6 key factors that influence the location decision-making of biopharmaceutical and device enterprises.

Wen: Qiu Xiaoliang for the investment site of this matter, perhaps many entrepreneurs think it is a simple thing, is not to find an office? In fact, while the process may seem simple, you will find it a time-consuming and complex project when you are deeply involved in the site selection process.
, biopharmaceuticals, medical device enterprises investment location four types from the perspective of the enterprise life cycle, enterprises in different life cycle will have the need to invest in location.
From the stage of enterprise development, we can divide the investment location behavior of biopharmaceutical and medical device enterprises into four types according to the dimension of enterprise scale: incubation office location, small-scale industrialization lease plant location, (large-scale) enterprise scale self-built plant location and regional center location.
1: The different life cycle location dynamics of enterprises 1. Incubation office space location selection project is still in the early stages of creativity, the team consists of 3 to 10 core technical personnel.
start-up projects due to financial pressure in the location of office budget conservative, combined with business incubators and other office space cost-effective.
in addition, the core of the development of the project at this stage is technology research and development, this type of enterprise project will prefer to joint universities and research institutes for incubation site selection.
2. Small-scale industrial plant rental with the development of enterprises, product development to the stage of industrialization, early because of a large number of research and development cost input and market sales in the start-up stage, so the enterprise in this period from the development point of view most will not build their own plant, more is through the government industrial park to provide standard plant decoration, in order to reduce plant construction costs and reduce the construction time period.
the corresponding products of pharmaceutical enterprises at this stage are in clinical phase I and II, and the corresponding products of medical device enterprises are basically in the clinical declaration stage of product registration.
3. (Large) enterprises large-scale self-built plant site when the enterprise has passed the first product sales start-up stage, some enterprises will further develop industrialization in other pipelines and expand the scale of production and sales, so enterprises at this stage of development have a certain financial strength to support their expansion of production capacity demand.
so companies will have a clear need to expand their own plant and sales centers.
, for example, Baiji Shenzhou's guangzhou base focuses on process research and development and patent innovation, while its Beijing headquarters is the core base for drug innovation research and development.
, the key elements of regional center location generally the enterprise's regional center includes three types: research and development center, marketing center and finance center.
No matter what kind of center, in fact, the enterprise landing site demand is relatively small, hundreds of square meters of office space can meet the needs of most enterprises, so this kind of location behavior enterprises will consider as far as possible in the CBD area, these areas convenient transportation, talent gathering.
different types of enterprises in different stages of site selection, its requirements for the park are also basically different, in the selection of each will have a tendency.
but it's always changing, and for businesses to find the right soil, they can thrive quickly.
the correct enterprise location, equivalent to finding a piece of land for themselves, will accelerate the development of enterprises.
, a failed site selection can lead to slow or even dead enterprise development.
, we need to think carefully about the most important factors (soil nutrients) that companies need to consider when choosing a site.
based on the research of drug site selection platform and many enterprises and parks, we found that the key site selection factors that determine enterprise development include the following aspects.
1. Why is location traffic the first key element to be considered in the location of biomedical and medical device enterprises? In fact, the opening up of the area traffic is two factors, first of all, the position, followed by the traffic situation.
location determines what the future business environment of the city in which the enterprise is located is, for example, if a company is located in Shaoxing, then he is considering the entire Jiangsu, Zhejiang and Shanghai area of the market and talent issues.
, if the location is located in Zhongshan, then more is to consider the impact in the Pearl River Delta area.
, location determines the future market environment of the enterprise.
followed by traffic, today's market is very fast pace, in Jiangsu, Zhejiang and Shanghai parcel area, and even the Beijing-Shanghai line along the people may have been accustomed to the same day round trip travel rhythm.
if a local high-speed rail is not opened, then the local freight flow efficiency and talent flow efficiency will not be very high, how can we ensure that enterprises can efficiently connect resources with the outside world? This element is of particular concern when selecting the location of corporate investments.
location traffic also includes the operating costs of enterprises, for example, for production-oriented enterprises, if the choice of more remote places as a production base, plant rent or land costs are very low, but logistics costs are much higher, talent availability will be significantly reduced.
2. Industrial supporting resources Biopharmaceuticals and medical devices are highly knowledge-intensive industries, and early entrepreneurs will be highly dependent on local industry supporting resources, such as public experimental platforms, clinical resources, declared registration resources, etc.
some enterprises belong to the platform type of enterprise, itself brings its own resources, such as CRO, CDMO type of enterprises, they have relatively small resource requirements, but there must be requirements for talent resources.
On the contrary, research and development of innovative enterprises are generally supporting industrial resources, including some large-scale experimental equipment has supporting requirements, so enterprises in the location will consider whether the local industry needs industrial supporting resources, otherwise the cost of self-construction is very high, small and medium-sized enterprises will not consider.
the most typical resources such as exhaust gas, waste liquid, waste slag treatment, non-professional parks need enterprises to deal with their own, which will inevitably affect the choice of decision-making.
if the park has three waste centralized treatment measures, it will significantly reduce the construction and operating costs of enterprises, increase the attractiveness of investment.
