Singapore is way ahead of its peers.
Competition between cities to attract major multi-national companies (MNCs) is already fierce. However, with long-term drivers of economic change continuing to shape the regional business environment, that competition is expected to further intensify, says Cushman & Wakefield (C&W) in a recent report.
Singapore and Hong Kong continue to maintain a strong rivalry, while Tokyo and Sydney have long been key destinations for MNCs. The rapid economic development of China, and commensurate growing importance of its Tier 1 cities, have enabled Beijing and Shanghai to compete to host MNCs as well.
The map above shows where most number of MNCs have put up their regional headquarters.
Generally, C & W shared that the main criteria that MNCs consider when selecting locations for regional headquarters (RHQs) include:
• Strategic geographical location – proximity to clients and markets.
• Rational and well-developed legal and regulatory framework.
• Globally competitive tax environment.
• Stable political environment.
• Favourable business environment, including incentives.
• Transparency and easy market access.
• Cost of operations.
• Availability of talent.
• Proximity to production facilities.
• Access to distribution channels.
• Good quality of life, including environment,
schooling, housing, openness to foreigners etc.
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