I. We should have specialized agencies to grasp, coordinate and control the business investment from the collectivity and overall situations.
As mentioned above, business investment activity is an interrelated collectivity and systematic project that involves various aspects. To enable this inter-departmental systematic project—business investment operate normally and orderly, it is necessary to coordinate business investment. The coordination of business investment generally refers to the conduct, coordinate and control business investment in a general and overall way. If we conduct the coordination of business investment better, we can pull together to promote business investment; otherwise, it will create fetter and friction in the process of business investment. Therefore, it is necessary to separate and strengthen the functions of business investment coordination. To strengthen the functions of business investment coordination, it is necessary to establish a special body to charge and perform this function. In recent years, some provinces and cities have set up investment promotion bureaus; this is the reflection to play the importance of business investment coordinating. If we do not set up a special body, it will be difficult to coordinate the work and interests among departments and go beyond the narrow departmental perspective to gain the consistent coordination of the overall work. In order to attract more foreign investment and promote economic development, a country or a region often cultivates many business investment bodies to play the initiatives of various aspects. Every business investment body supports, cooperates and competes with each other in the process of work. To safeguard fair and orderly competition among business investment bodies without fighting for local interests to damage the whole interests, it is also need a more authoritative body to coordinate and control the activities among business investment bodies. Therefore, with a special body to conduct, coordinate and control business investment from a general and overall situation is the prerequisite to do business investment coordination well.
II. Business investment should consistent with the overall economic development and of distribution.
The aim of business investment is promoting the region's economic development. Therefore, business investment naturally should consistent with the overall economic development and distribution in this region. First, business investment strategy should abide by the economic development strategy in this region as a blueprint and basis and subject to the overall development strategy. In a strict sense, business investment strategy should be part of the region's economic development strategy. Secondly, the introduction of projects should meet the region’s industrial policy and layout. Because the development and proportion of various industries, and their correlations have objective law; the raw materials industry, processing industry, and machinery manufacturing and electronics industry has certain upper and lower reaches relations. If a region’s industrial policy and layout have already taken shape, the introduction of projects should naturally consider the promoting role to local industry’s development. Thirdly, business investment should change with the industrial distribution. The industrial development has the process of establishment—development--recession --eliminate. The industrial distribution of a region at different times may have different characteristics. Some new industries develop while sunset industries are eliminated. The labor-intensive “short, simple and quick” projects that development zones of coastal cities introduced in their establishing times now faces relocation or elimination. Business investment has to keep up with the pace of industrial restructuring.
III. The coordination of business investment and regional planning.
Regional planning is a programmatic document to guide social and economic development in this region for a certain period of time. Any social, economic and cultural measures should be made on this programmatic document basis, and business investment is no exception. The regional planning of the western 9.6 square kilometers in Guangzhou Economic and Technological Development Zone is divided into the north-around industrial area, south-around comprehensive commercial and life area, former-harbor industrial area, west-basis industrial area and east-basis industrial area. As the north-around industrial area is near to the south-around comprehensive commercial and life area; therefore, it is appropriate to develop pollution-free electronics and components industries. While the former-harbor industrial area is near to the pier and can put some major metal products and machinery manufacturing. In the process of business investment, the arrangements for projects introductions and land use should conform to the regional plans. Of course, there is also the time that project introductions conflict with regional planning. When the two clash, the other must change with the plans. Even if the planning must be adjusted, it should also be based on adequate proof, rigorous scientific analysis and research, not on subjective will. In the history of regional economic development, the example, which because of the violation and in respect to the planning, ultimately affect the entire region’s social and economic development, is worth learning.
IV. Business investment should consider the coordination with infrastructure construction.
Infrastructure is a hard investment environment; to invest and set up factories in a place, first of all there should have water, electricity, drainage, sewage and other basic hardware facilities. Whether the infrastructure is complete and supporting is an important factor to affect business investment. Generally speaking, the construction of infrastructure facilities should go ahead the project introductions; and it is “land and other projects”. But to create “land and other projects” situation, there must have two prerequisites: One is that the introduced project should have a greater possibility; otherwise there will be “land sunbathing” situation; Another is that the land development party (or local government) should have a strong financial base; otherwise, when infrastructure investment can not be timely recovered, we will be under enormous pressure. Of course, the infrastructure construction can not go in advance to the speed of projects’ introduction blindly, which will cause excessive capital and increase development costs. In the coherence between the progress of infrastructure construction and speed of projects’ introduction, some China’s development zones have made useful exploration and achieved good results, such as Beijing, Xi’an, Chengdu and other foreign development zones. They use businessmen’s advance deposit first and then levy land, “six through and one flat” (water, telecommunications, sewage, drainage, road, telecommunications through and land leveled). As there is a time lag between selecting project land and official start, the local government can complete land acquisition and “six through and one flat ”during this period. The greatest advantage of this way is that it will not cause land idling and funds wasted; however, this is also based on the insurance of local governments’ high efficiency and timely completion of infrastructure construction. Comparatively speaking, the latter approach is more merit compared to the “land and other projects”. |
