Research on the Optimization Pathways of the Business Environment in Zhoushan City

Abstract

To promote the development of the private economy, creating a high-quality business environment is crucial for activating market vitality and enhancing regional economic dynamism. This study focuses on the strategies to improve the business environment in Zhoushan, highlighting the continuous optimization of the business environment’s vital role in driving regional economic growth, enhancing competitiveness, and attracting investment in the context of globalization. The analysis identifies the primary challenges facing Zhoushan, including policy volatility, internal competition, high transportation costs, and outdated infrastructure, and proposes solutions such as strengthening the rule of law, optimizing policy implementation, improving the efficiency of government services, and increasing investment in infrastructure. The aim is to build a more stable, fair, and efficient business environment, providing a reference for the high-quality economic development of Zhoushan and other regions nationwide.

Share and Cite:

Zhang, H. , Zhao, X. and Wang, J. (2024) Research on the Optimization Pathways of the Business Environment in Zhoushan City. Open Access Library Journal, 11, 1-18. doi: 10.4236/oalib.1111408.

1. Introduction

Since the enactment of the “Regulations on Optimizing the Business Environment” in October 2019, effective reform measures have been elevated from practice to law, focusing on addressing issues within the business environment. The “Opinions on Accelerating the Reform of the Socialist Market Economic System in the New Era” and the “Proposals by the Central Committee of the Communist Party of China for Formulating the Fourteenth Five-Year Plan for National Economic and Social Development and the Long-Range Objectives through the Year 2035,” issued in 2020, further underscored the significance of establishing a market-oriented, legalized, and internationalized business environment. These efforts aimed at optimizing the business environment cultivating new drivers of economic growth, facilitating the construction of a unified national market, and invigorating both domestic and international economic circulations. Despite the economic slowdown caused by the pandemic, the optimization of the business environment has bolstered market confidence, with the overall situation of foreign investment and trade remaining stable and the fundamentals of long-term economic improvement unchanged. Since the 18th National Congress of the Communist Party of China, General Secretary Xi Jinping has placed high importance on optimizing the business environment, issuing a series of important directives and emphasizing that “the business environment can only get better, not best.” In the report of the 20th National Congress, Xi Jinping explicitly called for “the improvement of fundamental systems of the market economy such as property rights protection, market access, fair competition, and social credit to optimize the business environment.”

Viewed as a year of economic recovery, 2023 saw frequent use of terms such as “high-quality development”, “expanding domestic demand”, and “business environment” in the economic work plans of governments at all levels, indicating a positive start to the new year. This demonstrates the government’s determination to promote economic development and improve the business environment. Located on China’s eastern coast, Zhoushan, a pivotal city and port, plays a crucial role in achieving high-quality economic development in the region. The Zhoushan municipal government places high emphasis on constructing and optimizing the business environment, implementing a series of policy measures aimed at creating an internationalized, legalized, and convenient business environment. These efforts are designed to attract more domestic and foreign investment, thereby promoting high-quality economic development. From a legal perspective, Zhoushan is committed to improving the legal and regulatory framework under market economy conditions, enhancing property rights protection, and ensuring the full release of entrepreneurial spirit. Moreover, from the perspective of convenience, Zhoushan strives to streamline administrative approval procedures and advance the reform of “minimal visits required,” significantly improving administrative efficiency and reducing corporate operating costs.

This study conducts an in-depth analysis of the importance of optimizing the business environment in Zhoushan City within the context of globalization, aiming to spur regional economic growth, enhance competitiveness, and attract investment. The core challenges identified include policy volatility, internal competition, high transportation costs, and outdated infrastructure. A series of strategies are proposed to address these issues, such as strengthening the legal system, optimizing policy implementation, enhancing the efficiency of government services, and increasing infrastructure investment, all intended to establish a more stable, equitable, and efficient business environment as a reference for high-quality economic development in Zhoushan and other regions nationwide. A comprehensive framework is introduced, integrating global policies and local economic conditions to deeply investigate the challenges of Zhoushan’s business environment and propose tailored improvement strategies, offering a new perspective for regional economic development. By analyzing these strategies in detail, the paper not only deepens the understanding of business environment optimization but also provides practical guidance for Zhoushan and other areas, contributing to high-quality economic growth and offering valuable insights for broader economic and societal progress.

