The Formation and Evolution of the Shenzhen Model (not to be reproduced or quoted without my consent)

1. Vigorous development of exogenous economy

Before the 1970s, Hong Kong's industries were facing industrial restructuring, and most of the labor-intensive industries, which were difficult to sustain due to rising wages and land costs, were looking for new investment space. At this time, it coincided with the implementation of reform and opening up of the Chinese mainland, and Shenzhen was approved to become the largest special economic zone in China's inland. Shenzhen is only a river away from Hong Kong, and has become the first choice for Hong Kong investors to come to the mainland for development.

At the beginning of Shenzhen's establishment, the main form of attracting foreign investment was "three to one complementary". The so-called "three to one complementary", that is, processing with materials, processing with samples, assembly with parts and compensation trade. This form of introduction of foreign capital has the form of flexible, low investment, short time, quick results, low risk, low cost and so on, in solving the problem of labor employment, increase foreign exchange earnings, etc. has a positive effect, is to promote the development of Shenzhen's early externally-oriented economy, an effective way.

According to media disclosure, the first Hong Kong businessman to invest in Shenzhen factory is Zheng Keming. Zheng Keming Department of Guangdong Heshan people, living in Hong Kong for many years, but still the heart of the world on the north shore of the Luohu Bridge. 1978 early, he heard people say that the mainland is engaged in reform and opening up, they called a few brothers to find a few old machines from Hong Kong on foot across the Luohu Bridge to Shenzhen to start a handbag factory. After coming to Shenzhen, Zheng soon signed a contract with the local village and town governments. According to the contract, the village out of land, out of people, Zheng money to build factories and provide machinery; raw materials shipped in from Hong Kong by Zheng, after processing, the products are still sold by Zheng to Hong Kong. This is the so-called "three to a complementary" original model.

Following Zheng Keming to run a factory in Shenzhen, many of Zheng's hometown friends have followed suit. Since then, groups of Hong Kong people carrying machines from the Luohu Bridge over to Shenzhen to build simple factories, or the production of handbags, leather goods; or the production of fabrics, clothing; or the production of hardware, bicycles, etc. This is known as the "three to one" original model. This is known as the "three to one complementary" processing trade model was quickly replicated.

According to local recollections, when the pavement from the Luohu Port, a large area of all the small houses, walking in the middle of the factory can not distinguish between the southeast and northwest, although the handbag factories, luggage factories have been a lot, but carrying machines, backed by bags of raw materials through the Luohu Bridge Hong Kong businessmen are still a constant stream.

Since then, Shenzhen's townships have ushered in the "three to one complementary" business of Hong Kong businessmen, in 1979, only Baoan's Shiyan village has been stationed in more than 100 processing trade enterprises.

Under the influence of the "three to one complementary" effect, in 1979, Shenzhen formally put forward the Special Administrative Region to develop "three-funded" enterprises as the main strategy for the development of export-oriented economy. 1979, the Thai overseas Chinese Xie Guoqiang was the first to come to Shenzhen, and got the Shenzhen "001". Shenzhen City, "001" Sino-foreign joint venture business license, the establishment of the Shekou Group, Shekou, Shek and the United States Continental Grain Company Kandi Group, a joint venture with the formation of a large Kandi Ltd.

By the end of 1979, the introduction of Shenzhen "three to one complement" enterprises and "three-funded" enterprises more than 200, by the end of 1981, the Shenzhen Municipality of foreign-funded enterprises has reached more than 1800. By the end of 1985, the Shenzhen Special Administrative Region has signed 4,696 agreements with foreign investors, with an agreed investment of 3.35 billion U.S. dollars, accounting for one-sixth of the country's direct utilization of foreign capital at that time. By this time, the pattern of Shenzhen's export-oriented economy had begun to emerge.

