The importance of new enterprise location is shown in the following aspects.

The importance of location selection of new ventures is manifested in market proximity, talent recruitment and retention, and business environment.

1, near the market

Site selection can make new enterprises closer to the target market, which is conducive to the promotion and sales of products or services. Choosing a geographical location close to potential customers, partners or supply chains can reduce transportation costs and time costs and improve operational efficiency.

2, talent recruitment and retention

Site selection is very important for attracting and retaining outstanding talents. Choosing to set up enterprises in areas where talents gather can make it easier for enterprises to attract talents with relevant skills and experience. In addition, if you choose to start a business in a place with low cost of living or good educational and medical resources, it will also help to retain outstanding talents.

3. Business environment

Site selection will also be affected by local business environment and policies. Laws and regulations, tax policies and industrial policies in different regions may have an important impact on the development of enterprises. Factors such as government support, industry specialization and cooperation opportunities with other enterprises need to be considered when selecting the site.

Location strategy of new enterprises;

1, target market and customer base

The positioning strategy should consider the needs and characteristics of the target market and customer base. Knowing the geographical distribution, consumption habits, population size and other information of the target market, as well as the characteristics and preferences of the target customer group, is helpful to determine the best location. For example, if the target market is mainly located in a specific region, it is more competitive to set up enterprises near this region.

2. Business ecosystem and competitive environment

The location strategy needs to consider the business ecosystem and competitive environment. Choosing the areas where relevant industrial clusters or ecosystems have been formed is conducive to obtaining resources, enjoying industrial chains and innovating cooperation.

In addition, evaluate the distribution and scale of competitors, avoid setting up enterprises in areas with fierce competition, or choose places with a certain distance from competitors to reduce the pressure of direct competition.

3. Policy and resource support

The site selection strategy also needs to consider local policies and resource support. The government's policies and measures in economic development, industrial support, tax incentives, business incubators and technical support will all have an impact on the site selection. Choosing to start a business in an area supported by policies and resources will help reduce the risk of starting a business and gain more support and development opportunities.