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2007 SCoRP P. 1 2007 Annual Survey of Companies in Hong Kong Representing Parent Companies Located outside Hong Kong
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2007 SCoRP P. 2 (i)Survey conducted annually since early 1990s: Covers RHQs and ROs (ii)Since 2001: Also covers LOs (iii)Since 2004: Also collects views of LOs (iv)Since 2006: Survey name revised Definitions of RHQ, RO and LO revised Background
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2007 SCoRP P. 3 (i)To enumerate number of RHQs, ROs and LOs in HK representing parent companies located outside HK (ii)To obtain basic information of these companies (iii)To seek their views on HK as a location for setting up RHQs/ROs and LOs Survey Objectives
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2007 SCoRP P. 4 Covers companies in HK taking charge of business/operations in HK or in the region on behalf of parent companies located outside HK Reference date: 1 June 2007 Survey Coverage
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2007 SCoRP P. 5 How is a company classified as an RHQ, RO or LO? Taking charge of business/operations on behalf of its parent company located outside HK? Non-RHQ/RO/LO No Yes Geographical responsibility ? LO HK only RHQ Yes In the region Any managerial control over offices in the region? RO (i.e. only coordinates offices and/ or operations in the region) No
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2007 SCoRP P. 6 Country/Territory of Location of Parent Companies No. of companies
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2007 SCoRP P. 7 Geographical Responsibility of RHQs and ROs in the Region (other than HK) No. of companies
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2007 SCoRP P. 8 No. of companies Major Line of Business of RHQs, ROs and LOs
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2007 SCoRP P. 9 Major Line of Business of Parent Companies No. of companies
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2007 SCoRP P. 10 Views on Importance of Factors for Choosing Location for Setting up RHQs/ROs and LOs *In descending order of importance RHQs/ROs * 1.Low and simple tax system 2.Free flow of information 3.Corruption free government 4.Absence of exchange controls 5.Rule of law and independent judiciary 6.Political stability and security LOs * 1.Low and simple tax system 2.Free flow of information 3.Corruption free government 4.Political stability and security 5.Absence of exchange controls 6.Rule of law and independent judiciary
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2007 SCoRP P. 11 Factor FavourableUnfavourable Views on Favourable Factors for HK as a Location for Setting up RHQs/ROs Low and simple tax system Free flow of information Absence of exchange controls Corruption free government Communication, transport and other infrastructure 68% 67% 64% 63% 1% <0.5% 1% <0.5% 1%
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2007 SCoRP P. 12 Factor FavourableUnfavourable Views on Unfavourable Factors for HK as a Location for Setting up RHQs/ROs Availability and cost of residential accommodation Availability and cost of business accommodation 16% 20% 28%
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2007 SCoRP P. 13 Factor FavourableUnfavourable Views on Favourable Factors for HK as a Location for Setting up LOs Low and simple tax system Free flow of information Absence of exchange controls Corruption free government Free port status 64% 61% 59% 58% <0.5% 1% <0.5%
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2007 SCoRP P. 14 Factor FavourableUnfavourable Views on Unfavourable Factors for HK as a Location for Setting up LOs Availability and cost of residential accommodation Availability and cost of business accommodation 16% 20% 24%
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2007 SCoRP P. 15 Views on Overall Business Environment in HK as a Location for Setting up RHQs/ROs and LOs Deteriorated 6% No comment 17% Improved 29% Same 49% Deteriorated 5% No comment 19% Improved 29% Same 47% RHQs/ROsLOs Comparing June 2007 with June 2006
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2007 SCoRP P. 16 Views on Effect of CEPA Implemented since January 2004 on RHQs/ROs and LOs Very much beneficial 3% Negatively affected 1% To some extent beneficial 27% Not affected 52% No comment 17% RHQs/ROsLOs Very much beneficial 3% Negatively affected 1% To some extent beneficial 23% Not affected 54% No comment 19%
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2007 SCoRP P. 17 Effect No comment 17% No 73% Yes 10% Setting up new business expansion plans Advancing business expansion plans Views on Effect of CEPA on Investment Activities of RHQs/ROs and LOs Whether investment activities affected ? No comment 20% Yes 8% No 73% RHQs/ROsLOs
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2007 SCoRP P. 18 2007 Annual Survey of Companies in Hong Kong Representing Parent Companies Located outside Hong Kong
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