Research On Performance Evaluation And Promotion Of Investment In Local Government

Since the reform and open-up and the emergence, rise and development of the market economy, the local governments have started to realize the significance of business and investment attractions as a shortcut to low investments and fast returns and therefore attached great importance to such activities. Today, business and investment attractions have become a major influence to the developments of local economies and enormous experiences and lessons have been accumulated over the past business and investment attractions. Business and investment attractions have contributed tremendously to various aspects including the local and national economic growths of China, employment expansions, returns on investment enhancements, strengthened R&D capacities for advanced technologies, industry structure improvements, export expansions and promotions of system reforms etc.For a long time, Chinese government has played a leading role in the business and investment attractions. Government-led business and investment attractions must be free of non-conformities such as:direct or indirect allocations of business attraction quotas to sub-levels, over-emphasis on scales, quality ignorance, short-sightedness, cost ignorance, unhealthy regional competitions, scrambling for projects and preferential policy war etc, which violate the requirements for scientific business attractions. With the social and economic developments, however, the role of the government has evolved. Service capacity, which is directly affected by the qualities, policies, mechanisms, systems and effectiveness of services, is increasingly becoming the primary competitiveness of business attraction activities.The article uses public service theories, investment and financing theories, investment environment theories and regional economy theories as the foundation of its theoretical research. It employs comparative, systematic and empirical study methods to firstly define the contents of government service capacity in business attractions, analyze its correlation with shaping of investment environments and ascertain the role of service capacity as a key element of investment environments and important condition for realization of investment targets. Improvements in investment environments are in line with the transformation of government functions.Secondly the article analyzes the improper, unauthorized and inadequate exercises of the precedent governments in business and investment attractions and studied the functions and role the government shall play in the business attraction process. Lastly the article, based on the theory selection principles, focuses on the investors as the main assessment target and employs methods like target decomposition and multivariate analysis accompanied by the empirical selection of assessment indicators. The selection of indicators is no longer limited to the direct indicators such as service efficiency, quality and effectiveness for the foreign investors, but also incorporates some indicators for government functions in shaping the investment environments, i.e. the indicators for indirect services for the foreign investors. The indicator selection is made comprehensive and objective and therefore an assessment indicator system for the service capacity of the local government in business and investment attractions is established. Meanwhile, the article carries out empirical studies on the development of service capacities for Chuzhou business and investment attractions to identify the unsatisfactory areas, suggest ideas for improvements and offer references for the government's improvement efforts in service capacities for business and investment attractions.