This study examined the characteristics of Korean firms’ location choice in Vietnam. The spatial pattern of Korean firms’ location in Vietnam began at the Hanoi and Ho Chi Min, the major cities in Vietnam. The geographic distribution of Korean firms’ location expanded until 2000, but it shrank back to the top two major cities. Vietnam's socio-economic conditions change with economic growth and globalization and Korean firms’ structural change with globalization and ICT technology have changed Korean firms’ location pattern over the last two decades. Low cost was highly important factor at the beginning, but agglomeration externalities became important factor now a days. Before 2000 Vienam’s major locational advantage was viewed as a good consumer market and low-cost labor-intensive manufacturing site. After 2000, as global economy bounce back from Asia financial crises, Vietnam’s agglomeration economy started to play an important role to attract foreign investment. Hanoi has an advantage in low labor costs and abundant labor; Ho Chi Minh has an advantage in agglomeration of FDI and infrastructure improvement. Korean firms tend to cluster around Hanoi and Ho Chi Minh more than before. This trend is expected to continue for the time being as firms can benefit from the agglomeration externalities.