Potential Business to Be Developed within Free Trade Zone in Taiwan

Abstract

This study focuses on investigating the promotion of free trade zone in Taiwan and what kind of business is full of potential to be developed within the zone. It begins with a brief introduction to the development of free port plan. Then, the responses from private enterprises are explored. Some potential business paradigm which can be developed within the free trade zone also will be discussed. An empirical study is conducted to further understand the business development within those existing free trade zones. Finally, some conclusions are presented. Results show that (1) “repairing and processing” has been evaluated as having the highest potentiality to be developed, which followed by “trading”, “logistics”, “sorting”, “warehousing”, “packaging”, and “assembling”; however, “displaying” of products has been evaluated as the business with least potentiality to be developed in FTZs; (2) almost all the non-FTZ businesses have been considered as lacking potentiality and “hotel”, “catering” and “transshipment services” are characterized as impossible developing items; (3) “regional hub/distribution center” and “regional service/repair center” have been evaluated as having higher degree of potentiality to be developed; nevertheless, “regional auction center” is with lowest potentiality.