2. Domestic Research Status Analysis

In the context of global economic integration, the construction and optimization of the business environment play a crucial role in enhancing regional competitiveness and attracting foreign investment. This paper deeply analyzes the construction of business environment evaluation systems, enterprise development, policy measures, international comparisons, and regional economic development, revealing the richness and multidimensionality of current research directions.

2.1. Business Environment Evaluation Systems and Construction

Research on the evaluation systems and construction of the business environment is relatively abundant. Yang (2015) developed a business environment evaluation indicator system based on a comparative analysis of four provinces: Shandong, Jiangsu, Zhejiang, and Guangdong [1] . Zhang et al. (2020) constructed an indicator system for evaluating the business environment of Chinese provinces and conducted a quantitative analysis [2] . Qiu et al. (2022) studied the measurement, regional differences, and dynamic evolution of China’s comprehensive business environment development level [3] . These studies are of significant reference value for understanding China’s business environment and for related policy formulation and optimization.

2.2. Business Environment and Enterprise Development

The business environment significantly impacts enterprise development. Chen and Cui (2022) studied the relationship between local government debt, the financial business environment, and the financing constraints of real enterprises [4] . Zhang (2022) analyzed the impact of the business environment from the perspectives of tax burden and corporate performance [5] . These studies are important for understanding the impact of the business environment on enterprise development and for related policy formulation and optimization. Yang et al. (2023) researched the construction of the business environment, subjective governance performance evaluation, and spillover effects [6] .

2.3. Policy Measures for Optimizing the Business Environment

Optimizing the business environment is one of the Chinese government's important tasks. Song and He (2019) studied the significant shift in the economic function performance mode of local governments from attracting investment to optimizing the business environment [7] . For instance, Wang (2022) researched the reformation of the registered capital subscription registration system under the goal of optimizing the business environment [8] . Dang (2022) studied the continuous optimization of the port business environment, aiming to promote high-quality development of ports during the “14th Five-Year Plan” period [9] .

2.4. International Comparison and Reference of the Business Environment

The international comparison and reference of the business environment is an important research direction. Xu et al. (2015) investigated factors in Russia’s regional business environment that enhanced FDI inflows [10] . Luo (2017) studied the international experience comparison and reference from the perspective of the tax business environment [11] . Li et al. (2018) researched the international comparison and optimization strategies of China’s tax business environment [12] .

2.5. Business Environment and Regional Economic Development

The business environment has a significant impact on regional economic development. Zhao and Liang (2020) studied the impact of the business environment on regional economic integration from the perspective of regional coordinated development [13] . Wang et al. (2021) revealed the promotional role of business environment optimization on regional economic development [14] .

While research on the optimization of the business environment has made certain progress in both theory and practice, there remains a significant gap in targeted strategy research. Specifically, there is a lack of in-depth and systematic discussion on how to integrate business environment optimization strategies with the specific economic, social, and cultural backgrounds of regions, as well as how to balance local needs with international standards in the context of globalization. Additionally, research on the application of emerging technologies such as digitalization and artificial intelligence in business environment optimization, and the impact of these technological changes on traditional business models, is also a relatively weak area in current studies. Therefore, future research needs to focus more on evaluating the effectiveness of business environment optimization strategies in practice, as well as on the flexibility and innovation in strategy adjustments, to fill the existing research gaps and promote the continuous improvement and development of the business environment.

3. Current Situation and Problems of Zhoushan’s Business Environment

Zhoushan’s business environment faces multiple challenges, including internal competition due to inconsistent regional policies, high costs of land approval and logistics, and uncertainty caused by frequent policy changes. These issues highlight the need for a unified urban strategy to support local businesses, improve living and transportation infrastructure, and provide a more stable policy environment to foster business development and talent retention. To enhance its business environment, Zhoushan needs to integrate improvements in these areas to create an environment more conducive to business growth and innovation.

3.1. Instability of the Policy Environment

The instability of the policy environment poses significant challenges for businesses in Zhoushan City, especially in areas subject to frequent changes in policies and regulations, such as land use policy, economic incentive policies, and real estate market regulation policies. As national policies are adjusted, local governments are compelled to implement corresponding specific policies. However, the frequent adjustments to some of these policies result in a high degree of uncertainty for businesses as they formulate long-term strategies and investment plans.

