Think about a business environment: A place with the finance power & clear legal environment as good as New York & London, but the business cost is around 1/3 of New York & London. Such place is existed in the world: Hong Kong & Shen Zhen.
Those 2 cities are building together in the south side of China where Hong Kong is a famous international finance hub as well as the famous developed place in the world. And Shenzhen is still under the path of industrization where does exist the non-stop supply of the working power from overall China. As a bank manager, the salary of a manager from Shen Zhen is around USD500 & Hong Kong needs USD3000. It makes many Hong Kong people spend their leisure in Shen Zhen in the weekend or even live there..
For the businessman in Hong Kong, all people keep Hong Kong as a fiancé centre only & run the factory in Shen Zhen, such model save a lot of the expenses annually. Because Hong Kong need to pay for the profit tax at 16.5% only & no more any tax else. And Shen Zhen can provide the low cost working power, land & any indirect packages.
See from my video taken in an ordinary Sunday night showing how’s the traffic of the Hong Kong people moving back from Shen Zhen to Hong Kong:
http://www.youtube.com/watch?v=7ZPh7iowLzc
About the author:
I am the founder of a factory in china & running 2 online shops selling the china made niche electronics. They are www.one-stop-factory.com & www.one-stop-china.com
I make my blog for encouraging more people to source direct from China.
