Voices from Nanchang: Capitalizing on Local Industries and Enhancing Incentive Mechanisms for Business Protection

Deep News
Aug 14

Capitalizing on Nanchang's Distinctive Industries to Precisely Propel Real Economy Growth

Nanchang boasts unique industries like aviation manufacturing, new energy vehicles, VR digital technology, and new materials. It holds a logistics hub advantage as a central provincial capital, with air, rail, water, and road connectivity, a strong military industry foundation, and a digital innovation base. However, it has not yet achieved an industrial fission effect. Going forward, the city should precisely match its own endowments, focus on core tracks, and cultivate them deeply.

The "State-owned Capital and Investment to Build Industrial Chains" model can precisely solve the "scattered and weak" dilemma of Nanchang's characteristic industries. First, establish a dedicated industry-specific parent fund, emulating the professional operation models of other cities' investment and construction platforms. Integrate municipal-level industrial fund resources, focusing on local advantageous tracks like aviation manufacturing, new energy vehicles, VR digital industry, and silicon-based new materials. Invest primarily in key components, precision manufacturing, and terminal assembly projects that are missing from the industrial chain. Provide equity investment support for local chain-leading enterprises' expansion of supporting production and technological upgrades, thereby binding industrial resources with capital. Second, implement a "champion + fund" chain-based investment attraction model. Relying on chain-leaders like Jiangling Motors and Hongdu Aviation, compile a list of supporting weaknesses. Have state-owned funds follow up and invest in supporting enterprises, precisely attracting specialized and sophisticated "little giant" companies in niche areas. Prioritize increasing the local supporting rate for the aviation and automotive industries, building a central China aviation smart manufacturing and new energy vehicle supporting industry hub. Third, activate existing state-owned assets to empower industrial upgrading. Learn from other cities' philosophy of deep state-owned capital engagement in the real economy and long-term cultivation, avoiding short-term profit-seeking. Provide low-cost capital support to high-quality local small and medium-sized enterprises and tech startups, fostering local private champion enterprises.

The "scenario ecosystem to cultivate industries" approach can unlock Nanchang's unique advantages in VR and low-altitude economy tracks. First, fully open unique application scenarios. Publish a list of open scenarios for Nanchang's VR and low-altitude economy. Give priority to local VR and low-altitude equipment companies for public scenarios in urban cultural tourism, industrial manufacturing, urban operations, and transportation training. Focus on creating benchmark scenarios like aviation VR training, industrial virtual maintenance, urban low-altitude inspection, and cultural tourism VR experiences. This allows local new technologies and products to "have a place to test and a market to sell", forming Nanchang's unique scenario-based industrial barrier. Second, build a "small but refined" characteristic industrial ecosystem. Focus on three sub-sectors: VR + industry, VR + aviation, and low-altitude equipment manufacturing. Cultivate a batch of specialized and sophisticated supporting enterprises to create a differentiated digital real industry cluster. Third, implement a "gardener-style" market-oriented service. For VR and low-altitude economy startups, simplify approval processes, reduce site costs, and connect them with market resources. Rely on the VR Science and Innovation City and the Airport Economic Zone to create characteristic industry incubation carriers, forming a complete closed loop of "technology R&D, scenario testing, market promotion, and cluster expansion".

The "sci-tech innovation transformation" support can unblock the bottlenecks of "military industry innovation and university technology" landing in Nanchang. First, build a platform for the civilian transformation of military industry innovation. Based on Nanchang's aviation industry base, open up the transformation channel of military technology and aviation precision manufacturing technology to the civilian sector. Prioritize cultivating derivative industries like civilian processing of aviation parts, precision instruments, and high-end new materials. Activate the unique military industry innovation resources to form Nanchang's exclusive industrial advantage. Second, fill the gap in public pilot testing services. Referencing the sci-tech innovation transformation support systems of other cities, lay out public pilot test bases for aviation, new materials, and VR industries in Nanchang High-tech Zone and the Airport Economic Zone. The government should underwrite the construction of such platforms to reduce the cost of technology trial and error for small and medium-sized enterprises, solving the pain points of "difficult and expensive pilot testing" for university achievements and enterprise technologies. Third, implement a precise sci-tech innovation cultivation mechanism. Avoid blindly following the trend of large-scale sci-tech investment. Focus on Nanchang's advantageous tracks, providing special rewards for industry-university-research cooperation projects in aviation manufacturing, new energy, and VR fields. Promote deep binding between university research teams and local enterprises, achieving "local technology, local transformation, and local value appreciation".

