Compared to other cities in Asia, Hong Kong is an easy place to do business as an expat. A free trade environment (low profits tax and an unrestricted flow of capital and foreign exchange), the rule of law, an excellent infrastructure and a skilled workforce are often cited as the main competitive advantages enjoyed by businesses that operate out of Hong Kong. The widespread use of English is another key factor.

Business Environment

The mood in Hong Kong is upbeat. Steady economic growth over the past three years, falling unemployment and increased import and export of goods and services mean foreign businesses are continuing to be a presence.

Expatriate entrepreneurs running their own small and medium-sized enterprises (SMEs) rave about the connectedness of the business community here – ‘networking in the true sense of the word’. Although expats constantly joke that they are in Hong Kong ‘for the sunshine and the money’, many are enthusiastic about the work they do here. Melanie Nutbeam, Director of International Financial Planning with financial planning company ipac, has been here for more than ten years and loves it. She says:

Hong Kong provides opportunities for people to carve out their own niches – and for people who are hard working, they’ll find these opportunities. Especially for professional women, Hong Kong is an accepting community because it’s a business community. People take women in business seriously. Networking is important – business is based on contacts and spheres of influence. If I go to a cocktail party on a Thursday night, it’s understood that I’m there as a woman who’s networking.

It doesn’t bother Melanie when the distinctions between private and professional life become blurred. She says:

Your professional style becomes incorporated into your lifestyle. People socialize with those they do business with.

She also notes that Hong Kong

… is a very giving community. If you’re looking for work, you can ring the MD and nine out of ten times they will say ‘come and have a coffee’. And because I experienced that, I do that for people who are new in town. We appreciate that people who arrive in Hong Kong have got the guts to get up and go and we’re happy to support and encourage this

Expatriate Employment Sectors

Requirements

Expats looking to work in Hong Kong need to be able to demonstrate a high degree of professionalism, experience and specialist knowledge. Increasingly, language proficiency in Cantonese and Mandarin/Putonghua is desirable, especially now that the mainland has become a key focus of growth for most international companies and as Hong Kong responds to political pressure from the north.

According to Anthony Behan, Managing Director of The Communication Group, a consultancy specializing in corporate language and business skills training, expats in Hong Kong need to know enough Cantonese ‘so you can order your favourite dishes at a restaurant and to show that you have a connection’.

If you can learn some Cantonese to get by, you’re effectively ‘in the circle’ rather ‘out of the circle’, otherwise, says Behan, ‘you’re not going to be able to fit into society as it’s evolving.’ He sees English and Putonghua becoming the dominant languages in Hong Kong in the next five to ten years, which is why, if you plan to stay here any length of time, he suggests moving on to Putonghua:

This is particularly true for professionals working in specific areas on the mainland. Mr Behan has received several queries recently from golfers:

In practice, though, most expats still have no or limited Chinese language skills.

Being able to develop a ‘cultural affinity’ for Hong Kong, China and the Asia region in general is also regarded as important for a successful adjustment to the lifestyle, society, mores and way of doing business here. According to Anthony Lewis, it is often an inability to fit in with the culture and adjust working styles, or the ‘trailing spouse’s’ adjustment problems, that causes some expats to come to grief, as most are ‘well thought out’ before they arrive.