Seven of the group have been recognized by the One Thousand Talents Plan, China's main talent attraction program, and have been awarded subsidies.

Zhu says the city is constantly reviewing its efforts and monitoring its progress.

"The city's desire and embrace of new technology may outshine even big international cities like Shanghai," he says.

The market for some of the group's photonic products has not formed yet, but the Zhangjiagang government has the courage to support them in the belief it will see a boom in three to five years, he says.

"I think the city sees the future and is preparing for it. When we took some microchips to other cities, their governments wouldn't support us, because of the risks, but Zhangjiagang isn't afraid of risk. It is keen on trying new things, even on offering loans or adopting technology to finance."

Peng Cheng, who returned from Silicon Valley with Zhu and also started his own company in Zhangjiagang, says the city, which won the UN Habitat Scroll of Honor Award in 2008, has impressed him with its scenery and comfortable living environment.

"Zhangjiagang is clean and beautiful and the city is also trying to make our lives more varied."

He says the city has built an exclusive club, where business can be conducted and customers entertained. Nearby is a cultural center and theater.

However, Marius Stuckenberger, general manager of German company Krempel Solar Material (Jiangsu) Co Ltd, says, generally speaking, it is not so difficult to bring talent to the city - the problem lies more in keeping it.

"Zhangjiagang is a very nice and clean city, but it cannot compete with Shanghai or even Suzhou in living convenience for expats," he says. "So many expats live in Zhangjiagang only for working and return on the weekend to their family back in Shanghai, or even Beijing."