Taking land policy as an example, on December 17, 2019, the Ministry of Natural Resources and the Ministry of Agriculture and Rural Affairs jointly issued a notification regarding the management of land for agricultural facilities, which introduced a policy allowing aquaculture projects to occupy a small amount of permanent basic farmland after reclassification. However, this policy was only in effect for two years. On November 27, 2021, the Ministry of Natural Resources, the Ministry of Agriculture and Rural Affairs, and the National Forestry and Grassland Administration once again jointly issued a notification on strictly controlling the use of arable land, which explicitly prohibited the new occupation of permanent basic farmland for the construction of livestock and poultry breeding facilities, aquaculture facilities, and planting industry facilities that could damage the plow layer. Furthermore, on November 4, 2021, the Ministry of Natural Resources issued a notification on the standardization of temporary land use management, stating that sites difficult to restore to their original planting conditions, such as beam fabrication yards and mixing stations, could not occupy arable land and permanent basic farmland on a temporary basis, but this policy was adjusted just nine months later. On August 2, 2022, the Ministry of Natural Resources issued a notification on actively ensuring the provision of land and sea resources, adjusting the policy to allow beam fabrication yards and mixing stations directly serving railway construction projects to occupy arable land but still prohibiting the occupation of permanent basic farmland. These frequent policy changes not only cause fluctuations in the land market prices but also adversely affect the stability of the business environment, increasing the uncertainty for enterprises in formulating long-term strategies and investment plans.

In recent years, the government has introduced a series of macroeconomic policies such as the “Four Trillion Yuan Stimulus,” “Mass Entrepreneurship and Innovation,” “Belt and Road Initiative,” “Industry 4.0,” and “Internet Plus” to address challenges brought by the global financial crisis, the slowdown in economic growth, and the transition in economic structure. The frequent updates and adjustments to these economic policies have led to fluctuations in business performance and increased costs of external financing. Faced with the instability of operating cash flows and the challenges of external financing, businesses tend to adopt investment decisions similar to their industry peers, as this strategy at least guarantees a return on investment comparable to the market average. Moreover, “following the herd” in investment behavior is more easily understood and accepted by the market and investors, which helps mitigate future financing risks. However, the instability of economic policies and the mimetic investment behavior of businesses not only affect the financial performance but also negatively impact the stability and predictability of the business environment, increasing the difficulty for businesses in market positioning and strategic planning. This, in turn, affects the long-term sustainable development and innovation capacity of businesses. Therefore, policy stability is crucial for creating a business environment conducive to the growth and enhancement of competitiveness for enterprises.

In the real estate sector, the government frequently adjusts policies related to the industry, such as purchase restrictions, sale limitations, and loan conditions, to control housing prices and prevent market overheating. Local governments make timely adjustments to real estate market policies based on the central government's guidelines and local conditions. These adjustments, including the implementation of purchase restrictions, increasing down payment ratios, and adjusting mortgage rates, aim to stabilize housing prices, prevent market overheating, and protect the legitimate rights and interests of homebuyers while fostering the healthy development of the real estate market. However, recent sudden changes in policies across various regions, such as the complete removal of purchase restrictions, have exacerbated market uncertainty. These fluctuations in real estate regulatory policies not only directly impact developers and homebuyers but also further affect the stability of the overall business environment, influencing companies' market positioning and development strategies.

Sudden cancellations or modifications of preferential policies can unexpectedly increase operating costs for businesses; frequent changes in land policy may delay expansion plans or increase costs. This instability affects not only the daily operations of businesses but also the attraction of new investments. The profound impact of policy changes on business decision-making, especially in long-term planning and strategic investment is evident. An unstable policy environment may lead to hesitation among businesses when making significant investment decisions, as they cannot be certain these decisions will be supported by future policies. This uncertainty may cause businesses to delay or reduce investment scales, adversely affecting the overall economic growth and development of Zhoushan City. Furthermore, frequent policy changes can increase the compliance costs for businesses, as they need to continually adjust their operations to meet new policy requirements. This not only consumes businesses’ resources but also diverts their focus from innovation and growth. Therefore, ensuring the stability and predictability of the policy environment is crucial for enhancing the business environment in Zhoushan City.

