Hong Kong Now Become Corporate Service Center World

Hong Kong has become a service center for companies (foreign as well as those from Hong Kong) doing business in China. The economic structure has since been changed dramatically over the last decade: the manufacturing sector accounted for only 5% of GDP in 2001, compared with 14.4% in 1991, and in 2002 used only 9% of the workforce. The manufacturing sector has been superseded by the services sector is growing rapidly. Wholesale, retail and import / export trade, and community, social and personal service are the two largest sectors of Hong Kong’s services in 2002 (The Economist, 2004).

With the government refusing rule, Hong Kong has traditionally did not have legislative measures and institutional used elsewhere to encourage competition. Partly because of this, there has been criticism that the domestic economy is monopolized by a few powerful local conglomerates. For example, only two chain-Wellcome and Park ‘n Shop supermarket-dominated industry. Both companies are in turn owned by a conglomerate, Jardine Matheson and Hutchison Whampoa respectively, which have a variety of other interests in Hong Kong, has, for example, major land developers.

the government has taken several steps to improve enterprise competitiveness in recent years, despite the efforts so far have been limited mainly to the areas where it provides a direct influence. The new products can and do gain market share very quickly.

However, the composition of trading in Hong Kong has changed over the last 10 years. Hong Kong used to be an important intermediary for China’s trade with the rest of the world. Now that China has increasingly direct access to world markets, less of this trade goes through Hong Kong (The Economist, 2004). Instead, Honk Kong is getting bigger part of the trade “offshore” that takes advantage of logistics services ahead of Hong Kong. But the value added component of this kind of trade is much lower.

Hong Kong operates an open financial system, highly respected, and efficient which includes many of the world’s largest financial institutions. In this context, the role of Hong Kong as a financial services center will become more important. Even if China’s financial relationship with the world is to deepen, Hong Kong is likely to continue to play an important role as a center for raising funds for Chinese companies. But maintaining international competitiveness in the face of increasing competition from prospective financial centers more will remain to be a challenge (The Economist, 2004).

Hong Kong today has a strong economic recovery in progress of the Asian stock market crash of 1997. There was a good near-term outlook for growth and easing deflation ride with the free flow of goods, capital, people and information between Hong Kong and China. GDP growth for 2004 is now 4 ½ percent. The economy is currently supported by the impetus of the Mainland tourism, strengthening the global economy, the emergence of a new free trade zone between China and Hong Kong, as well as a corresponding increase in domestic consumer sentiment (IMF Staff Visit Hong Kong, 2003).

Brian Lambert is the Director of Sales Development and Performance at the American Society for Training & Development (ASTD). In this role, he is responsible to meet the unique challenges of professionals focused on the performance of the sales profession. He is responsible for conducting basic research and create resources, articles, and custom content more help individuals design and provide sales training, managing and developing high talent performing sales, and improve the performance of the sales force. Brian has fifteen years of experience in sales, sales management, sales training, and sales consulting and expert internationally recognized on the state of the sales profession as well as the current trends in changing the system of sales teams, processes, and people.

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