The KPMG Competitive Alternatives study is a comprehensive comparison of business costs in 10 countries. The study compares the after-tax cost of startup and operation in each of 17 selected industries, by indexing business costs to the average for the United States (i.e. US average = 100.0). A cost index below 100.0 for an individual location indicates lower costs than the US average, while an index greater than 100.0 indicates higher costs than the US average.
Among the G-7 nations, Canada, the United Kingdom, and the Netherlands are the overall cost leaders, with Canada having a cost advantage of 14.6% relative to the USA. Total labor costs are among the lowest in Canada, second only to Mexico.