Page 31 - 2017 Special Report
P. 31
5. Advantages of Business Environment in South China Potential growth of 33% 40 60%
Business South China market 28%
Environment & Amajority of respondents have established their 28% 50 60
Challenges companies in South China because of access to ????°å??¥å???då¢?an??agä¼?s ??f human resources 26%
growing local markets. Meanwhile, approximately one 21%
third of responding companies stated that they stay Better infrastructure than other places in China 19%
in South China because of its advantages in human 15%
resources, better infrastructure, and proximity to � Proximity to Hong Kong, Macau & Taiwan
Hong Kong, Macau, and Taiwan. The research result is ?¨è?为å?å½??ä¼??ä¸??Po?ºå?lic?·å?y???ad?°å?va?¿å?ntæ½??ag???esï¼??in主å?So次è?utçº??h ???Ch???ina 10 20 30
identical with last year??. ???ä¸???¨å???r??n??p??r??atä¸?o?? &äº?o??èµ?stæº?caä¼? a??v??n??aå¥?e??
?ºç?设æ?????aè¿?laæ¸?iæ¾?ity???? r??w??è¯?té¡?rè°?als??&????he?? iä¸?p??tå¹?
è°?????????¨ä??´ã??elatively low production costs
Others 3%
0
Potential growth of 33% 40 60%
South China market 28%
Advantages of human resources 28% 50 60
26%
Better infrastructure than other places in China 21%
19%
Proximity to Hong Kong, Macau & Taiwan 15%
Policy advantages in South China 10 20 30
Transportation & logistical advantages ????°å??¢å??????
Availability of raw materials & other inputs
Relatively low production costs
Others 3%
0
Challenges in South China
For most respondents, fierce local competition, rising labor costs, and shortage 对ä?大é????ä¸????ï¼???°ç?äº??????ºº???æº???????»¥??¼ºä¹?
of qualified personnel were identified as the top three challenges of operating ?????ºº??????????°å????ä¸?¡¹??大æ???????¶å¤§?¨å???
in South China. Interestingly, while most of the respondents stated advantages in ä¼??表示????°å???ºº???æº???¿ï?ä½??ä¸??ä¼??ä¾?????人æ?ç´?´¨ä¸??
human resources as one of the top three strategic reasons for establishing a business in é«??è¿?¡¨???????ºäºº???æº??»ä?ç´?´¨äº???????
South China, they also cited a shortage of qualified personnel in the region as a major
concern. These suggest a need for human resources development in South China.
Fierce local competition 0 10 20 30 40 50 60 70 80
36% 19% 10% No. 1 Challenge
Rising labor costs 24% 23% 18%
Shortage of quali ed personnel 18% 15% 14% No. 2 Challenge 5.
No. 3 Challenge ?¥å????ä¸?
Fierce foreign competition 8% 9% 8% ?¢å??????
80
Industry overcapacity 7% 10%
No. 1 Challenge
Unfavorable regulatory environment 6% 7% 4%
Lack of government transparency 8% 3% 4%
Excessive bureaucr0acy 15%0 3% 20 30 40 50 60 70
Fierce lRoicsainlgc0olDambopomertcieot1isos0ttnsic pr2o0tec24t%io3n306i%sm 3% 19% 10%
60%7rFerve%cieEegoe1Irxrn8uf7ncfc%d%qoleme2auru49stleR%e%soosa1iitin0lcg4rsvri%y%aitynen3lete6og0bcrcdn%avooulvnea8pmmri%srebrecUpoppaoraasnnue1erpor5tmcftLceaia%in1rtaotncvaeiniScoso0ioccnhtektnnyyyrstloaorbftFla2g65ei83ge8o%%%%Dr%2e7rvec%oeE0g3oe1I1rxm%nuf48nfc73%dqo%le%%mea2urusst49eets1osa4%%1iit9in%clgrv0r4i%3yty%ne%p3ete0orbcr6donav%outvnepmre8isrere%ccpopart1aasniue8o1po4rtm%c5enainr%t0nca1ieinso0iccnmte%nyyytl 235%0
40 60 178%0 80
18% 19% 15%10% No. 1 Challenge No. 2 Challenge
14%
2853%%0 9%60 8% 7180% 80 30 No. 24Ch0allenge50
7%14% 10% No. 3 Challenge N6o.03 Challe7ng0e 80 0 10 20 30 40 50 60 70 80
6% 7% 4% 0 1N0o. 1 Cha2lle0nge Fierce local competition 36% 19% 10% No. 1 Challenge
8% 3% 4% No. 2 Challenge
5% 3%
3% No. 3 Challenge Rising labor costs 24% 23% 18% No. 2 Challen6g1e
18% 15% 14%
%Dom3%es4ti%c protectionism 3% Fierce foreign competition 8% 9% 8% No. 3 Challenge
3% 0 10 20 30 40 50 60 70 80 Industry overcapacity 0 7% 10 10%20 30 40 50 60 70 80
Fierce local competition 36% 19% 10%
Business South China market 28%
Environment & Amajority of respondents have established their 28% 50 60
Challenges companies in South China because of access to ????°å??¥å???då¢?an??agä¼?s ??f human resources 26%
growing local markets. Meanwhile, approximately one 21%
third of responding companies stated that they stay Better infrastructure than other places in China 19%
in South China because of its advantages in human 15%
resources, better infrastructure, and proximity to � Proximity to Hong Kong, Macau & Taiwan
Hong Kong, Macau, and Taiwan. The research result is ?¨è?为å?å½??ä¼??ä¸??Po?ºå?lic?·å?y???ad?°å?va?¿å?ntæ½??ag???esï¼??in主å?So次è?utçº??h ???Ch???ina 10 20 30
identical with last year??. ???ä¸???¨å???r??n??p??r??atä¸?o?? &äº?o??èµ?stæº?caä¼? a??v??n??aå¥?e??
