Top 3 Asian Markets to Start a Business
Companies have been interested in entering the Asian market for many different reasons. Trade agreements like the ASEAN (Association of Southeast Asian Nations) help streamline trade between many different countries in the Southeast Asian region. We’ve listed the top 3 Asian locations that you would be interested in. NNRoad helps your business navigate through the different markets of Asia to best suit your global expansion strategies such as HR outsourcing and payroll service.
Keep reading to learn about the Top 3 Asian markets to start a business.
After major government reform in 2014, Thailand has made efforts to improve the country’s economy. The country has low unemployment rates and low inflation making it a hub for productive working middle-class and economic stability.
Here are the reasons why you should do business in Thailand:
- Business Language Spoken is English: While Thailand’s official language is Thai, the business language spoken is English. Business English is taught in many of Thailand’s major universities, thus churning out many educated and competent graduates each year, ready to enter the workforce.
- Supportive Government: Thailand’s government is very supportive of businesses. Moreover, it provides tax incentives for businesses engaging in certain sectors such as research and development.
- Part of the ASEAN: Thailand is a member of the ASEAN, expanding its influence across nine other countries. This gives Thailand-based businesses a bigger reach within the Asia-Pacific region.
Malaysia’s main drivers are technology and knowledge-based services, and the government has put in efforts to promote foreign investment in these sectors. Businesses would find that Malaysia is a very lucrative market for a number of reasons:
- Connected With Neighbors: Malaysia has a solid infrastructure system. Malaysia boasts a high-speed rail project with seven stops within the country which connects Singapore and Kuala Lumpur. Moreover, Malaysia’s world-class airport (KLIA) and seaport (Port Klang) connect Kuala Lumpur to the rest of Southeast Asia and the world.
- Part of the ASEAN: Malaysia, along with Thailand, is a member of the ASEAN. Not only providing even more connectivity in the region but also expanding the consumer market tenfold.
- Economic Transformation Program: In 2010, Malaysia’s Prime Minister Najib launched the Economic Transformation Program. It’s a series of projects and policy measures intended to promote significant economic growth by the year 2020.
Singapore is a hub of business activity in the Asia Pacific region. For example, the country accumulated $77.6 billion USD in foreign direct investment (FDI) in 2019, an increase of 2.5% from the previous year. The government actively supports businesses that are based in Singapore and many multinational corporations engaging within the country.
Here’re the reasons why companies should hire employees and do business in Singapore:
- Lowest Corporate Income Tax Rates: Singapore has a 17% corporate income tax rate (CIT), one of the lowest corporate income tax rates in the world. This allows companies to focus more on their core business with flexibility.
- Strategic Location: Multinationals regard Singapore as a strategic location to grow their businesses. Many of them using the country as a springboard to tap into other emerging markets in Asia.
- Stable Political Environment: Singapore has the most stable political environment in South-east Asia. It offers entrepreneurs and investors a strong sense of security and comfort.
Thailand, Malaysia, and Singapore all have something special to bring to the table. Undoubtedly, businesses should keep their eyes on them.
NNRoad’s trusted experts understand the local laws in each jurisdiction to make your business expands into new markets with ease. Learn more about our employment service, registering a company, payroll service, and benefits administration services as you prepare for your entry into Asia.
Contact us today to discuss more!