3. Industrial policy Basically every enterprise will ask what kind of local industrial policy and talent policy are in place when investing in location selection.
policy for innovative enterprises, it means whether local governments pay enough attention to the industry, whether to make this industry as a key development industry.
from the policy provisions can also see whether local government leaders have a deep enough understanding of the industry, otherwise the policy content will not fit the key milestones of enterprise development.
For enterprises, but also to consider whether industrial policies can be implemented, the policy has been implemented cycle, whether there are cases of successful implementation, these are enterprises in the inspection of local governments and industrial parks will focus on the factors.
in addition to policies, enterprises will also consider the local government's policy fulfillment and support agreement performance capacity from the perspective of the government's general public budget revenue.
good policy commitments, and if local governments are not supported by good fiscal revenues, there is basically no way to talk about compliance.
So, combined with the previously mentioned regional transportation and industrial supporting resources, the general economy of the place where the area traffic is good is not bad, so in the industrial policy is relatively radical;
, enterprises in the site selection, according to regional location and economic development, it is probably predictable to get the basic situation of industrial policy support.
4. The supply of talent to the development of any enterprise can not be separated from talent, especially in high-tech enterprises such as biomedicine.
if a biopharmaceutical company lands in a small county town on the fourth and fifth lines, and this place doesn't even have a decent university, it's not at the heart of the region, then how can a company recruit good people?
, county-level development zones, may lack of life support, such parks may even recruit ordinary workers are difficult.
So, when enterprises invest in a local investment site, entrepreneurs will also have a deep understanding of the local talent supply situation, even if there are no local university resources, but also depends on whether there are universities around this place, whether it is possible to attract talent from the nearby area, whether it is difficult to recruit.
, the research and development production space established by the enterprise will be reduced to an empty plant that no one will ask about.
. Life support is ultimately the product of the environment, work is a part of life, when we consider whether to go to a place to work, we will certainly examine whether life in this place is convenient.
from our research, entrepreneurs focus on life support is around people's food and clothing in several dimensions, higher-level needs will include entertainment needs.
Current enterprises in the choice of a place to land, to consider the staff's dining and transportation issues, such as whether the park has a canteen, whether there are fast food snack bars around the park, whether there are business restaurants, etc. , the park from the living area of the general commute time, whether there is a subway or bus can be reached.
is the location of large enterprises, often may be in an industrial park, but also need to consider the entertainment needs of employees, consumer demand, and even housing needs, children's education needs.
6. The business environment sounds like a very virtual indicator, but it does affect whether the business eventually lands.
mainly reflected in whether local leaders attach importance to the industry, whether the development of the industry has a certain inclusive mentality.
line is responsible for docking the specific staff of the enterprise can establish a good communication mechanism with the enterprise, so that the enterprise operates efficiently in the local area.
Before, we often encountered or heard a saying, first to attract enterprises to land investment, the government promised a lot of policy conditions, but when it comes to cash is often difficult to fulfill, this is a typical business environment and government-related departments staff lack of service awareness of the typical performance.
Enterprises in the landing investment will indeed pay attention to the business environment and word-of-mouth, after all, for enterprises, once determined to invest in the local, less is millions of funds, more than a few hundred million are possible, will eventually affect the survival of enterprises.
In-depth study of the decision-making logic of enterprise location, to assist enterprises to make a scientific and reasonable investment site selection program, it is necessary to establish a systematic scientific quantitative index, because the different stages of biopharmaceutical enterprises to carry space, industrial resources, policy support and other aspects of the needs are not the same.
Table 1: Site selection quantitative indicators (reference part) above six points are the key factors that pharmaceutical enterprises pay close attention to when choosing sites, but also local governments and industrial parks need to focus on building investment competitiveness.
But for enterprises, the author believes that the support of government industrial policy is the icing on the cake to help enterprises grow and develop, the survival and development of enterprises also mainly depends on the development of their own products and business, through the use of social capital and expand the market scale to obtain greater space for development.
various industrial policies and talent policies of the government are based on the basic supporting policies in the process of enterprise development.
governments now basically require companies to invest first, and government departments to subsidize them at the end of the year or the next year.
it is difficult for enterprises to get subsidies in advance, and it is impossible to expect support funds to become life-saving money for enterprise development.
addition, enterprises also need to consider objectively, at different stages of the need for the campus is not the same.
the six categories of considerations mentioned above also have differences in order in practice, and cannot be simply generally generaled.
If biopharmaceutical and medical device enterprises want to obtain more park information in terms of site selection, they can understand the situation of the national park through the drug site selection platform, and the drug site operator can also recommend the park suitable for enterprise development, welcome to communicate with the drug site selection platform.
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