Role of Existing Industrial Parks
Established industrial parks often compete directly with new developments by offering ready-to-use facilities, better services, and proven infrastructure. Their presence affects land demand, pricing, and occupancy rates in nearby areas.
- Attract industries due to developed infrastructure
- Offer plug-and-play options that reduce setup time
- May provide access to clusters of suppliers or customers
Competitive Advantages They Hold
Well-established parks may already have logistics links, power, water, and compliance systems in place, making them more appealing for industries looking for fast setup.
- Better location and transport connectivity
- Subsidized or bulk utility pricing in older parks
- Availability of skilled labor and ecosystem support
- Government partnerships or SEZ benefits in some zones
Competitive Pressure on New Projects
New developments must compete by offering cost advantages, modern facilities, or incentives to attract industries away from existing parks.
- Must overcome trust built by older parks
- May need to lower land rates or offer flexible terms
- Delays in infrastructure readiness can slow absorption
Market Impact
High competition from successful industrial parks may reduce land absorption in nearby undeveloped zones. However, growing demand often expands the market and creates room for new entrants.
- Strong competition can drive innovation in services
- Helps buyers negotiate better terms
- Encourages developers to improve layout, utilities, and facilities