Perfecting Incentive and Business Protection Mechanisms to Continuously Energize Nanchang's Real Economy

Investment attraction is key to strengthening the real economy and solidifying the capital city's industrial foundation. It is recommended that Nanchang systematically build a new investment work pattern featuring professional teams tackling key projects, broad public participation, clear incentive orientation, and a closed-loop business protection system. Empower high-quality real economy development with high-level investment attraction and a first-class business environment.

First, establish professional industry chain investment attraction teams and build a hierarchical, collaborative attraction system. Focus on Nanchang's leading industry chains like aviation, new energy vehicles, electronic information, and new materials. Set up several dedicated industry chain investment promotion teams, implementing a "one team per chain" approach, staffed with professionals who understand the industry, policy, and negotiation. Municipal-level teams will focus on billion-level flagship projects and chain-leading enterprises. Meanwhile, county-level and district-level teams, along with industrial parks, will form local investment attraction forces, delving into supporting projects and high-quality small and medium-sized real economy projects. Break down departmental barriers, promoting the concept that "everyone is an investment promoter" in municipal agencies and township streets. Smooth the channels for reporting project leads, vigorously develop investment attraction through business, native-place associations, and chambers of commerce. Create a "professional team leading, whole society participating" investment attraction pattern to broaden sources of project information.

Second, perfect the incentive system based on investment attraction performance, opening a positive "promotion and salary increase" channel. Adhere to the principle of judging talent by their investment attraction results, making investment attraction effectiveness a key reference for cadre evaluation, job promotion, and position adjustment. A. Improve the material reward mechanism. Formulate a unified and standardized reward method for introducing investment. Provide rewards at different levels based on the project's investment scale and industrial contribution, whether the introducer is a government cadre, business person, or native-place individual. Implement performance-based salary reform for frontline, full-time investment teams, linking performance bonuses to project signing, landing, and production commencement, ensuring more pay for more work. B. Strengthen growth incentives for cadres. Establish a clear direction of "tempering cadres on the front line of investment attraction and prioritizing those with outstanding performance". For staff who have worked long-term on the front line, successfully introduced major industrial projects, and driven the quality and efficiency improvement of the industrial chain, give priority for excellent performance in annual evaluations, and prioritize them for promotion and job grade advancement under equal conditions. For core investment attraction staff in public institutions, give preference in professional title competitions. Truly allow those who engage in and succeed in investment attraction to have a platform, a future, and tangible benefits, fully mobilizing their enthusiasm for work.

Third, build a full-cycle business protection mechanism to retain enterprises and attract investment with an excellent business environment. The key to attracting investment lies in retaining businesses. Establish a "attraction, landing, construction, production, and sustainable development" full life-cycle enterprise service system, implementing a system of leading officials taking responsibility for major projects and chief service officers. Regularly conduct enterprise visits, quickly respond to enterprise demands, and efficiently coordinate to solve practical problems like land, financing, labor, and approvals. Continuously rectify issues such as slow policy implementation and bureaucratic obstacles in handling affairs. Strictly honor all support policies to build a clean and cordial government-business relationship. Ensure the investment attraction service is enthusiastic and thorough, and the business retention is consistent. Rely on the reputation of existing enterprises to achieve a virtuous cycle of "introducing one, bringing in a batch" through business-to-business investment attraction.

Fourth, coordinate safeguard measures to ensure the effective implementation of investment and business environment improvement work. Establish a working mechanism for the unified collection, tracking, and effectiveness verification of investment project leads. Standardize project identification standards to ensure fair and equitable incentives. Strengthen routine professional training for investment attraction cadres, enhancing their capabilities in industry analysis, business negotiation, and policy application. Simultaneously, strengthen publicity and guidance, creating a strong city-wide atmosphere of "caring for, supporting, and proactively engaging in investment attraction, and respecting entrepreneurs". Continuously introduce high-quality real economy projects, constantly strengthen Nanchang's industrial base, and solidify the foundation for the capital city's leading development.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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