"The western region is a key market for Siemens in China, offering great development potential under the nation's 'Western Development' strategy. The government has ambitious plans that call for the economic reconstruction of Western China," Xiong said.

He said that a favorable environment for innovation will be a very important factor in the ongoing improvement of the region's investment environment.

The priority for any enterprise to develop well in the region is to maintain advanced innovation capability, keep up with the local market and develop products and solutions that really meet the demands of local customers.

Better links

Chen Fu, deputy director-general of Chengdu Investment Promotion, a government agency, said that the city has markedly improved its infrastructure in recent years.

Greater Chengdu has a consumer market of 300 million people. It also has flights to a range of international cities, including London, Melbourne and Amsterdam.

The city last year opened a rail cargo link to Europe that connects the western region with Lodz, Poland, with a shorter transit time.

The municipal government late last year introduced the 72-hour visa-free services for the citizens of 51 countries, which "will provide competitive and convenient conditions for foreign travel traders to come to Sichuan to undertake investigations and project negotiations", according to Chen.

As of Dec 31, there were 252 companies from the Fortune Global 500 list doing business in Chengdu.

Foreign direct investment in the city surged 27.8 percent year-on-year to $9.86 billion in the January-November 2013 period, according to the municipal government.

China's western region has drawn increasing FDI in recent years. In 2013, FDI in the western region reached $10.6 billion, up 6.96 percent, compared with the national figure of 5.25 percent, according to the Ministry of Commerce.