According to the China Business Culture Promotion Association, the China Economic Media Association, the WWAN Institute and the YICAI Institute jointly released the China Urban Business Environment Index report, the China Financial Center Shanghai has the best business environment in the country.
The Shanghai index is 86.73, which ranks among the best in China’s business environment, followed by Beijing, 84.63, and then Shenzhen, South China’s Guangdong Province, with 84.48.
The report assesses Chinese cities based on five “soft environment” indicators – technological innovation, financing, talent, culture and life – and two “hard environment” indicators, natural resources and infrastructure.
The supply of high-end talent, the government’s investment in culture and education, the attractiveness of foreign investment and the scale of consumption are also indicators to be considered.
Shanghai has the highest infrastructure and cultural environment indicators, and the financial center’s talents, technological innovation and financing indicators rank among the top three in the country.
According to the report, although Beijing’s soft environment index ranks first among all Chinese cities, its hard environment index is lagging behind due to restrictions on natural resources such as air quality, climate and forest cover.
In the best hard environment, Shenzhen in South China is also ahead of the national technological innovation index.
After decades of industrialization, the average level of hard environments in Chinese cities has increased, but the development of soft environments still exists. According to the report, these are the key to the urban business environment.
