Why China’s firms opt for a Singapore-based strategic core with ‘limbs’ in South-east Asia
A distributed headquarters model is finding favour with Chinese businesses operating in the region
CHINESE companies are doing far more in South-east Asia than selling goods. They are building factories, supply chains and local teams. That raises a question with long-term consequences: where should the regional headquarters sit?
Choosing the cheapest city – or copying a competitor – is rarely enough. The location affects access to customers, suppliers and talent as well as compliance costs and the ability to run several markets from one base.
Singapore remains the strongest all-round choice for many asset-light businesses. Its transport links, legal and financial systems, business network and stability are hard to match. It is also expensive.
