Why Enterprises Move In Development Zone?

China’s Development Zone is not only a product of the reform and opening up, but also a promoter of reform and opening up. Development Zone has made outstanding contributions for China’s economic construction, Such as attracting a lot of money, advanced technology, talents and management experience. Development Zone has become a new force of opening up and a new growth pole of regional economic, and found a new way of urbanization and industrialization with Chinese characteristics. Development Zone’s construction made remarkable achievements, but also need improved in some issues. The Development zone can’t develop without enterprise’support, So attracting investing at the beginning of the Development Zone’s construction and selecting investment during its development are very important. The advantages of the preferential policies and industrial agglomeration provided by Development Zone have become the focal point to attract enterprises to enter. Clear the attractive conditions and policies to enterprises by Development Zone has great significance for the Development Zone’s development. This paper described the concept, types, development, effectiveness of Development Zone, Also summed up the theoretical study of domestic and foreign scholars. Preferential policies and industrial agglomeration advantages as competing hypotheses have been also summed up in this paper. On this basis, an empirical analysis model has been built, then listed company data to validate the model, found the tax saving level of enterprises which lie in Development Zone is higher than other enterprises obviously, obtained a conclusion of tax incentives can bring tax saving utility, which can attract the attention of enterprises to move in Development Zone. But enterprises in the debt financing didn’t get corresponding convenience with the industrial agglomeration advantages. According to the conclusions, the corresponding recommendations to improve preferential policies, service quality, and the investment environment has been referred in this paper, Also hope play a certain guiding significance to the construction and development of the China Development Zone.