Tai: China still lags behind us in terms of management of the science park in spite of cheap labor.
Take the rent or public facilities for example. Company executives will be informed clearly about a hike, or a reduction. Everything has been clearly regulated. But, in China, a reshuffle in local governments can undo every effort those companies have made when the former heads were in charge. And I don't think such a quick change will make China a competitor for us, despite the cheap labor.
Our major competitor is Hsinchu Science Industrial Park. Because Taiwan's Silicon Valley has all kinds of advantages including a strong industrial cluster effect, high-quality manpower, better living environment and a one-hour ride to Taipei.
That's why some companies prefer Hsinchu over Tainan. They choose to wait in line for a vacancy, or to rent remote land in the park.
So, we believe if we can improve Tainan's environment, we can compete with Hsinchu.
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