The Philippine Economic Zone Authority, for example, designed its tax and other incentives for manufacturers. Now the agency is pushing through formal approval of a new set of incentives tailored for service producers, says de Lima, the director-general. The agency has already granted businesses in a new office complex, Eastwood City, the same incentives it gives manufacturers, including simplified tax returns and tariff-free imports of capital equipment. It is considering requests from two other developers to classify their office projects as special economic zones. The Philippines won't be the only winner, to be sure.
China has plenty of talented software developers and engineers.
Thailand may prove to have an edge in travel-related services because of its thriving tourism industry. When the oil company placed its top executives and main computer in Singapore last year, it considered locating the Shared Services Centre in the city-state as well. Hong Kong and India were also candidates. Robertson said the Philippines won because of its labour force. Robertson predicts Caltex will double its Manila service staff to about 120 by year's end.