3.2. Regional Internal Competition and Coordination

The issue of internal competition and coordination within the region occupies a significant position in the business environment of Zhoushan. This problem mainly stems from the differences in policy-making between different administrative regions, leading to uneven resource allocation and administrative inefficiency. It was mentioned at the Zhoushan Municipal Committee that “to attract businesses from outside, Dinghai, Putuo, Daishan, and Shengsi might each have their own set of policy standards.” If one area offers lower corporate tax rates or more relaxed environmental regulations to attract investment, while neighboring areas do not implement corresponding measures, this may lead to a bias in businesses and capital towards certain areas, thereby affecting the balanced development of the city as a whole. This internal competition can not only lead to a waste of resources but may also cause unnecessary tension between regions. To address these issues, it is necessary to strengthen communication and coordination between regions, ensuring policy uniformity and coherence to promote the overall economic and social development of Zhoushan.

3.3. Highland Transportation Costs for Businesses

The issue of high land transportation costs faced by businesses in Zhoushan is a key factor affecting their competitiveness. High transportation costs directly increase the operating costs of businesses, affecting the competitiveness of their product prices. Especially for businesses that rely on land transportation for the procurement of raw materials and the transportation of finished products, an increase in costs could lead to a decrease in overall profit margins. Additionally, as an island economy, the restrictive nature of Zhoushan’s land transportation network may be a major reason for the high transportation costs. Compared to inland areas, island logistics face more natural and geographical challenges, such as longer transportation distances and limited transportation modes, which may lead to increased transportation costs. Therefore, addressing the high transportation costs for businesses in Zhoushan requires a comprehensive consideration and strategic implementation from multiple angles, including improving infrastructure, optimizing the logistics network, and enhancing transportation efficiency.

3.4. Lagging Infrastructure and Public Services

The limitations of infrastructure and public services have profound implications for urban development and the quality of life for residents. Taking Zhoushan as an example, the area faces multifaceted challenges that extend beyond inadequate transportation systems to include constraints on medical services, distribution of educational resources, convenience of government services, and the completeness of foundational facilities in industrial parks. In terms of transportation, Zhoushan’s public transport services may not sufficiently meet the needs of residents and businesses, especially in connecting major business and residential areas. This inadequacy limits travel efficiency, affecting the convenience of daily life and the fluidity of economic activities. Additionally, new residents face difficulties enrolling in schools, reflecting an uneven distribution of educational resources. Issues like the difficulty of parking at the Dinghai District Government Service Center and the lack of living and production support in high-tech industrial aggregation areas and Dinghai Industrial Park highlight the government’s shortcomings in providing basic services. The limitations in medical services, such as the lack of specialized medical facilities and high-level medical experts, represent another significant issue. This affects residents’ health and quality of life and poses a barrier to attracting highly skilled talent. Health and education are crucial factors in people’s choice of residence, making these issues a threat to Zhoushan’s long-term development. In industrial parks, such as the Putuo Zhanmao Industrial Park, roads that have been damaged for years further illustrate the problem of lagging infrastructure. This not only affects the operational efficiency of businesses within the industrial park but also reduces the area’s attractiveness to outside investment.

3.5. Weak Pro-Business Support Awareness

In Zhoushan, a significant issue facing businesses is the lack of strong pro-business support awareness, reflected in the discrepancy in services before and after business establishment and insufficient business service awareness. For businesses, a friendly and supportive commercial environment is one of the key factors in their decision to settle and expand operations. However, local governments and service agencies fall short in providing continuous and efficient services, especially in ongoing support and services after business establishment. Businesses often receive considerable attention and support during the inspection phase and initial stages of establishment, including policy consultation and approval guidance. However, once a business is established, this enthusiasm and support tend to wane, turning into indifference in service and delays in response. This discrepancy in service quality not only affects the operational efficiency of businesses but also damages their trust and satisfaction with local governments and service agencies. Additionally, a lack of strong business service awareness is problematic. This means that relevant departments and agencies lack a proactive and efficient attitude in addressing business needs, solving problems, and promoting business development. This situation may lead to unnecessary obstacles for businesses in expanding operations, innovating, and competing in the market.

