The development of the local economy is inseparable from the driving force provided by economic and technological development zones (ETDZs).

In recent years, the reform and development of ETDZs have entered a critical phase, and innovative management models have become key to driving local economic growth!

The “Management Committee + Platform Company” model, as an efficient means of resource allocation, is gradually becoming the preferred path for the transformation and upgrading of numerous ETDZs and industrial parks.

The concept of “small management committee, large platform company” aims to promote the separation and cooperation between government and enterprises, fully leveraging the strategic guidance and resource allocation role of the management committee alongside the market-oriented operational value of the platform company.

So, how do we achieve efficient collaboration between government and the market in our practical implementation?

Let’s take a look at the Suzhou Industrial Park and the Shanghai Zhangjiang Hi-Tech Park.

Suzhou Industrial Park: An International Journey Starting from Scratch

Suzhou Industrial Park adopts a management model consisting of the “Management Committee + China-Singapore Suzhou Industrial Park Development Group Co., Ltd. (CSSD).”

The former is responsible for exercising comprehensive economic and social management authority within the jurisdiction, while the latter handles development matters such as infrastructure construction, investment promotion, and property management within the park, operating in accordance with modern corporate systems and market economy principles.

To understand how the park evolved from a “blank slate” to the “Silicon Valley of the East,” we must examine its three distinct developmental phases, each with its own unique characteristics.

Start-up Phase (1994–2000): This was a period of rapid urbanization characterized by infrastructure development. By the end of 2000, the park had attracted over 4,700 enterprises.

Leapfrog Development Phase (2001–2011): The park entered a new phase of large-scale development, construction, investment promotion, and growth. It launched initiatives for manufacturing upgrading, service sector expansion, and technological advancement, gradually establishing a dual-engine model driven by advanced manufacturing and production-oriented services.

High-Quality Development Phase (2012–present): The Park has driven transformation and upgrading through innovation, with next-generation information technology and high-end manufacturing becoming dominant industries. Sectors such as biopharmaceuticals, nanotechnology applications, artificial intelligence, and high-end services have begun to take shape, successfully positioning the Park among the ranks of world-class high-tech parks.

Amid this transformation, what lessons can be drawn from the “Management Committee + CSSD” model?

First, the flat organizational structure of the Park Management Committee ensures efficient operations.

A new model of streamlined, unified, and efficient government management was established. Subordinate agencies of the Management Committee were not required to mirror municipal-level departments; instead, departments with similar functions were consolidated and co-located, reducing management tiers and integrating departmental functions as much as possible.

Functions at the lower and intermediate levels of the traditional government system have been separated and transferred to non-governmental public service agencies and intermediary organizations.

Second, state-owned capital plays a pioneering role.

State-owned capital led the way by establishing Suzhou Industrial Park Co., Ltd. with a registered capital of 1.08 billion yuan, becoming the primary investor in the park’s early development and construction.

During the mid-term transformation phase, state-owned capital facilitated the transition of the Park Company from foreign-controlled to Chinese-controlled, establishing it as a key platform for investment promotion and supporting the Park’s transformation and upgrading.

In the maturity stage, state-owned capital continues to play a leading role, implementing a “1+1” operational model of “industrial park + specialized state-owned company” to promote the establishment of distinctive emerging industrial parks within the park, undertaking economic tasks such as infrastructure development and investment promotion.

Zhangjiang Hi-Tech Park: An Innovation-Driven “Silicon Valley” Model

The Shanghai Zhangjiang Hi-Tech Park, through the “Management Committee + Zhangjiang Group” model, focuses on developing strategic emerging industries such as integrated circuits, biopharmaceuticals, and artificial intelligence.

Coincidentally, since 1996, the Zhangjiang Hi-Tech Park has also gone through three stages of development:

Early Stage: The Shanghai municipal government implemented the “Focus on Zhangjiang” strategy, attracting capital and enterprises through preferential policies. Companies such as SMIC moved into the park, driving its development.

Growth Stage: As available land reserves dwindled, Zhangjiang High-Tech shifted toward infrastructure development, clearly prioritizing industrial real estate development while supplementing it with professional services and technology investment to enhance the park’s competitiveness.

