FRIDAY, MAY 21, 1982
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SOME RECOVERY IN BUSINESS ACTIVITIES FOR THE SECOND QUARTER IS EXPECTED BY FIRMS IN THE OTHER MANUFACTURING INDUSTRIES AS WELL. THE BALANCE OF VIEWS SHOWS THAT SMALL IMPROVEMENTS ARE EXPECTED BY FIRMS IN THE ELECTRONICS, WATCHES AND CLOCKS AND FABRICATED METAL PRODUCTS INDUSTRIES.
MODERATE IMPROVEMENTS ARE EXPECTED BY FIRMS IN THE WEARING APPAREL AND PRINTING INDUSTRIES.
HOWEVER, NO IMPROVEMENT IS FORESEEN BY RESPONDENTS IN THE TEXTILES INDUSTRY.
ACCORDING TO THE SURVEY, THE MAIN PROBLEMS ENCOUNTERED BY THE MANUFACTURING SECTOR IN THE FIRST QUARTER WERE HIGH INTEREST RATES, INSUFFICIENT BUSINESS ORDERS OR CONTRACTS, HIGH WAGE RATES AND PRICE COMPETITION.
THESE PROBLEMS ARE EXPECTED TO CONTINUE INTO THE SECOND QUARTER. THE 'CONSTRUCTION' SECTOR CONSIDERED PRICE COMPETITION AND HIGH INTEREST RATES AS THE MAJOR PROBLEMS BOTH FOR THE FIRST AND THE SECOND QUARTERS. THESE PROBLEMS WERE ALSO SIGNIFICANT IN THE WHOLESALE AND RETAIL TRADE.
RESTAURANTS AND HOTELS HAD SERIOUS STAFF TURNOVER PROBLEMS IN THE FIRST QUARTER. SUCH PROBLEMS ARE EXPECTED TO CONTINUE INTO THE SECOND QUARTER WITH RESTAURANTS BUT NOT WITH HOTELS.
THE CENSUS AND STATISTICS DEPARTMENT SAID THAT THE SURVEY RESULTS, OBTAINED WITH A MINIMUM TIME LAG, WERE BASICALLY INTENDED TO PROVIDE ONE SOURCE OF REFERENCE FOR MAKING A QUICK ASSESSMENT OF THE CURRENT ECONOMIC SITUATION OF HONG KONG.
PARTICIPATING FIRMS WERE ASKED TO INDICATE WHETHER IN THEIR OPINIONS, THE GENERAL BUSINESS SITUATION AND LEVEL OF CAPACITY UTILIZATION HAD IMPROVED, REMAINED THE SAME OR DETERIORATED IN THE IMMEDIATELY PAST QUARTER AS COMPARED WITH THE QUARTER BEFORE.
FOR THE FORTHCOMING QUARTER, THEY WERE ASKED TO INDICATE WHETHER THE SITUATION WILL IMPROVE, REMAIN THE SAME OR DETERIORATE. THE BALANCE OF OPINIONS OF RESPONDENTS WAS TABULATED AND ANALYSED.
THE SURVEY REPORT ALSO CONTAINS A SECTION ON BUSINESS PROBLEMS EXPERIENCED AND EXPECTED BY FIRMS IN DIFFERENT ECONOMIC SECTORS AND A BREAKDOWN OF VIEWS OF FIRMS BY SIZE GROUPS.
THE DEPARTMENT CAUTIONED THAT FOR A SURVEY OF THIS NATURE THE RESULTS SHOULD BE INTERPRETED WITH CARE AS IT WAS DIFFICULT TO ESTABLISH PRECISELY THE EXTENT TO WHICH RESPONDENTS' PERCEPTION OF THE PAST AND THE FUTURE ACCORDS WITH THE UNDERLYING TRENDS.
COPIES OF THE REPORT, CONTAINING AN ANALYSIS OF THE SURVEY FINDINGS AND STATISTICAL TABLES, HAVE BEEN DISTRIBUTED TO FIRMS TAKING PART IN THE SURVEY AND TO OTHER BUSINESS ORGANISATIONS.
MEMBERS OF PUBLIC MAY OBTAIN COPIES FROM THE GOVERNMENT PUBLICATIONS CENTRE, GENERAL POST OFFICE BUILDING, AT $3 PER COPY.