Lotte Mart, Korea's third-largest discount chain, entered the Vietnamese market in 2008 first as a Korean retailer, currently operating two outlets in Ho Chi Minh City.

Based on the successful start-up, Lotte plans to open the third store at a 12,500 square meter site in a shopping mall in Binh Duong Province in southern Vietnam by 2013.

The company explained that its strategy of integrating entertainment facilities such as a movie theater and a billiard hall into its discount stores may have appealed to Vietnamese customers.

"The growth potential still seems enough. The Vietnamese market will become our stronghold to expand our overseas operations in southeastern Asia, said Kim Min-seok, a Lotte Mart official.

However, the Vietnamese government's tough regulations aimed at protecting local businesses have caused some problems for Lotte's further expansion there.

Due to resistance from local retailers and the delay in the government's approval process, it took almost one year for Lotte's second store to start business even after completion of the building.

It is also currently in dispute with its Vietnamese partner Minh Van Private Enterprise over stock ownership. Lotte has maintained a business partnership with the local company as it is considered essential for smoother business activities there.

kind of hostility is a very natural thing that a company has to face when it does business on foreign We are trying to deal with the dispute," Kim said.

1: According to the extract, what are the difficulties that Lotte Mart has faced during its expansion into Vietnam? Are there any more challenges that Lotte Mart faces in foreign markets during Covid-19 pandemic, in your opinion?

Use your knowledge, experience, and convincing examples from the business world to justify your arguments. (minimum 300- 500 words)