?ºç?设æ?????aè¿?laæ¸?iæ¾?ity???? r??w??è¯?té¡?rè°?als??&????he?? iä¸?p??tå¹?
è°?????????¨ä??´ã??elatively low production costs
Others 3%
0
Potential growth of 33% 40 60%
South China market 28%
Advantages of human resources 28% 50 60
26%
Better infrastructure than other places in China 21%
19%
Proximity to Hong Kong, Macau & Taiwan 15%
Policy advantages in South China 10 20 30
Transportation & logistical advantages ????°å??¢å??????
Availability of raw materials & other inputs
Relatively low production costs
Others 3%
0
Challenges in South China
For most respondents, fierce local competition, rising labor costs, and shortage 对ä?大é????ä¸????ï¼???°ç?äº??????ºº???æº???????»¥??¼ºä¹?
of qualified personnel were identified as the top three challenges of operating ?????ºº??????????°å????ä¸?¡¹??大æ???????¶å¤§?¨å???
in South China. Interestingly, while most of the respondents stated advantages in ä¼??表示????°å???ºº???æº???¿ï?ä½??ä¸??ä¼??ä¾?????人æ?ç´?´¨ä¸??
human resources as one of the top three strategic reasons for establishing a business in é«??è¿?¡¨???????ºäºº???æº??»ä?ç´?´¨äº???????
South China, they also cited a shortage of qualified personnel in the region as a major
concern. These suggest a need for human resources development in South China.
Fierce local competition 0 10 20 30 40 50 60 70 80
36% 19% 10% No. 1 Challenge
Rising labor costs 24% 23% 18%
Shortage of quali ed personnel 18% 15% 14% No. 2 Challenge 5.
No. 3 Challenge ?¥å????ä¸?
Fierce foreign competition 8% 9% 8% ?¢å??????
80
Industry overcapacity 7% 10%
No. 1 Challenge
Unfavorable regulatory environment 6% 7% 4%
Lack of government transparency 8% 3% 4%
Excessive bureaucr0acy 15%0 3% 20 30 40 50 60 70
Fierce lRoicsainlgc0olDambopomertcieot1isos0ttnsic pr2o0tec24t%io3n306i%sm 3% 19% 10%
60%7rFerve%cieEegoe1Irxrn8uf7ncfc%d%qoleme2auru49stleR%e%soosa1iitin0lcg4rsvri%y%aitynen3lete6og0bcrcdn%avooulvnea8pmmri%srebrecUpoppaoraasnnue1erpor5tmcftLceaia%in1rtaotncvaeiniScoso0ioccnhtektnnyyyrstloaorbftFla2g65ei83ge8o%%%%Dr%2e7rvec%oeE0g3oe1I1rxm%nuf48nfc73%dqo%le%%mea2urusst49eets1osa4%%1iit9in%clgrv0r4i%3yty%ne%p3ete0orbcr6donav%outvnepmre8isrere%ccpopart1aasniue8o1po4rtm%c5enainr%t0nca1ieinso0iccnmte%nyyytl 235%0
40 60 178%0 80
18% 19% 15%10% No. 1 Challenge No. 2 Challenge
14%
2853%%0 9%60 8% 7180% 80 30 No. 24Ch0allenge50
7%14% 10% No. 3 Challenge N6o.03 Challe7ng0e 80 0 10 20 30 40 50 60 70 80
6% 7% 4% 0 1N0o. 1 Cha2lle0nge Fierce local competition 36% 19% 10% No. 1 Challenge
8% 3% 4% No. 2 Challenge
5% 3%
3% No. 3 Challenge Rising labor costs 24% 23% 18% No. 2 Challen6g1e
18% 15% 14%
%Dom3%es4ti%c protectionism 3% Fierce foreign competition 8% 9% 8% No. 3 Challenge
3% 0 10 20 30 40 50 60 70 80 Industry overcapacity 0 7% 10 10%20 30 40 50 60 70 80
Fierce local competition 36% 19% 10%
