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To provide higher data rate and larger capacity in the next generation mobile communication network, the cell size of future mobile communication system will be very small, which causes more frequent handoff between cells and different wireless systems, and also causes more signaling cost. So a new framework of hierarchical network-layer mobility management based on dynamic domain management is given to provide a more efficient location management scheme and reduce the overhead of signaling. A handoff strength measurement algorithm and a dynamic domain management scheme are presented in this paper, regarding the unequal distribution characteristics of the mobile communication subscribers and the services. The simulation result shows that flexible dynamic domain management and re-organizing can obviously reduce the signaling cost and improve the traffic quality of the mobile terminals.