2, let go of the development of the private economy

Before Shenzhen built the Special Administrative Region, that is, before 1980, there were only six individual businessmen here, with an annual turnover of less than 30,000 yuan. In the 1980s, when many places on the development of the private economy, is still in the debate, wait-and-see stage, the Shenzhen Municipality has clearly put forward in the focus on the development of the "three capitals" enterprises at the same time, but also pay attention to the cultivation of the development of the local private economy, and formulated the "Shenzhen Special Economic Zone, the private science and technology enterprise registration methods", "on the development of a number of views on the development of the SAR private enterprises," the "Shenzhen Special Economic Zone". After 1980, Shenzhen, in accordance with the idea of "prosperity first and then rules, active first and then orderly", allowed and supported local residents to develop the individual economy at the same time, boldly implemented the "open the city gates, and actively introduce" approach, allowing neighboring countries to develop their own private enterprises. "The company's policy is to allow individual households from neighboring counties and provinces to enter the SAR for business.

By the end of 1985, the city's individual households developed to 2118, of which some of the individual businessmen, whether in terms of scale of operation or the number of employees, have actually broken through the boundaries of the individual economy, and began to change to the private sector.

In 1987, the State Council promulgated the Provisional Conditions for the Administration of Urban Individual Business Owners, and in 1988, the State Council issued the Provisional Regulations on Private Enterprises in the People's Republic of China. Shenzhen in this period according to the country's relevant policies and regulations, combined with the local reality, and has introduced a series of policies and regulations to support and encourage the private economy, such as the Shenzhen Special Economic Zone private science and technology enterprise management regulations, the Shenzhen Special Economic Zone private enterprise interim regulations, etc., to provide a more favorable conditions than the mainland, attracting a large number of cadres from all over the country and scientific and technological personnel to set up a special zone, the private enterprises, especially the science and technology-oriented enterprises. Private enterprises, especially science and technology-based private enterprises. Individual entrepreneurs who had accumulated considerable capital in the previous stage also formally registered as private enterprises, and the private economy entered a stage of steady development. By the end of 1991, the city's private enterprises had grown to 1024, with a total registered capital of 15,000 million yuan.

After Deng Xiaoping's southern tour in 1992, the Chinese ****productivity party held the 14th National Congress, which established the general direction of the economic reform of the socialist market economy system. Shenzhen, according to the country's overall reform goals, in the country has not yet been introduced before the Company Law, in 1992 took the lead in the introduction of the "Limited Liability Companies Ordinance", "Limited Liability Company Ordinance", "Partnership Ordinance", etc., these very forward-looking policies and regulations, and once again stirred up the private sector entrepreneurial boom. According to the industry and commerce department, the registration of private enterprises soared for a time, and at the peak, hundreds of new private enterprises were added every day. In the future to become the industry leader in most of the famous private enterprises in this period of preparation or extension of life. Such as communications in the field of Huawei, the center, the network in the field of Tencent, software in the field of Kingdee, gold certificates, etc., bio-engineering in the field of Haiwang, HaiPuRui; new materials in the field of BYD, the long garden, the gold in the field of high-energy, etc..

As Shenzhen has initially established the basic framework of the market economic system and has independent legislative power, some of the rules and regulations formulated in the planned economy period to restrict the development of private enterprises have been basically abolished. In Shenzhen, all laws and regulations are not prohibited behavior, private enterprises can enter. Shenzhen private enterprises involved in the field of both business and trade, food services, transportation, construction, processing and manufacturing of traditional industries, including electronics, communications, bio-engineering, software, lasers and other high-tech industries, including finance, logistics, culture and creativity and other modern services, and even some of the monopoly industries, but also to the private sector has opened the door. It is because of this open and fair competitive environment that a number of private enterprises such as Huawei, Center, Ping An, BYD, Vanke, etc., which are pivotal in the world, have been created.

Strong support for private enterprises to implement scientific and technological innovation is also an important measure for the development of private economy in Shenzhen. By the end of 2001, there were 1,130 private science and technology enterprises officially recognized by the Shenzhen Municipal Bureau of Science and Technology, of which 60 were high-tech enterprises. The total income from technology, industry and trade of private science and technology enterprises amounted to 28.2 billion yuan, and the total industrial output value was 27 billion yuan. Of the city's 14 municipal technology development centers, 4 are located in private enterprises, and more than 40% of the city's R&D personnel are concentrated in private enterprises. Among the private enterprises in Shenzhen, those with independent intellectual property rights account for 64% of the total number of private enterprises, and the output value created by independent intellectual property rights accounts for 88% of the total output value of private technology enterprises in Shenzhen.