3.6. Ineffective Implementation of Pro-Business Policies and Government Service Issues

The primary intention behind pro-business policies is to create a conducive environment for business development through policy support and preferential measures, aimed at reducing the burden on businesses, promoting their growth, and enhancing competitiveness to drive economic growth and employment. However, several issues in actual implementation have exposed deficiencies in policies and services. First, the inefficiency of government services means that businesses frequently have to go through cumbersome procedures, consuming time and resources, increasing operational costs, and diminishing satisfaction with the policies. For instance, oil companies’ struggles with multi-agency regulation highlight the gaps in policy implementation and regulatory coordination, increasing uncertainty and risk for businesses. Additionally, issues such as the inadequate execution of rent reduction policies for state-owned enterprises and insufficient support for the tourism industry reflect the unevenness of policy implementation, the lack of effective supervision and evaluation mechanisms, and the diminished impact of policies. The singularity in the evaluation methods of bidding processes and the high cost of performance bonds further increase business costs, harming fair market competition. The issue of unfair competition in the civil defense equipment and concrete industries exposes the lack of market supervision, not only disrupting the order of fair competition but also inhibiting industry innovation and development. Despite national and local policies emphasizing the creation of a fair market environment and ensuring equal rights and opportunities for all types of enterprises, private businesses still face unfair treatment in practice, such as in access permissions and government procurement. These practical operational issues, combined with the lack of a long-term mechanism for policy dynamic adjustment, result in businesses that should benefit from policies being unable to enjoy preferential treatment. The flawed policies lack effective feedback channels, further emphasizing the need to strengthen policy implementation, improve the information sharing mechanism between the government and businesses, and ensure that policies fairly benefit all enterprises.

3.7. Insufficient Legal Framework

The rule of law is crucial for creating an excellent business environment, and enhancing the legal framework of the business environment is a process that requires continuous joint efforts from the government, businesses, and all sectors of society. Currently, China faces two main challenges in legalizing the business environment. Firstly, a comprehensive legal system for the business environment has yet to be established. A well-developed system is the foundation of a smoothly functioning market economy, and effective implementation of the system should be based on a deep understanding of market system demands to ensure that the supply of regulations matches market needs. Currently, China lacks specificity in local legislation and market entity involvement in legislation in areas closely related to market entities’ production and business activities. Moreover, local regulations and rules that complement national laws and regulations need further improvement in areas such as industrial supply chain development, intellectual property protection, the digital economy, and the application of credit information. Secondly, there is an urgent need to strengthen law enforcement and judicial protection. In implementing the “three systems” of administrative law enforcement, some regions and law enforcement personnel are not strict enough, with issues such as lax enforcement, selective enforcement, and profit-driven enforcement. In recent years, insufficient protection of private enterprises and entrepreneurs’ property rights has become a prominent issue. Cases involving significant property transactions have attracted widespread social attention, causing entrepreneurs to feel insecure, thereby affecting their investment decisions. In a market economy, strict protection of property rights is essential to fully stimulate innovation. Therefore, it is urgent to protect the basic property rights of entrepreneurs, including real rights, claims, share rights, intellectual property rights, and the legitimate rights and interests of independent business operations.

4. Optimization Pathways and Strategies

Based on previous research and the current issues in Zhoushan City’s business environment, this study proposes the following strategies and optimization paths.

1) To address the instability of the policy environment, a series of systematic measures are needed to create a more stable and predictable policy landscape.

Firstly, formulating and publicizing long-term policy plans is fundamental. This requires the government to clarify its policy direction, strategic objectives, and expected outcomes for the next 5 to 10 years, offering a clear long-term perspective for businesses and investors. Such an approach helps to reduce frequent policy changes and enhances policy continuity and consistency. Secondly, improving policy transparency and communication channels is crucial. By utilizing diversified information dissemination platforms to timely and comprehensively publish policy updates and interpretations, not only can policy transparency be enhanced, but also the interaction and trust between the government and businesses can be strengthened. Holding regular dialogue meetings between the government and businesses can effectively listen to the voices of businesses, gather feedback, and allow for timely adjustments and optimizations of policy measures.

Introducing policy assessment and forecasting systems for comprehensive policy impact analysis is vital to ensuring the effectiveness and adaptability of policies. This process includes in-depth impact assessments before policy formulation and regular reviews and evaluations of current policies, ensuring their continued adaptability and improvement. Increasing the inclusiveness of policy-making by establishing policy consultation bodies that include businesses, industry associations, and experts can enrich the breadth and depth of policy formulation. Such a participatory decision-making process helps policies to more comprehensively reflect the interests and needs of all parties, improving policy acceptance and effectiveness.

