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Connectivity: Bringing the world of business together

Connectivity: Bringing the world of business together. 21 November 2005. Peter Woo Chairman Hong Kong Trade Development Council. Global convention for SMEs = CONNECTIVITY. Global convention for SMEs. +. 30,000 HK SMEs 5,000 MPEs 1,500 SMEs from overseas The concept works!.

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Connectivity: Bringing the world of business together

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  1. Connectivity:Bringing the world ofbusiness together 21 November 2005 Peter WooChairmanHong Kong Trade Development Council

  2. Global convention for SMEs = CONNECTIVITY

  3. Global convention for SMEs + • 30,000 HK SMEs • 5,000 MPEs • 1,500 SMEs from overseas • The concept works!

  4. World Federation of HK Business Assns Bilateral committees Hong Kong – UK Hong Kong – France Delivering more value

  5. A platform for collaboration between designers and manufacturers Assist SMEs to move up value chain Delivering more value

  6. The China story4 Out performed expectations in past 25 years Annual GDP growth at 8.5% over 10 yrs GDP will double in next 10 years Let’s talk business!

  7. 20% of the population in the “middle-class” = 250 million This group will increase to 25% by 2010 The China story

  8. Huge consumption power of the new rich US$ 2 billion on luxury items in 2004 29% of the world's luxury market by 2015 Space industry (Shenzhou 神舟6) The China story

  9. Sustainable development for the whole country Balanced growth among different regions Further urbanisation to lift living standards China’s future direction:

  10. Move 200 million rural dwellers to cities in next 20-30 years Expand / build 200 cities of 3 million people each Do all types of productions (low-to-high end) Car exports – soon? Implications for China: Pie in the sky? Many believe not !

  11. Opportunities for Hong Kong Build / finance / operate China's new urban infrastructure Provide the services needed Set up factories in new industrial areas Hong Kong’s connectivity

  12. Over 50% of China's FDI from / or through Hong Kong Experience and know-how to manage risk HK’s first-mover advantage

  13. China's service economy is 32% of GDP Hong Kong’s service economy is 89% of GDP HK’s first-mover advantage

  14. Success in PRD in last 25 years Replicate in other parts of China HK’s first-mover advantage

  15. Balancing opportunities, competition and risk "Wait-and-see" no longer a viable strategy Take full advantage of the Hong Kong platform Connect with Hong Kong Time to act

  16. What about mainland enterprises? 4 million MPEs 30% growth in their number p.a. – compounded over last 10 years Time to act

  17. Use the Hong Kong platform to: Connect with the world’s markets Raise capital and finance deals Improve competitiveness Time to act What about mainland enterprises?

  18. 5.5% growth Cepa III More tourists (Disneyland open) More RMB services Removal of estate duty tax Hong Kong’s Story

  19. ~ transactions in goods and services The Hong Kong Agenda Build critical mass of: • Good news from TDC – CEC expansion • 40% more exhibition space • 8 trade fairs to go for #1 in the world • Bumper year for Hong Kong trade fairs

  20. ~ Capital market ~ Infrastructure and logistics ~ Talent and creativity - people The Hong Kong Agenda Build critical mass of:

  21. Over stressed and over worked Demand for talent and creativity far greater than before Attract more talent and entrepreneurs globally Act as agent for China's talent-hunt The Hong Kong Agenda

  22. Raise the bar- Make it more difficult for others to catch up Differentiate ourselves- Move up the value chain The Hong Kong Agenda

  23. World capital for: SMEs Entrepreneurs The Hong Kong Agenda plus World platform for private capital

  24. Join a global talent-hunt for China: Hong Kong Business Associations - a source of talent Your services are needed HKBAs’ connectivity

  25. Focus on connectivity Connect with other associations Map out a plan for the next 5 years Build your critical mass HKBAs’ connectivity Message for Hong Kong Business Association members:

  26. Message for HKBA members: • Penetrate your local business community • Spread the gospel • Make HK a “must” on China trips • Connect with 10 new players and bring them here

  27. TDC is the conduit We match-make businesses the world over Our credo: “ Anyone using the Hong Kong platform ~ is our client” HKTDC’s connectivity We are at your service!

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