Business Incubator And High-Tech Start-ups Cluster: Theory And Case Study

Business incubators, also known as enterprise centers or innovation centers, gain popularity with the advent of the knowledge-based economy. Business incubator is a new type of economic organization that provides an encouraging networking environment as well as a multitude of shared services to start-up companies.Although the business incubation model would trace its beginnings to the late 1950s in the USA, it is until 1987 that first incubator started in China, and then it spread quickly and widely. After developed for seventeen years, business incubator has become a useful economic development tool. The incubators in China is perceived to have multiple missions such as commercializing emerging technology, nurturing high-tech start-ups, creating jobs, revitalizing the neighborhood, fostering new industry and strengthen local and national economies.Compared with the great impact bushiness incubators holds on fostering new economic growth point and new industry, the study of bushiness incubators lagged behind the practice. The main goal of this paper is to try to do some research in this field. This paper believes that business incubator has become a key point in the regional innovation system and is evolving to an innovative mode of cultivating high-tech start-ups cluster. Business incubators in China, especially those incubators who are well-managed, large-scaled, located in the central city of the region and owned by the government, have the ability to practice this mode. Meanwhile they endeavor to realize it that entails theoretical instructions and research. At this aim, this paper tries to illustrate the process of cultivating the high-tech start-ups cluster by the incubators, and a feasibility study also is conducted to provide the practical experience. By doing this, this paper could render some valuable reference for the development of incubators in China.The statement in this paper can be generally classified into five chapters. First chapter puts forward the research's purpose, methods, framework and significance. Second chapter firstly states the concept and classification of enterprise cluster. Then this chapter elaborates the cause and the condition of the cluster, focusing on the evolvement process and intrinsic agglomeration mechanism of the cluster. This paper points out that agglomeration is the characteristic of high-tech industry, small and medium size enterprises are the main body of the high-tech cluster and play a crucialrole in the formation and development of high-tech cluster. Third chapter firstly dwells on the definition and classification of business incubator and its traditional function, which include a network of relationships with other sources owners; financial assistance and advice; business and technical assistance; and shared business services. From these statements, this paper obtains the natural strength of business incubator in creating the environment for cultivating the star-ups cluster. Secondly this chapter puts emphasis on the process of cultivating cluster. The chapter then reaches the conclusion that it is a long-termed, complicated process and has several phases. Thirdly the interact relationship between business incubator and enterprise cluster is discussed. This chapter ends with the analysis of the other elements that affect this mode and the background of technopolis and theory. In chapter four, a field study is conducted in Qingdao biology-park. After analyzing the result of the interview, this chapter discusses the existing problem and put up the measures for this incubator. The last chapter presents the basic research conclusion, the problem of the paper and forward research.