By transforming from an electronics shopping mall into a high-tech hub, the Dinghao Plaza (center) will play an increasingly important role in the Zhongguancun area in the years to come. Provided to China Daily

Once infamous electronics market Dinghao gets facelift

The operators of the renowned Dinghao electronic market in Zhongguancun are looking to shed its reputation for vicious competition, large crowds, dishonest vendors and untidy stores.

Dinghao is one of the three iconic electronic product shopping malls in western area of Beijing's Zhongguancun, the nation's leading innovation area.

Opened in 2003, Dinghao Plaza grew steadily over the ensuing decade and by 2012, it was home to more 800 businesses and shops.

The lack of high-quality working staff caused an increasing number of complaints from customers about service and the large passenger flow also put pressure on nearby transportation and infrastructures.

But, the situation is changing.

With financial aid and policy support from the Haidian district government, the Dinghao management team cleared some 180 electronic product stores that cover an area of nearly 32,000 square meters, 58 percent of the total area.

Instead, they introduced 162 high-tech companies and startups such as Innovation Works, Tsinghua Science Park and China International Technology Transformation Center.

The number of employees has been reduced by 61 percent, but the quality is improving, with more professionals and well-educated people joining in the team.

The growing trend is part of an effort by the Haidian district government to move some small electronic product stores out of the western part of Zhongguancun to change the area's reputation as a major electronic market and transform it into a hub for high technology and financial services.

The government started the initiative in 2009.

A difficult beginning

The change was very difficult and even "heartbreaking" at the beginning, said Na Shuyuan, deputy general manager of the Dinghao Plaza, who recalled that some store owners cried and begged her to stay when they were negotiating the relocation of the shops.

"They have deep feelings for this building," Na said. "Many store owners had run their businesses since the establishment of Dinghao and did not quite understand the necessity of the industrial transformation, so they were very sad, even though we had found another place for them."

The Dinghao management team also suffered from economic losses and increased management costs, but "such pains are what we must handle because we know that it is time to change," Na said.

The advantages are also obvious, she added.

"We now have a better working environment, and the social status of Dinghao is also improved," she said.

Dinghao is an epitome of the western area of Zhongguancun, the local officials say.