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Business Cost Conditions In Singapore's Manufacturing and Services Sectors

Business Cost Conditions In Singapore's Manufacturing and Services Sectors

This article presents the business cost structure of the manufacturing and services sectors, recent trends in business costs, as well as the outlook for the key components of business costs.

(I) Business Cost Structure of Manufacturing and Services Sectors

Labour cost, royalty payments and “others” are the main components of business costs in the manufacturing sector; similarly, labour cost constitutes a major cost component in the services sector

For firms in the manufacturing sector, labour cost, royalty payments and “others” constitute the main components of business costs. Collectively, they account for around 75 per cent of the business costs of small- and medium-sized enterprises (SMEs) and 67 per cent of the business costs of non-SMEs in the sector.

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