EDIT
In June 2005, 3,798 overseas companies were maintaining operations in Hong Kong, with 1,167 being regional headquarters - a record high, according to InvestHK, a government department "that promotes the many advantages of Hong Kong as a base to locate a business." No doubt, the chief executives enjoy the magnificent food, the service with a smile, and the novelty of walking around air-conditioned Central and Admiralty, without actually having to descend to the ground floor and step out onto the street. Tourists too, are undoubtedly amazed at the modern infrastructure and the efficient transportation network.
But with such perks, and InvestHK's laudable plugging of Hong Kong's still "simple taxation system" and 98 percent household broadband Internet connectivity, why did a leading international human resources research company relegate Hong Kong 12 places down the ladder to 32nd spot - 31 places below Singapore - in this year's Location Ranking Survey on expatriate living conditions?
EDIT
According to Immigration Department records, the number of resident expatriates from the United States, Britain, Canada and Australia plunged 14 percent last year in what has already been a steady decline in recent years. The government has been insisting there is no evidence to support the argument that air pollution is driving away investment and hurting businesses. In a May interview with the online Hong Kong Journal, Chief Executive Donald Tsang Yam-kuen, said: "The air is not all that bad. In fact, the air this year is better than it was last year, and last year was better than the year before."
But expatriate residents have at least anecdotal evidence - and their own experience - to strongly disagree with the chief executive. Jens-Erik Olsen, chairman of the Danish Chamber of Commerce, said he knew people who had "actively left Hong Kong and refused to come" because of the worsening air pollution. "People are concerned, especially people with children."
EDIT
http://www.thestandard.com.hk/news_detail.asp?pp_cat=11&art_id=24491&sid=9163114&con_type=3