For the new generation of entrepreneurs, especially those born in the 90s or even 00s, choosing a suitable city for starting a business is a question worth contemplating. For them, traditional first-tier cities like Beijing, Shanghai, and Guangzhou seem no longer to be their preferred stage due to Beijing’s seriousness, Shanghai’s arrogance, and the perpetual congestion of Guangzhou that deters them. Currently, the twin stars of domestic entrepreneurship are undoubtedly Shenzhen and Hangzhou, both of which provide a similar breeding ground for entrepreneurs.
Their common features include: lower costs (including living expenses, housing prices, rents, and labor costs), openness of the social atmosphere and the inclusive style of the locals, as well as a strong entrepreneurial climate and a rich “money-making culture,” making them the preferred environments for entrepreneurship in China.
In Shenzhen and Hangzhou, from the government level, one can feel an atmosphere that encourages entrepreneurship, the efficiency of government services, especially Hangzhou government’s stress on “one-visit sufficiency,” provides great convenience for doing business. Shenzhen, as a youthful city without deep-rooted local forces, reduces the complexity of dealing with institutional systems. In such environments, whether for new enterprises or sole proprietors, the threshold for doing business is comparatively low, with business opportunities everywhere.
If we make a detailed comparison between Hangzhou and Shenzhen, we can find that each has its own advantages and disadvantages. Hangzhou, as the center of e-commerce and internet traffic, has attracted countless individuals wishing to start an internet business to “punch in.” Jack Ma and Alibaba have had a profound impact on the city, which is now known for its unique traffic culture. However, the downside of Hangzhou is also apparent – industry homogeneity and fierce internal competition lead to a certain restlessness in the city and a lack of sustainable growth opportunities.
The Advantages and Limitations of Shenzhen
Shenzhen, known as the flagship city of socialism, nurtures numerous young people sustained by blood, sweat, and youth. It keeps pace with the Greater Bay Area and the West Coast Bay Area of the United States, enjoying the grace of the East Asian subtropical monsoon, and stands proudly among the cities of the world with its distinctive features.
However, behind such glory, it is not difficult to find Shenzhen’s major flaw: it seems not close enough to the ordinary consumer (to C). Shenzhen is hard like a “straight man,” filled with sunshine and lush greenery, yet it lacks the unique charm accumulated through historical depth. Guangzhou has the cultural roots and business atmosphere of the Cantonese region, Shanghai exudes the enchanting charm of Haipai culture, Hangzhou enjoys the leisure of the West Lake and the gentleness of Jiangnan, and Beijing carries the grandeur of an ancient capital thousands of years old.
Shenzhen still needs time to narrate her unique story. Despite its splendor as a modernized socialist flagship city, relying on the integration policy of the Guangdong-Hong Kong-Macao Greater Bay Area and the trend towards globalization, Shenzhen still shows a certain starkness. What exactly is the city’s cultural image? This characteristic of Shenzhen may be unique to her, but it might also be her only shortcoming. Invisibly, she lacks a certain heft to life, though this is merely a personal viewpoint.
Shenzhen, a wild frontier facing the world, teeming with possibilities, fun yet filled with challenges.
How to Choose a City for Entrepreneurship
For the post-millennial generation of entrepreneurs entering the internet domain today, Hangzhou is undoubtedly a fierce battleground. But for those yearning to venture overseas, in pursuit of pure challenges and tempering experience, Shenzhen is a crucible of sweat and blood. As for those wishing to immerse themselves in the profound depth of traditional culture and life, Beijing, Shanghai, Guangzhou, and a touch of Hangzhou, are all ideal choices.
With the rapid development of globalization, introverted individuals may be better suited to finding a vantage point overlooking the Chinese community, diving into observations of wealth creation, such as AI and cryptocurrencies, and witnessing the global rise and fall of changes. The Greater Bay Area, centered around Shenzhen and Hong Kong, along with the Southeast Asian region centered around Singapore, Bangkok, and Jakarta, forming a dual-base strategy, might be the optimal solution leading to success.
We encourage every individual to make the most suitable choice for themselves based on their circumstances and feelings, to pursue a life and future of their own.