Finally, ensuring the consistency and stability of policy implementation is critical. By strengthening the enforcement of policies and establishing transition periods, it is possible to effectively avoid local protectionism and execution discrepancies, reducing the impact of policy changes on businesses. Moreover, establishing an emergency change notification mechanism ensures that businesses can timely receive information in the event of unavoidable policy adjustments and adapt to policy changes through specialized consulting services.

2) To address the issue of internal regional competition and coordination, a series of comprehensive measures are needed to promote harmonious development within Zhoushan and the effective use of resources.

The primary task is to establish an effective regional coordination body responsible for promoting inter-regional information sharing, resource allocation, and synchronized policy-making. This can reduce unnecessary internal competition and enhance the overall competitiveness of the entire area. To achieve inter-regional industrial complementarity, the government needs to conduct an in-depth analysis of the economic structure, industrial characteristics, and development potential of various regions within Zhoushan, guiding each region to develop distinctive industries based on their strengths. This can prevent resource wastage and homogenized competition, promoting economic complementarity and coordinated growth between regions. By formulating clear industrial orientations and preferential policies, the government can direct capital, technology, and talent towards industries that maximize the overall economic benefits of the area. Strengthening regional cooperation projects is another crucial countermeasure. The government can initiate and support cross-regional cooperation projects, such as joint industrial parks and shared major infrastructure, which can enhance internal connections and synergies as well as improve resource utilization efficiency and attract external investment. Through public investment and policy incentives, encouraging cooperation between different regions in fields like technological innovation, infrastructure construction, and talent development can help solve development challenges collectively. Furthermore, establishing and improving internal communication and coordination mechanisms within the region is vital. By regularly holding regional development coordination meetings, different areas can exchange development experiences, negotiate solutions to existing problems, and jointly plan future development directions. This mechanism can not only strengthen inter-regional trust and cooperation but also provide the government with a basis for adjusting and optimizing regional policies. Finally, the government should encourage and support the establishment of a new relationship between regions that combines cooperation with competition, using competition to promote development and innovation, and cooperation to achieve resource sharing and mutual benefits, jointly pushing forward the comprehensive development and progress of Zhoushan’s economy and society. Implementing these measures can effectively alleviate internal regional competition, promote closer and more efficient internal regional coordination, and lay a solid foundation for the long-term development of Zhoushan.

3) To effectively address the issue of high land transportation costs faced by businesses in the Zhoushan area, a multi-dimensional strategy is crucial.

Firstly, the government needs to increase investment and upgrade efforts in transportation networks and logistics infrastructure, such as roads, bridges, and freight lines, as well as promote the development of intelligent transportation systems using big data and IoT technologies. The goal is to reduce transit delays and increase cargo throughput through infrastructure improvements and technological optimizations, thereby lowering transportation costs. Secondly, promoting intermodal transportation, integrating road, rail, and water transport methods to achieve “seamless connection” of logistics, can not only enhance logistics efficiency but also reduce transshipment costs. The government should encourage businesses to adopt this approach by providing tax incentives, financial support, and other preferential policies. Additionally, consider offering logistics subsidies to specific industries or businesses engaged in long-distance transportation, especially in key areas such as foreign trade and agricultural product transportation, to directly alleviate the transportation burden on businesses. Accelerating the informatization and digitalization of logistics, supporting logistics companies to establish a unified information platform for real-time tracking and dynamic management of cargo transportation, can significantly improve logistics management efficiency and reduce costs. Furthermore, strengthening logistics personnel training and encouraging technological innovation, such as the development and application of automated warehousing and unmanned transportation vehicles, will further enhance the professional level and efficiency of the logistics industry. Implementing these comprehensive measures can not only effectively reduce the land transportation costs for businesses but also promote the progress of the logistics industry and the overall prosperity of the Zhoushan region’s economy.