3. Taking the lead in establishing a new system of market economy

As a "testing ground" for China's reform and opening-up, Shenzhen, in accordance with the instructions of the central government, has been "killing its way out" and "jumping out of the existing system". "The spirit of the instructions of the Central Committee, since the establishment of the Special Administrative Region, boldly try, boldly break through, the first in the country to establish the basic framework of the socialist market economic system, creating a number of firsts in the country.

First, actively explore the reform of the government administrative system with streamlining organizations and changing functions as the main content. 1986, Shenzhen took the lead in abolishing most of the administrative competent bureaus and implementing the large department system, taking the first step of separating the government from the enterprises; 1987, Shenzhen took the lead in establishing the civil service system within the state organs and transformed the staff of the state organs into the civil servants; around 1992. The city embarked on the reform of the administrative approval system, abolished the old rules and regulations of the planned economy, canceled most of the administrative approval of the project, and liberalized the market access system.

Secondly, the reform of state-owned enterprises has been actively promoted. 1986, Shenzhen took the lead in the pilot reform of state-owned enterprises by implementing the shareholding system, established the Shenzhen Investment Management Company, the first organization specializing in the management of state-owned assets in the country, and abolished the administrative level of enterprises, with six state-owned enterprises implementing the shareholding system reorganization. It took the lead in recruiting management personnel openly for the whole country, and implemented the factory director (manager) responsibility system. 2001 to 2003, Shenzhen took the lead in promoting the overall reform of disadvantaged state-owned enterprises in the competitive field in the whole country, and recruited five large-scale state-owned enterprises through international bidding, and implemented the authorization of operation of several large-scale state-owned enterprise groups.

Third, actively promote the reform of the price system. 1987, Shenzhen City, from the people's most concerned about the price reform of foodstuffs, and gradually extended to the reform of industrial prices, the abolition of all kinds of tickets, decentralized the pricing authority, the implementation of the floating price, the material transfer price into the negotiation of bargaining and negotiation price. To the early 1990s, and further adjust the idea of price reform, from "to adjust the main" development to "to put the main", so far, 97% of the commodity prices in Shenzhen City by the market regulation.

Fourth, actively promote the reform of labor, personnel and distribution system. As early as 1981, Shenzhen Shekou Industrial Zone took the lead in open recruitment of cadres and workers to the country, and announced the abolition of the cadres' life-long system in the industrial zone. 1986, Shenzhen took the lead in the implementation of the labor contract system in state-owned enterprises, breaking the "iron rice bowl", and took the lead in the implementation of the structural wage system, the position wage system. Shenzhen also piloted the employee shareholding and share option system in joint-stock enterprises, and stipulated that technical inventions, brands, trademarks, patents and other intellectual property rights and intangible assets could be valued as shares. These reforms have greatly mobilized the production enthusiasm of enterprise employees, and stimulated the majority of scientific and technological personnel and entrepreneurs to innovative activities.

Fifth, is to actively explore the reform of the financial system

At the beginning of the reform and opening up, Deng Xiaoping told the responsible comrades in Shenzhen: the central government does not have the money, you go to find your own, to kill a bloody road. In accordance with the instructions of Comrade Xiaoping, Shenzhen actively explored in many fields such as banking, securities, insurance, etc., and created a number of "firsts" in the financial history of new China.

In 1982, the Shenzhen branch of Nanyang Commercial Bank opened, becoming the first foreign bank introduced in mainland China.

In 1985, Shenzhen set up the first foreign exchange transfer center in the country, providing a useful exploration for the establishment of a standardized foreign exchange market.

In November 1986, with the approval of the People's Bank of China, China Merchants Bank, the first joint-stock commercial bank in mainland China, was established with a capital of RMB 100 million from Shenzhen Merchants.

On December 28, 1987, Shenzhen Development Bank was established, becoming the first commercial banking industry to offer shares to the public since the founding of the PRC.

On December 1, 1990, the Shenzhen Stock Exchange was officially opened for business.

On May 27, 2004, the Shenzhen Stock Exchange officially launched the small and medium-sized enterprise plate, on June 25 of the same year, the first batch of small and medium-sized enterprise 8 new shares in the Shenzhen Stock Exchange listed for trading.

