Hong Kong provides easy Asian entry
With its red color that’s the same as that on the Chinese flag, representing the motherland, Hong Kong’s flag has a stylized, white, five-petal Bauhinia flower in the center. The flower was developed in Hong Kong in the late 19th century.
Location: Bordering the South China Sea and China in Eastern Asia, Hong Kong is six times the size of Washington, D.C. It consists of a mainland area and more than 200 islands.
Language: Cantonese, English and Mandarin are official languages.
Total population: 7.2 million
Capital: As a special administrative region of China, Hong Kong doesn’t have an official capital.
Government: Presidential limited democracy
Religion: Buddhist or Taoist with small percentages of Protestant, Catholic, Muslim and others.
Economy: Hong Kong’s free market economy is highly dependent on international trade and finance, making it vulnerable to global financial market volatility or a slowdown in the global economy. It’s also proven exceptionally resilient and continues to have its own sustained drivers of growth, including retail, logistics and business services, financial services, real estate development and tourism. Hong Kong benefits from continued economic integration with mainland China’s growing economy. During the past decade, as Hong Kong’s manufacturing industry moved to the mainland, its service industry has grown rapidly.
News note: Hong Kong recently fell to second place among the world’s most competitive economies, as the U.S. moved into the top spot for the first time since 2015. The annual rankings come from the Switzerland-based IMD World Competitiveness Center. Hong Kong still scored first in government and business efficiency, while the U.S. scored high in international investment, domestic economy and science infrastructure.
GDP (official exchange rate): $334.1 billion
Currency: Hong Kong Dollar (conversion rate: 1 HKD equals $0.13 USD).
Franchising in Hong Kong: Hong Kong is considered an ideal platform for doing business in Asia, particularly mainland China, as it has a strong rule of law and respect for property rights. Though China is responsible for its foreign relations and defense, Hong Kong is a customs territory and economic entity separate from the rest of China and is able to enter into international agreements on its own behalf. There are no specific local franchising laws.
Cultural notes: Hong Kong’s society is a blend of Chinese tradition and modern technology. Business meetings are more formal, as is the exchanging of business cards: accept the card with both hands and take a moment to carefully read it.
Ease of doing business ranking by World Bank: 5, no change from 2017.