The general advantages and disadvantages are listed below, however, the actual advantages and disadvantages of establishing a factory in an industrial complex or another location vary for each company.
Individual Location | Industrial Complex | |
Advantages | · Free choice of time, location and size of the factory · Purchase of farm or forest land at a cheap price | · Industrial complexes are systematically planned by the government with various financial and tax benefits such as: – Loan and fund – Exemption from acquisition tax and registration tax – 50% reduction of property tax and comprehensive land tax (within five years of initial acquisition) · Extensive infrastructure and other |
Dis- advantages | · Complicated process to purchase land and get approval for factory establishment · Weak industrial infrastructure (electricity, water irrigation, harbor, roads, etc.) · Not enough educational or cultural facilities · Subject to various fees and payments · Civil petitions | · It is difficult to find adequate factories when needed, because they are usually sold first before occupation · It is difficult to find factories in the desired locations, because the factory site locations are fixed and dispersed throughout the country · The locations are usually only a section of land so that it is difficult to expand the factory after moving in · Generally, the price for the industrial complex is fairly expensive. |