In September 2009, the SZSE officially launched the GEM board, and on October 30 of the same year, the first batch of 28 GEM companies were officially listed and traded on the SZSE. Thus, the Shenzhen capital market has formed a multi-level capital market structure consisting of the main board, small and medium-sized boards, and the GEM board in a trapezoidal shape.

Sixthly, the city has fully utilized its legislative power to promote the reform of the economic system and consolidate the achievements of the economic system reform. in July 1992, the city of Shenzhen was granted the legislative power by the National People's Congress (NPC). Shenzhen has fully utilized this advantage to provide legal protection for taking the lead in building the basic framework of the socialist market economic system. With the legislative power, Shenzhen has enacted a series of laws and regulations on market planning, market order, social security and so on. As of 2000, of the 951 laws and regulations enacted in Shenzhen, those directly related to economic reform accounted for 73% of the total number of pieces of legislation. At present, Shenzhen has initially formed a legal framework adapted to the needs of the market economy of the Special Administrative Region and in line with international practice. The formulation and implementation of these laws and regulations have not only vigorously promoted the reform and development of Shenzhen, but also provided vivid experience for the national legislation.

4, change the mode of growth, the implementation of industrial transformation and upgrading

After more than 30 years of reform and development, Shenzhen's industrial structure continues to optimize, and gradually formed a distinctive high-tech industry, the market system is more sound and perfect financial industry, connecting the international radiation of the mainland's logistics industry, and science and technology and finance are closely integrated with the cultural industry (the latter three can be called modern) and other four pillar industries. The last three can be called modern service industry) and other four pillar industries.

The process of adjusting and optimizing Shenzhen's industrial structure has not been smooth, and it has experienced the hardships of exploration and the pains of transformation. Roughly speaking, Shenzhen's industrial structure has undergone three major transformations and upgrades.

(1) the first industrial transformation: from trade to industrial transformation

Shenzhen Special Administrative Region is in the original Baoan County, on the basis of the establishment of up, Baoan County is an agricultural county, there is no more perfect infrastructure, there is no industrial base, leaving the big Special Administrative Region is only "a poor". If there is any advantage of Shenzhen in the beginning of the establishment of the Special Administrative Region, it is only two: one is the state has given some preferential policies, for example, to attract foreign investment tax reductions, tax exemptions, export tax rebate policy, state-owned enterprises to enjoy the autonomy of import and export, etc.; Secondly, the geographic proximity to Hong Kong and Macao, and Hong Kong is only separated by a river. Therefore, the initial development of Shenzhen has no choice but to take the path of trade or processing trade development, to gradually complete the original accumulation of industrialization, which is also in line with the general path from the agricultural society to the industrial society to go through different stages of trade, industry and technology development.

Shenzhen through trade and processing trade to complete the primitive accumulation of capital has three channels or three sources.

First, re-export trade. In the early 1980s, China's reform and opening up had just begun, and people had not yet bid farewell to the era of shortages, and Hong Kong, Macao and cheap light industrial products from abroad became the object of people's pursuit. At that time, the whole of China set off a trend of doing business for all people, and Shenzhen is located in the coastal belt, but also China's largest special economic zone, enjoying a series of preferential policies, which, at the beginning of the construction of the special zone, in order to satisfy its construction of the supply of materials, the central government to give the Shenzhen in the import of materials and the use of foreign exchange on some special policies. As a result, Shenzhen soon became a new trade center in China. Not only a large number of mainland individual entrepreneurs or just out of the system of the sea business people, have come to Shenzhen gold, through a variety of channels and the Shenzhen authorities to pull on the relationship, and the provinces and even the central government ministries, offices and commissions have set up a trading company in Shenzhen to drill this policy loophole, will be used for the Shenzhen Special Administrative Region of the imported materials, sold to the mainland to rely on the trade to earn windfall profits.

Second, smuggling. At the beginning of the reform and opening up, China's coastal areas, such as Shandong, Zhejiang, Fujian, Guangdong, the rise of a wave of smuggling and smuggling boom, there are a lot of people through this gray and black trade to complete the primitive accumulation of capital. Shenzhen was no exception. Shenzhen can be said to be the largest smuggling distribution center for electronic parts, the nationally renowned Saige electronics market is also established on such a basis.