4) Adopting a series of comprehensive and long-term measures is crucial

The government first needs to prioritize infrastructure construction, increasing public investment and actively attracting private capital, especially in the construction and upgrading of key areas such as transportation, water conservancy, energy, and information and communication technologies. Utilizing Public-Private Partnership (PPP) models can effectively share risks and benefits, accelerating the advancement of infrastructure projects. Additionally, focusing on and addressing key areas and weak links that have the most significant impact on economic and social development, such as improving transportation network connectivity, enhancing the stability of energy supply, improving water resource management, and promoting the widespread adoption and upgrading of information and communication technologies, can directly enhance the region's competitiveness and drive comprehensive development in other industries and fields. Integrating technological innovation into the construction and upgrading of infrastructure, employing advanced technologies such as intelligent transportation systems, green energy technologies, smart water management, and next-generation communication networks not only enhances the operational efficiency and sustainability of infrastructure but also brings more intelligent services to the city, greatly improving the quality of life for residents and the efficiency of economic activities. Moreover, strengthening the planning, construction, and management of infrastructure projects, establishing a comprehensive project evaluation system, conducting scientific demand analysis and cost-benefit analysis, and enhancing project supervision and post-maintenance can ensure the efficient execution and quality assurance of projects. Enhancing the transparency of project management and public participation increases the social acceptance and success rate of projects. Furthermore, the construction and maintenance of infrastructure rely on the support of professional talent, making it particularly important to strengthen the training and introduction of talent in related fields. Collaborating with higher education institutions to offer relevant professional courses and providing continuous professional training and skill enhancement opportunities lay a solid talent foundation for infrastructure construction. Through the implementation of these comprehensive measures, the Zhoushan area can effectively resolve the issue of lagging infrastructure, laying a solid foundation for the region’s long-term development and the continuous improvement of residents’ quality of life, and driving infrastructure construction and upgrading towards smarter, greener, and more efficient directions.

5) Strengthening attention to business services and ensuring that every aspect of policy formulation and implementation enhances service quality and efficiency is essential.

The first step is to establish a comprehensive business service system that covers not only pre-establishment consultation services but also ongoing support after establishment, ensuring businesses receive necessary help and guidance at different development stages. This system should encompass a wide range of contents, from project evaluation and market analysis to legal and regulatory consultations, to meet the diversified needs of businesses.

Furthermore, Zhoushan should enhance the service awareness and professional capabilities of government and service agency personnel through regular training and professional education. This includes strengthening sensitivity training to market dynamics, improving problem-solving efficiency and capabilities, and enhancing communication skills and customer service awareness. Especially in new areas of modern economic development, such as the digital economy and green development, it is necessary to intensify training in relevant knowledge and skills to ensure government and service agency personnel can adapt to rapidly changing market demands and provide more professional and timely services.

Simultaneously, Zhoushan should actively build communication bridges between businesses and the government, establishing efficient information feedback and communication mechanisms to ensure businesses’ voices and needs are heard and responded to by the government in a timely manner. This can be achieved through regular government-business dialogues and the establishment of online service platforms, facilitating businesses to directly report issues and enhancing the government’s problem-solving efficiency and transparency.

6) To address the issue of ineffective implementation of pro-business policies, a comprehensive set of countermeasures should be based on optimizing the policy dissemination mechanism, enhancing the efficiency of government services, strengthening policy supervision and evaluation, and implementing dynamic policy adjustments.

Firstly, enhancing policy training and interpretation through policy briefing sessions and workshops to improve implementers’ understanding and execution of policies is crucial. Secondly, leveraging “Internet + Government Services” to build a one-stop service platform simplifies the procedure, enhances service transparency, and breaks information silos through government data sharing. Additionally, perfecting the supervision and evaluation system for policy implementation by introducing third-party evaluations and public oversight ensures effective policy implementation and timely measures against ineffective execution. Concurrently, establishing a dynamic policy adjustment mechanism that promptly adjusts policies based on market feedback ensures that policies stay in sync with business needs and market development. Strengthening market supervision, eliminating unreasonable access restrictions, and ensuring all enterprises compete in a fair market environment are also essential, particularly increasing policy support for private enterprises to reduce operational costs and enhance competitiveness. Lastly, reinforcing the protection of property and intellectual property rights provides a solid guarantee for business innovation. Through these measures, the goal is to create a fair and just business environment, promoting the healthy development of Zhoushan’s economy and comprehensive societal progress.

