to a full legal entity.
Instead of starting with company setup, Hallmark could first:
- Host its first local employees
- Use office space and local support
- Understand recruitment practices in Vietnam
- Build operational confidence before scaling
- Prepare for a future entity when the timing became right
Joel shared that Hallmark’s first agreement with Source of Asia for incubation support was probably signed in 2018 or 2019. This gave the company a structured way to begin its local presence while keeping flexibility for future decisions.
We also helped Hallmark understand what the model would look like, what costs were involved, and which services would be provided. For a company entering a new market, this clarity was essential.
Joel described the fit between Hallmark’s needs and Source of Asia’s support as “very safe and very professional.”
For many foreign companies, this is the main value of business incubation services in Vietnam. The model helps companies test and grow their local presence before deciding whether to establish their own legal entity.
In this testimonial, Hallmark shares how Source of Asia supported its Vietnam expansion through business incubation, recruitment, and local corporate services.
How Source of Asia Supported Hallmark’s Vietnam Growth
We supported Hallmark across several practical areas during its Vietnam expansion journey.
Business incubation and office support
Hallmark started with a small local team hosted through Source of Asia’s incubation model. Joel recalled that the first setup included four people in the South, working from a small office space at Source of Asia’s former office in Thao Dien, Ho Chi Minh City.
As the team grew, Hallmark needed more space. When Source of Asia moved to its current office, Hallmark moved as well and expanded into a larger office space to support additional hiring.
This step-by-step office growth gave Hallmark the flexibility to increase its local footprint without immediately taking on the full burden of independent operations.
Recruitment and local HR understanding
Recruitment was a central part of Hallmark’s growth in Vietnam. In the early stage, the company needed more than candidate search. It needed to understand how to recruit properly in the local market.
Joel emphasized that Source of Asia helped Hallmark understand the proper way of recruiting and the cultural context of the Vietnam market. This was especially important because Hallmark wanted to hire people with the right mindset, not only the right technical skills.
He also highlighted an important lesson for foreign companies, which is salary alone is not enough to retain people. Companies need to understand and respect local culture, create an environment where employees feel heard, and build collaboration with respect.
For Hallmark, this local HR understanding helped support stronger team development as the company expanded.
Market and labor insights
The relationship with Source of Asia did not stop at incubation. Even after Hallmark moved toward its own legal entity, the company continued to seek support from Source of Asia for recruitment needs, talent insights, and labor market information.
Joel mentioned that Hallmark continued to ask Source of Asia for help with specific talent profiles, including engineering and creative roles. He also referred to Source of Asia’s understanding of skill gaps and labor market trends.
This shows that corporate services can remain valuable even after the initial set-up stage. As companies grow, they still need trusted local insights to support workforce planning, recruitment, and business decisions.
Ongoing support after entity setup
Hallmark officially registered its Vietnam entity in February 2024 and opened its own office in September 2024. This marked an important transition from incubation to long-term local presence.
However, the relationship with Source of Asia continued. Hallmark still returned to Source of Asia for assistance, information, and support when needed.
For Joel, this reflects the strength of the partnership. He described the collaboration as a long-term relationship and said Hallmark and Source of Asia would be “linked for a long, long time.”
The Results: From First Local Team to Long-Term Presence in Vietnam
Hallmark’s case shows how a phased market entry model can support sustainable growth. With support from Source of Asia, Hallmark was able to:
- Build a local presence in Vietnam before creating its own legal entity
- Start with a small, hosted team through the incubation model
- Expand office space as the local team grows
- Recruit and develop teams in both the South and the North of Vietnam
- Move toward its own legal entity when Vietnam became the right long-term location
- Continue working with Source of Asia for recruitment, labor market insights, and local support
The growth was significant. Joel shared that Hallmark had around 12 to 16 people in early 2024. At the time of the interview, the company had 76 people in the South and 8 people in the North.
This growth reflects more than headcount expansion. It shows how a company can move from market exploration to incubation, then from incubation to a stronger local operation.
What Companies Can Learn from Hallmark’s Case
Hallmark’s journey offers a practical lesson for international companies entering Vietnam, which is market entry does not always need to start with immediate company setup.
A phased approach can help companies reduce early-stage risk and make better decisions. Business incubation may be the right first step when companies want to:
- Test Vietnam as a long-term location
- Hire first employees before setting up an entity
- Build local operations gradually
- Understand recruitment and cultural expectations
- Coordinate with suppliers, partners, or local teams
- Prepare for future legal entity setup
The case also shows that corporate services are not only administrative. It helps companies understand how to operate locally, how to recruit effectively, and how to move from early market presence to long-term growth.
As Joel noted, Source of Asia’s value also came from the way the team worked: friendly, responsive, and transparent. When issues came up, the team would listen, look for information, and explain what could be done and what could not.
For foreign companies entering Vietnam, this kind of local partnership can make expansion more practical, structured, and easier to manage from overseas.
At Source of Asia, we support international companies with business incubation, recruitment, HR and payroll coordination, workspace support, company setup coordination, and ongoing corporate services in Vietnam.
Planning to build your presence in Vietnam? Contact Source of Asia to explore the right corporate services model for your expansion journey.
Frequently Asked Questions
Business incubation services in Vietnam help foreign companies build a local presence before creating their own legal entity. The services provided by business incubators may include employee hosting, recruitment, workspace, HR administration, payroll coordination, and local operational support.
Yes. Foreign companies can explore structured solutions such as business incubation, Employer of Record, or wage hosting, depending on their business needs and compliance requirements.
Business incubation services help companies start with a lighter local presence before creating their own entity. Company setup is more suitable when the business is ready for a long-term legal structure, direct operations, and greater local control.
A company may consider creating its own legal entity when its team grows, business activity becomes long-term, or the company needs more direct control over operations, contracts, and local administration. The right timing depends on business maturity, investment plans, and local operational needs.
Source of Asia supports foreign companies with business incubation, Employer of Record and wage hosting, recruitment, HR administration, payroll coordination, workspace support, company setup coordination, and ongoing local operational support.
Hallmark’s journey shows that a phased market entry model can help companies reduce risk, build local teams, and prepare for long-term growth. Instead of opening a legal entity immediately, companies can first use business incubation services to validate the market, recruit local employees, and develop a stronger operational foundation.