Third, the "three to a complement" as the main form of processing trade

As mentioned earlier, due to the late 1970s to the early 1980s, Hong Kong, Macao, Taiwan and other labor-intensive industries due to the rising cost of labor, land is difficult to continue, and to seek a new space for development, and Shenzhen has a heavenly situation, geographical location, and people and a number of advantages, is to undertake the transfer of such industries. Many advantages, is the first choice to undertake such industrial transfer. Therefore, processing trade is the main source of capital accumulation in Shenzhen.

In the early stages of industrialization, rely on trade to lay the foundation of this is no excuse, but with the passage of time, the shortcomings of the trade city also gradually revealed, the first two kinds of trade would not have been able to reach the hall of elegance, the latter form of processing trade has surfaced a lot of problems. The first to criticize this is just returned to Hong Kong from abroad, the University of Hong Kong Asian Studies Center, Dr. Chan Man-hung, he published in Hong Kong's "Wide Angle Mirror" magazine (May 1985 issue) published an article entitled "Shenzhen special there", the article criticized the establishment of the Special Administrative Region of Shenzhen in the past five years, the surface of the prosperity, but the roots are unstable, mainly to take advantage of the country's preferential policies, through the trade, mainly through the re-export trade of the country's other places, earn mainlanders, and the trade has become more and more important, and the trade has also become more and more important. The article criticized that Shenzhen has been prosperous on the surface for five years since the establishment of the Special Administrative Region, but its foundation is not stable. Chen's article provoked the first major debate on the Shenzhen Special Administrative Region in China. In this debate, most critics argued that the proportion of industry in Shenzhen was too low, and pointed out that Shenzhen had to learn to earn foreigners' money in the international market, rather than earning the money of the mainlanders.

At this stage, not only was the theoretical community quite critical of Shenzhen's development path, but the central government also fine-tuned its policies toward Shenzhen. in 1985, the central government decided to pull out the needles that were bleeding Shenzhen, and to tighten control over Shenzhen's import and export goods. In the blink of an eye, thousands of companies closed down and Shenzhen's economy hit a low point. In November of the same year, the State Council held a symposium in Shenzhen on the development of export-oriented industries in special economic zones, and the seventh five-year plan of the central government explicitly requires that "the special economic zones should actively introduce technology, and at the same time, gradually achieve the production of export-oriented, and strive to create more foreign exchange for the country."

Shenzhen also according to the country's "Seventh Five-Year Plan" target, the formulation of the city's development plan, proposed in the "Seventh Five-Year Plan" period, to use foreign investment of 1.5 billion U.S. dollars, domestic investment of 6 billion yuan, 500 new factories, to 1990, the total industrial output value of 9 billion yuan. The total industrial output value of the city reached RMB 9 billion by 1990, and an externally oriented industrial structure was basically formed in three years.

At this point, Shenzhen's industrial structure has entered the first period of transition, that is, from trade to industry. The labor-intensive "three to a complement" enterprises and three-funded enterprises continued to develop outside the customs, outside the SAR along the 107 national highway and the Shenzhen-Huizhou highway are full of such enterprises. The formation of the SAR to the electronics, light industry, mainly on the step, Bagua Ling Industrial Zone, mainly mechanical processing Meilin Industrial Zone, mainly textile Liantang Industrial Zone, mainly building materials Longjing Industrial Zone. After several years of adjustment and development, Shenzhen rapidly grew into an important industrial base and economic center in China. By 1994, Shenzhen's GDP had surpassed that of many traditional industrial bases, rising to 6th place in the country.