7) Creating a legal environment for business operations involves strengthening the enforcement of laws related to the business environment and establishing an evaluation system, which are key measures for optimizing the business environment.

To transform institutional advantages into governance efficacy, it is essential to focus on the implementation of law enforcement, comprehensively implementing laws such as the “Civil Code of the People’s Republic of China,” the “Company Law of the People’s Republic of China,” the “Consumer Rights Protection Law of the People’s Republic of China,” as well as administrative regulations like the “Regulations on Optimizing the Business Environment.” This includes regulating the business conduct of market entities, lawfully implementing administrative licensing and registration systems, removing explicit and implicit barriers to market entry, ensuring businesses compete on an equal footing, and equally protecting the legitimate rights and interests of both domestic and foreign-funded enterprises. Furthermore, promoting fair and civilized law enforcement, enhancing transparency in enforcement, strengthening the supervision system for law enforcement, and seriously addressing issues of enforcement negligence are crucial to ensure the implementation of the administrative law enforcement accountability system. Additionally, creating a first-class business environment requires a systematic project that calls for a sound top-level design for evaluating the business environment, ensuring coordination between different laws and regulations, and constructing a complementary legal system for the business environment. By clearly defining the methods, content, and standards for evaluating the business environment within laws and regulations, and regularly assessing the implementation of the business environment evaluation work, the primary responsibility of local governments can be enforced. Moreover, urging governments at all levels and departments to formulate task lists and implement the construction of a legal business environment evaluation system, perfecting the legal system guarantee mechanism for third-party evaluations by society, enhancing the openness and scientific nature of evaluations, can effectively improve the standardization level of the business environment evaluation system, ensuring continuous improvement in the level of legalization of the business environment.

These strategies together form a comprehensive plan aimed at optimizing the business environment in Zhoushan City through efforts to enhance policy stability, promote regional coordination, reduce transportation costs, accelerate infrastructure construction, improve enterprise services, strengthen policy implementation, and create a legal environment, among other aspects. This is intended to drive the comprehensive development and progress of its economy and society.

5. Conclusions

Through an in-depth analysis of the business environment in Zhoushan City, this paper summarizes the following conclusions and policy recommendations, aiming to provide references for the optimization of the business environment in Zhoushan and other regions.

First, the stability and predictability of the policy environment constitute fundamental elements of business environment optimization. Zhoushan City needs to pay special attention to the continuity and forward-looking nature of policies when formulating and implementing strategies for business environment optimization, ensuring that businesses can make long-term development plans within a stable policy framework.

Second, internal regional coordination and cooperation are crucial for promoting the efficient allocation and utilization of resources. By establishing a unified policy framework and standards, Zhoushan City can effectively reduce competitive pressures among regions, and encourage industry complementarity and economic integration, thereby enhancing the overall competitiveness and attractiveness of the region.

Third, enhancing the awareness of enterprise services is significant for improving the quality and efficiency of government department services, and thereby attracting and retaining businesses. Government and service organizations should create a supportive and high-quality business environment by optimizing registration and approval processes, and providing daily operational support.

Fourth, building a legalized business environment is a key aspect of optimizing the business environment. By improving and implementing relevant laws and regulations, and strengthening property and intellectual property rights protection, Zhoushan City can provide a fair competitive market environment, stimulating the innovative vitality and development potential of enterprises.

Optimizing the business environment is a complex project involving multiple aspects and levels, requiring the joint efforts of the government, businesses, and all sectors of society. Considering Zhoushan City’s unique geographical and economic characteristics, a series of targeted strategies and measures should be developed and implemented to construct a more stable, fair, efficient, and internationalized business environment. This will not only help to promote the high-quality economic development of Zhoushan City but also provide valuable experiences and references for the optimization of the business environment in other regions. Looking forward, Zhoushan City needs to continue deepening reforms and adjusting optimization strategies to adapt to the trends of globalization and the new requirements of domestic economic development.

Funding Project

The key project of Zhoushan City Social Sciences for the year 2023, “Research on Strategies for Optimizing and Enhancing the Business Environment in Zhoushan City from the Perspective of ‘Project Number One’ Reform” (Project No.: Zhoushan Social Federation [2023] No. 27) is a phase-based research achievement.

Conflicts of Interest

The authors declare no conflicts of interest.

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