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Nanao, Yilan, Mountain and Sea ¡V Hometown Industries  
Location: Nanao, Yilan County, Taiwan
Local Characteristics: Tourist and leisure industry, Atayal Tribal knitting and weaving industry

1. Descriptions of Industry Characteristics
Nanao was famous though the movie Sayun's Bell during the Japanese colonial period. The convenience of the old Suhua Highway and the Northern Circuit Railway, the mass production of nearby factories and the frequent transportation of locally quarried gravel and ore once made this tribe with ocean and hills at its feet and resonant singing lose its cultural vitality. Due to the opening up of highways, visitors are now able to move closer to Nanao more easily, experience the abundant local ecology, recollect the Atayal spirit. In addition, the magnificent scenery of the Suhua Highway and alliances amongst businesses have become an excellent tourist resource of the new Nanao; a Shangri-la returning to spring.

2. Origins of the Guidance Project
Nanao was originally the source of the Atayal Tribe. Besides indigenous culture, it also has abundant local industries and natural resources. Lately, Nanao has experienced a greater number of visitors due to promotion by the local government, community organizations and small community businesses. However, the local industry businesses and leisure industries are incapable of devising effective strategies to respond to the changes in the external environment, making the service quality of such industries seem lacking, which disadvantages their continuous development. This project hopes to assist Nanao in developing local industries.

3. Guidance Strategies
The Small and Medium Enterprise Administration of the Ministry of Economic Affairs hopes to develop joint economic benefits for the community and forge Atayal local cultural industries in Yilan through strategic alliance based on the concept of ¡§Nanao; Mountain and Sea ¡V Hometown Shangri-la¡¨ to promote the local development of Nanao. Nanao Town has already set up a tourist service center to offer tourist services and to provide information of knitting and weaving workshops, B&B accommodations, restaurants and unique itineraries. The service center also has guides and DIY knitting activities that are suitable for all walks of life to conduct touring activities, field trip and industry learning.

4. Guidance Focus
This is a 2-year project. The first year (2005) involves an ¡§Establishment and Operation Stage¡¨ to strengthen the setup of an industry tourism structure and integrate industry resources. The second year involves an ¡§Intensified Development Stage¡¨ (2006) focusing on a comprehensive tourist structure and developing the tourism industry. The guidance project includes:

1. Convening industry development symposiums: including ¡§Guidance Project Conference¡¨ and ¡§Industry Development Symposium¡¨.
2. Enterprise operational diagnosis and model guidance: Hold community small business guidance and model business guidance.
3. HR training and domestic and overseas benchmark case studies: Hold HR training courses, benchmark case emulation and study, foreign local industry emulation and study activities.
4. Product planning and package design: complete the planning of ¡§Nanao Ecological and Local Tour¡¨ itinerary, making of product packaging design ¡V handbags.
5. Internet integrated marketing, inviting 30 businesses to participate.
6. Joint industry promotion: printing Chinese and English guide pamphlet, attending the 13th annual Taipei International Tourist Exhibition.
7. Setting up a ¡§Local Ecological Tour of Nanao¡¨.
8. Attending the ¡§Joint promotion of locally-unique industries¡¨.

5. Guidance Results and Benefits
1. Assist Nanao tourist industry in organizing the ¡§Nanao Tourist Industry Association¡¨ and guided the association to normal operation and development while forming an organizational partnership with the Yilan County Aboriginal Strategic Alliance Association, allowing Nanao to catch up with the overall tourist development of Yilan and form a basis for continuous development and realization of the formation of the vision of ¡§Nanao; Mountain and Sea ¡V Hometown Shangri-la-unique industries¡¨.
2. Average revenue of small community businesses (sales) grew by 15%, customers increased by15%, increase and maintain the number of employees at 28 (2 people per business, fourteen small community businesses).
3. Hold industry-upgrade related educational and training courses and domestic and overseas industry studying activities, as important annual upgrade activities of businesses.
4. Increase and maintain total industry value, worth approximately NTD 8 million.
5. Guide seven model businesses for others to learn from.
6. Issue ¡§Nanao Tourism ¡V Booklet of the Beauty of the Hometown Ecology¡¨ and effectively combine Nanao-unique industries and tours of the Nanao ecology.