(2) The second industrial transformation: from general industry to high-tech industry transformation

Shenzhen in the early stage of industrialization, industrial layout there is the problem of hunger, especially "three to one to supplement the" brought about by the problem is more prominent. Mainly manifested in: First, the entire economic structure is relatively crude, low value-added products, low technological content and the positioning of the entire city and the long-term development goals are not commensurate; Secondly, a large number of "three to a complementary" the main form of processing trade enterprises crowded out the development of Shenzhen's space; Thirdly, a portion of the enterprise's products with low technological content, resource consumption, serious environmental pollution, and the development of Shenzhen's industrialization. Third, some enterprises have low technology content, high resource consumption and serious environmental pollution, which is not conducive to the sustainable development of Shenzhen; fourth, Shenzhen's rural economy is overly dependent on the "three to one complementary", and has lost the opportunity to establish an own, independent, self-managed economic system, and the development of the private economy is not only lagging behind the Wenzhou area, but also lagging behind the other areas of the Pearl River Delta; and fifth The autonomy and initiative of the "three to one complementary" enterprises in the foreign business, it is difficult to prevent the risk of the international market.

The above problems have caused the Shenzhen municipal party committee and the government attaches great importance to, in particular, the mayor of the new mayor Li Youwei is the main industrial restructuring and upgrading, to limit the development of the "three to a complementary". 1993 the end of the year, Shenzhen City, the introduction of an adjustment of the industrial structure of the document. The document stipulates that the suspension of registration of new "three to a complementary" enterprises, the Special Administrative Region has been run by the "three to a complementary" processing industry, belonging to the pollution of the environment, to be resolutely moved away. Another 90 square kilometers of land outside the Special Administrative Region, built a large industrial zone (now Pingshan New District). Once the policy, Hong Kong-funded enterprises were in an uproar, a large number of "three to one complementary" enterprises and "three-funded enterprises" have to move out of town. This process has continued until the beginning of this century. According to statistics, as of 2008, Shenzhen has been the overall relocation of industrial enterprises above designated size 599, involving 10 industrial sectors, involving a total industrial output value of 10.8 billion yuan.

It is generally believed that Shenzhen really implement the second industrial transformation and upgrading and high-profile proposed the development of high-tech industries, is around 1995, contributing to the transformation of both from the economic development of the predicament, but also partly from the outside world's questioning. 1995, the domestic occurrence of the second major debate on the Shenzhen Special Administrative Region. On one side of the debate was the then Secretary of the Shenzhen Municipal Party Committee, Li Youwei, and on the other side of the debate was Dr. Hu Angang, who was known as the "Scholar of National Condition". The cause of the debate was Dr. Hu Angang's article on whether the Special Administrative Region (SAR) should continue to be a Special Administrative Region (SAR). The central argument of the article is that the SAR is not special because of the special preferential policies of the state and the special support of the whole country, but because of the innovation of the SAR itself. Who is right and who is wrong, can not make an accurate judgment, but one thing can be sure, this question about the SAR, is to the Shenzhen Special Administrative Region of the alarm, conducive to the adjustment of the development strategy and work ideas.

It is in this context that the Shenzhen Municipal Party Committee and the municipal government put forward a high-profile slogan of the second venture in Shenzhen. 1995, Shenzhen promulgated the "Decision on Promoting the Progress of Science and Technology", and in 1997, Shenzhen introduced the "Shenzhen Hi-Tech Industrial Park Development Plan Outline", and in 1998, Shenzhen formulated the "Several Provisions for the Further Support of Hi-tech Industry Development" (referred to as 22 Provisions). In 1998, Shenzhen formulated "Several Provisions on Further Supporting the Development of High-tech Industries" (referred to as 22 articles). This is the first time that Shenzhen has completed the policy layout of industrial transformation and upgrading.

After a few years, Shenzhen's second industrial transformation has begun to bear fruit.

First, the transformation and upgrading of processing trade, processing trade has been initially realized by the labor-intensive industries to capital- and technology-intensive industries, the proportion of high-tech products, mainly electronic information products, reached 57.7%, the proportion of traditional labor-intensive products fell to less than 12%; the second is that a large number of high-energy-consuming, high-polluting, low-value-added enterprises were eliminated. The original layout in Shenzhen Nantou, Shekou and the eastern seaboard of the printing and dyeing factories, textile factories, etc. Some shut down, some relocation, some transfer; Third, the rise of a large number of high-tech industries, such as optoelectronics and mechatronics, electronic information, bio-engineering, pharmaceuticals, new materials industry inside and outside of Guanzhou, Shenzhen, the first pillar industries; Fourth, the logistics industry is rapidly developing into the country's only city with sea, land, air and sea ports, port container throughput in the national rankings of the city. Port container throughput in the national rankings jumped year after year until 2005, ranked the world's fourth container port.

