Comparative Study On Development Mode Of Industrial Estate Between China And Japan

Industrial estates in China have made great achievements since the implementation of reform and opening policy. With the deepening of China's economic reform and opening up policy, more than 1500 industrial estates has been putting into use by the end of 2006, with up to 54 state-level industrial estates which has been located in 31 provinces and cities in the region of China. Industrial estate in China has mainly experienced three major stages in the developing process of more that 20 years. The first stage is the creation and exploration period. The second stage is the period of rapid advancement. The third stage is the new developing period of industrial estate.In the aspect of developing and management of industrial estates, planned economy in China has been the major form in the early period. In both state-level industrial estates and any other various forms of industrial estates, government has played an important role. In the 20 years of development, China's industrial estates have formed four patterns of administration, which are the government pattern, the mixture of government and enterprises pattern, the separation of government and enterprises pattern, and the corporation pattern. In the aspect of financing, government-led implementation has been the main pattern in the early period of time. Since the rapid growth of China's economy and reforming of the financial system in late of 20th century, the financing mode of industrial estates has undergone a major change in shape of "government guidance, social participation and market operation". At present, the financing modes of industrial estate in China mainly include the following patterns: government financial investment, loans from financial institutions, securities financing, getting foreign investment and project finance.After the Second World War, Japan has implemented a number of land developing plans and industrial policies to resume domestic production while catching up with the world's major developed countries. Initially, the development of the Japanese industrial estates was as the method of regional development and strengthening local financial revenue, in four major industrial regions all over the country. With the implementation of "National Comprehensive Development Plan" in Japan, industrial estates have been constructed for the achievement of national economic and industrial policy. Through the construction of industrial estates, Japan has gradually fulfill the target of regional economic development, improving the Metropolitan, and upgrading of industrial structure. The development mode of Japan's industrial estates is based on the regional policy of central government and most industrial estates were constructed by local government. The industrial estates relying on private power are developed under the framework of government's plan, which is generally small in size and often through the process of private land integration or re-form. Those core industrial estates in major industrial areas of Japan are directly managed by the local government. However, the major management mode of Japanese industrial estate is called "Cooperative" mode. Enterprises in the industrial estates establish a cooperative team together which is in the form of self management. The financing modes of Japan's industrial estate are mainly included of government's assistance in financing, policy financial institutions, and private financial institutions.Through the compare of development of industrial estates in both China and Japan, we have got the following conclusions:First, the industrial estates in Japan have been entering into a stable period of time in which relevant laws, regulations and a comprehensive regional development policy have been established. After 50 years'development, industrial estates have made tremendous contributions to Japanese domestic economy while social and environmental problems have been basically solved. China's industrial estates are experiencing a new period of time of rapid growth. However, the development of industrial estate also brought some negative effects because of the lack of relevant laws and regulations.Second, industrial park development and management model of Japan reflects the efficient operation among Japanese central government, local governments and civil institutions, and rational allocation of resources in different section. Japanese government is mainly responsible for policy formulation and the developing of the land of industrial estates. Enterprises in the estates establish self management institutes as the form of park board or other organizations. China's industrial estates have formed a variety of development and management modes. But the actual operator of China's industrial estates is the central or local government.Third, the cooperation of Japanese government and private capital in investment is the key factor for facilitating the development of Japan's industrial estates. Private financial institutions and the SME owner's own funds are of high proportion in the construction and maintenance of industrial estates. Compared with Japan, financing mode in China is relatively simple. In fact, a number of industrial estates in China have made progress in financing mode innovation and also made some achievements. But it is the important issue of innovation and attracting of private capital in China in the future.