What difficulties await those who start an Online Business in Hong Kong?

Difficulties Faced When Incorporating

The biggest challenged faced by avid investors when starting an online business in the ASEAN region, is incorporating the company with the correct procedures. These procedures includes bank account openings, visa applications, and other relevant administrative documentations. Engaging with an experienced professional service provider, the incorporation process can be completed easily.

At Paul Hype Page, we have over 12 years in experience and knowledge in the current market trends around the ASEAN region. Should you be interested in starting an online business of your own in Hong Kong, we at Paul Hype Page & Co will be willing to assist you with any of your needs. We will also ensure that any licensing requirements are settled according to the business laws of Hong Kong.

Determining a Target Market

One of the primary advantages of starting an online business in Hong Kong is accessibility to many foreign markets. Many customers from all over the world. go to Hong Kong-based websites to make purchases online. However, this high level of international accessibility has also posed a challenge for those who start and own an online business based in Hong Kong. This is because an online business owner in Hong Kong must select an appropriate target market.

When determining a target market, one must consider the nature of the products which are to be sold or services which are to be provided. An important part of selecting a suitable target market is understanding the demographics of those who are likely to be interested. Factors such as age, social class, gender, nationality, and line of work play a role when one selects a target market. This is especially crucial in Hong Kong because of the high level of diversity of all kinds which exists there.

Website Selection

Some online business owners prefer to sell their products on their own website. Others prefer to use larger online marketplaces as a vehicle through which their products are sold. One advantage of using one’s own website is that it is possible for the business owner to garner a significant customer following on that website. By building traffic on the website, word of the company and its products will spread and thus lead to more revenue being generated.

In contrast, the primary advantage of using a third-party website lies in its established networks. These online marketplaces have reaches that extend to billions of people all over the world. Thus, one who uses such a website for the benefit of their online business can expect to have an inherent advantage by leveraging the power of these networks.

Currency Selection

To suit each specific businesses’ needs, choosing the correct bank account is also an important factor when incorporating. In line with stricter anti-money laundering (AML restrictions), foreign entities attempting to open bank accounts are also facing increased difficulty in proving they are legitimate businesses. Foreign owned companies will find it difficult to open a corporate bank account if they do not have local operations.

To avoid continuous rejection, consult with a trusted advisor such as Paul Hype Page. We have regional connections in the ASEAN market and we can lend our expertise and help ensure your bank account opening is successful.

After opening you bank account, One matter which is seldom considered by online business owners but is nevertheless important is that of currency selection. This is because the selection of an appropriate currency reflects adequate knowledge about the company’s primary target market. Those who are mainly targeting the Hong Kong market are more likely to list their product prices in Hong Kong dollars. On the other hand, those who are targeting the international market are advised to list their prices in United States dollars, as that is the world’s primary international currency today.

However, those who are targeting a particular location should list their prices in the currency of that location. For example, many Hong Kong online businesses today place great importance on connecting with the market of mainland China. Business owners who intend to emphasize the customers there might benefit from stating their prices in Chinese yuan. Other online business owners who primarily market to some of the world’s other major customer hubs might select Euros, British pounds, Japanese yen, or South Korean won, among others, as their website’s preferred currency.

Conclusion

In summary, the process of starting and operating an online business in Hong Kong is not a walk in the path. Starting from the incorporation process, hiring of employees, managing your online store, contacting legitimate suppliers for the products, filing returns, and obtaining consumers’ feedback require a lot of time and efforts. Paul Hype Page is willing to help you sail through the entire process. We will corporate your business, file your taxes, and aid you to obtain qualified employees. The management and operation process will not be as difficult with our professional help.