Research On Operation Mechanism Of Business Incubators

Science and technology are key factors for winning the intense international competition now. With the rapid development of global economy, High-tech is playing a more and more important role in promoting the socio-economic level, the speed of its transformation into practical productive forces is also accelerating. As a new economic organization, the business incubator has become an important platform for promoting high-tech industry, speeding up technological innovation and facilitating integration of technology with economy in China. It provides impetus for small and medium enterprises by fostering and supporting enterprises, encouraging innovation and promoting the transformation of scientific and technological achievements. In this paper, we study the business incubator and its operation mechanism thoroughly combining with the practice of building and developing business incubators in China. The study is aimed at defining the flaws and shortcomings of our business incubators’operation mechanism and proposing effective suggestions and countermeasures. Thereby incubators can get healthy and rapid development and the service level of incubators can be improved. Because it can promote the development of SMEs and contribute to the prosperity social economy, our study is of great significance in both theory and practice. Main research work of the paper is as follow.First, this section mainly conducts theoretical study, elaborating the definition and effect of business incubators, related theories and so on. Second, the paper tries to establish analysis model in order to analyze the operating mechanism. The paper classifies the various factors that affecting the operation of business incubators, analyses the operation mechanism from three aspects of the external environment, internal environment and operating principal parts. It tries to analyze the competitive relationship between incubators and the progressive relationship between incubators and the technology park; study the status quo, this paper studies the history and present situation of both domestic and international business incubators, so it will be helpful for defining the development direction of our business incubators. The paper also summarizes the experience and enlightenment of foreign incubators which provide references for running business incubators in China; third, this paper studies the operation mechanism of incubators by connecting two aspects of the incubator’s own growth and the process of nurturing business. Screening mechanism, financing mechanism, graduation mechanism and revenue mechanism are deeply investigated in this part. Screening mechanism is to choose the suitable "seed" to foster in business incubators. The selection of a good "seed" is essential to success. After its accession into the business incubator, financing service is urgent needed by the enterprise and the service is also the weak link of the business incubator. After a certain period of time the start-ups develop to a certain level and can graduate from the incubator. The business incubator can support start-ups, but how to achieve its own sustainable development at the same time. The answer is its perfect revenue mechanism; finally, the paper concludes the pros and cons of the operation mechanism of our business incubators, and puts forward corresponding suggestions and countermeasures.