This book examines the process of learning and accumulation of technological capabilities by firms in two Vietnamese industries; textile/garment and electronics. Interviews and in-depth studies were conducted in 24 firms over a period of five years. It provides many new findings and insights to complement the many theoretical aspects of technological capability (sequencing, rate) and learning (mechanisms). It also examines the relationship between the use of learning mechanisms and accumulation of technological capabilities, the impact of macro environment factors on learning, and interaction with firms’ business strategies. In particular the book provides empirical research from Vietnam - a specific context which combines features of both developing countries and economies in transition, which have created many difficulties in learning for firms. The book concludes that there is no universal relationship between specific learning mechanisms and the accumulation of certain technological capabilities; that learning and the accumulation of technological capability is a firm-specific, incremental and long term process; and that influences of macro environment factors on firms’ activities, and business responses to these influences, together have an important impact on learning and technological capability.