Hong Kong is seen as the most ideal base in Asia Pacific region in alluring multinational companies to set up headquarters, and Singapore ranks the second, according to a survey conducted by Japan's Ritsumeikan Asia Pacific University.

The survey involves 850 multinational companies in Hong Kong with 75% of them from Europe and America. Interviewees from financial or service sectors spoke highly of Hong Kong.

70% of respondents believe simple tax system and low tax rate are the main factor for the region being able to attract transnational corporations to set up headquarters.

Statistics show that some 3800 foreign companies have established headquarters or offices in the city by the end of June this year, of which, 868 are from America.

By People's Daily Online