Date of Award


Degree Type

UG Dissertation (Restricted)


Marketing and International Business

First Advisor

Dr. Yu, Zi-you


MPF Scheme would be a hot issue in recent years. It is newly to be adopted by the government on 1 st December 20000. The main purpose of implementing this scheme is to provide a reasonable retirement protection for the employees in Hong Kong.

Previously, government has given the license of MPF to twenty service providers. As MPF scheme is a compulsory programme, we want to know how do the businesses in choosing the service providers. In Hong Kong, there are 3.2 million workforces which include 2.91 million employees and 247000 employers. All of them are mandated to buy this MPF (exclude the self-employed people). In this research, we want to find out what are the criteria to determine the small and medium companies to choose the service providers.

We conduct a survey to ask the employers' opinion. The result showed that only some of the employers have provided Occupational Retirement Scheme for the employees in the past and most of the companies have decided to adopt the MPF scheme entirely. Besides, HSBC Provident Fund Trustee (HK) Ltd. is the most popular service provider out of the twenty service providers. Also, most of the companies have chosen Master Trust Scheme within the MPF Scheme. The existed business partners provide the main source of information to the employers. Brand name and reputation is the most important determining factor to choose the MPF service provider. Insufficient after-sales service is the problems that the employers are mostly concern with.

In this survey, we also ask the opinion and feelings of the employers upon the MPF scheme. The result showed that over half of the respondants think that MPF Scheme is not necessary to be adopted. The arguments of them are mainly focus on the benefits from MPF scheme is not enough to support the retirement life and it's the responsibility of the government and citizens should not take this burden. Most of the employers think that the promotion works done by MPFA are not really enough. On the other hand, they think that the information provided by the MPF service providers is more enough.

For this project, we were suggested that a high flexibility of the scheme is needed to implement the MPF scheme. Besides, the effect of tax allowance should also be monitored to avoid the negative effect towards the society. Moreover, government and service providers should put more efforts on the enhancement of the MPF promotion works. In addition, the employers should not ignore employees opinions when choosing MPF service providers. Finally, citizens also need to take an active role towards this hot public policy which are highly related to them.



Recommended Citation

Ip, C. S., & Liem, W. S. (2001). MPF service provider selection analysis for small-medium business (UG dissertation, Lingnan University, Hong Kong). Retrieved from