(3) The third industrial transformation: high-tech industry and modern service industry together

The motive of the transformation of Shenzhen's tertiary industry comes from two aspects: one side is the government's initiative, trying to adjust to the further development of high-tech industry on the basis of the first engine of economic growth from the industry to modern services, and efforts to promote the development of high-end service industries, such as finance, exhibition, creativity, culture, and so on. The development of high-end service industries such as finance, convention and exhibition, creativity, culture and so on. To this end, Shenzhen has introduced a series of policies and regulations. 2005, Shenzhen introduced the Implementation Plan for Industrial Restructuring, which raised the environmental protection threshold for enterprises to enter. In the same year, Shenzhen also introduced the "2005-2010 Shenzhen Cultural Industry Development Plan Outline", for the first time explicitly put forward the cultural industry as the fourth pillar industry. 2007 January, Shenzhen City issued "on accelerating the development of high-end service industries in the city of a number of opinions", this document is also considered to be the mobilizing order for Shenzhen to modern service industry. This document is also regarded as a mobilization order for Shenzhen to march into the modern service industry.

On the other hand, a large number of "three to one complementary" enterprises "three-funded enterprises", due to the deterioration of the living environment, took the initiative to move out of the formation of another wave of relocation after 1993, has been and will continue to affect the total economic output of Shenzhen. Foreign-funded enterprises relocated mainly due to the following reasons: First, a serious shortage of land, the expansion of enterprises affected; Second, the policy advantage of the weakening of the state adjusted the processing trade policy, reduce the export tax rebate rate, and cancel some of the high energy consumption, high pollution, resource products, and contraction of the tax rebate, credit, etc.; Third, the narrowing of the profit margins, labor wages, rising land costs, rising prices of raw materials, industrial water, electricity prices, and so on. Industrial water, electricity prices and so on. From the route of relocation, part of the move to Dongguan, Huizhou, as well as out of the province of Hunan, Hubei, Guangxi, etc.; there is also a part of the enterprise to Vietnam, Bangladesh, India and other lower production costs, access to the system is more lenient to the transfer of countries and regions.

It is the above two factors, contributed to the third industrial transformation of Shenzhen. According to Shenzhen, the third industrial transformation, is to achieve five major changes: First, the realization of industrial development of the core elements of the material resources to soft resources change; Second, the secondary industry from the labor-intensive to the transformation of advanced manufacturing; Third, the industrial structure of the industry-led to the transformation of the service sector-led; Fourth, the tertiary industry from the traditional service industry to high-end service industry change; Fifth, the power of economic growth from the traditional industries to high-end The third is the transformation of the industrial structure from industry-led to service-led.

At present, this transformation is still continuing, but has been the first signs. Futian District, for example, in recent years, Futian District in the transition to explore three modes: namely: "industrial to commercial mode", "industrial to industrial mode", "industrial to cultural mode". The first is the "industrial to commercial" mode represented by Huaqiang North Commercial Street, which has developed Huaqiang North from a mixed industrial and commercial area mainly for the production and sale of electronic products into the first electronic street in China; the second is the "industrial to industrial" mode represented by the Shangsha Innovation and Technology Park, which has transformed 16 buildings of "three to one" into the "industrial to commercial" mode. Three to a complement" of the overall transformation of the factory buildings, the original low-end processing and manufacturing park into a science and technology innovation park, where dozens of communications, networks and other high-tech R & D enterprises, annual output value than before the transformation of a 17.25-fold increase; third is the Tianmian Creative Industry Park as a representative of the The third is the Tianmian Creative Industrial Park, represented by the "industrial to cultural" model, which transforms the original industrial area of automobile repair and service production into a cultural and creative industrial park integrating industrial design, graphic design and space design. Today, in Futian CBD, there are 124 R&D centers, purchasing centers or branches of 75 Fortune 500 companies, 80% of venture capital organizations, 65% of securities offices, 94% of fund companies, 84% of insurance organizations, and more than 100 business and regional headquarters of various financial institutions in Shenzhen.