Maturity Stage: Benefiting from the combined effects of policies such as the Shanghai Free Trade Zone and the National Independent Innovation Demonstration Zone, the park established a framework for the biopharmaceutical, integrated circuit, and software industries.

Zhangjiang Hi-Tech transformed into a “New Triple-Service Provider,” strengthening equity investment and industrial services. Revenue from equity investments grew rapidly, joining industrial service fees and facility rental income as the park’s primary sources of revenue.

▲Source: Zhangjiang Release

So, what makes Zhangjiang High-Tech unique?

The development and construction of the Zhangjiang Hi-Tech Park adopts an operational model of “a small management committee + a large corporate group.”

In the field of industrial park investment, Zhangjiang High-Tech stands out by resolutely implementing a dual-track development strategy of “Park + Investment.”

As a leading example of the “landlord + shareholder” model in China’s industrial park sector, Zhangjiang High-Tech has successfully transitioned from land-based revenue to industrial value creation, blazing a unique development path.

With “technology investment banking” as its strategic core, Zhangjiang Hi-Tech not only focuses on the development and operation of the park but also, through its dual identity as “landlord and shareholder,” has formed a three-in-one business structure comprising property sales, enterprise services, and high-tech investment.

Its parent company, Zhangjiang Group, has integrated resources such as micro-credit, incubators, and entrepreneurship training to create an integrated platform for investment, lending, incubation, and education. It has successfully invested in dozens of enterprises, more than half of which have chosen to establish operations in the Zhangjiang Park, achieving a deep integration and mutually beneficial partnership between the park and the enterprises.

Model Analysis: Success Factors and Underlying Logic

The “Management Committee + Platform Company” model achieves rapid economic growth, the upgrading of industrial structures, and the harmonious development of communities through precise government guidance and market-driven forces.

The practices of the Suzhou Industrial Park and the Shanghai Zhangjiang Hi-Tech Park not only demonstrate the successful application of this model but also provide inspiration for future regional development models.

Leveraging the catalytic power of capital, high-caliber platform companies can deeply engage in, support, and even lead industrial development and investment promotion.

For platform companies, building a comprehensive factor market based on industrial parks is the very core of high-quality development.

First is the capital factor. Industrial development cannot do without capital. Drawing on the experiences of Zhangjiang and Suzhou, we know that capital is by no means a one-time transaction; it can span the entire growth cycle of an enterprise.

Those industrial parks with outstanding results in capital-driven investment promotion have all built comprehensive capital markets centered on their industries, thereby achieving a virtuous cycle.

Second is the technology factor. Technology and industry are inseparable; platform companies should focus on using technology to guide industrial restructuring, support enterprise innovation and development, and proactively drive the industry toward mid-to-high-end segments at appropriate junctures.

This places higher demands on platform companies. Faced with numerous possibilities—as park developers, park operators, industrial investment operators, financial service providers, and more—how should they make decisions?

We fully understand that not every platform company is an industry expert or investment specialist, which is why they need to leverage the expertise of partners with extensive experience in industrial research.

A partner who “understands the industry, understands the economy, is skilled at attracting investment, and is capable of providing services” can assist platform companies in smoothly and orderly navigating this transitional phase and getting onto the fast track as quickly as possible.

Take the collaboration between GuChuan United and the Wujiang Economic Development Zone as an example: MicroPort Medical, a Chinese medical device unicorn, was introduced to the Wujiang Economic Development Zone by GuChuan United and has now commenced production and achieved operational efficiency. Led by this industry leader, over 100 biopharmaceutical and healthcare-related enterprises have established operations across the entire Wujiang district.

As a premier partner for platform companies, GuChuan Alliance leverages its unique resource advantages—a database of over 1.15 million verified enterprises combined with 15 years of investment promotion experience—to provide industrial parks with scientifically sound development plans and positioning, as well as to map out investment promotion strategies aligned with industrial chains. Additionally, it offers professional investment promotion services.

Guchuan Lianxing can assist platform companies from a professional perspective in identifying the right market segments, smoothly embarking on a transformation and development path tailored to regional characteristics, and helping regional economic development move into the “deep waters.”