Regional Industrial Competitiveness Study

AbstractDuring the period of the Tenth Five-year Plan, the Chinese industrialdevelopment situations at home and abroad have changed fundamentally. Thetrends of economic globalization, technological revolution and worldwideindustrial structure adjustment are obviously strengthened as the changingcharacteristics of international situations. International competition becomes moreviolent. These will influence Chinese industrial development greatly. Contributingto the reforms, openness and development in the past 20 years, China's socialproductivity and living standard have stridden a big step. China has entered into thesurplus economy stage. Economic system backgrounds, market competition trendsand openness environments have changed fhndamentally. Especially with China'sentry into the World Trade Organization, a high demand is imposed on Chineseindustrial development, which make Chinese industries change from high-speeddevelopment stage to competition one. How to study the Competitiveness ofRegional Industry (CR1) from the geographical aspect becomes an attention-worthproblem.Based on the research results of international competitiveness andCompetitiveness of Industry, the concept of CR1 is firstly advanced in this paperwith comparison of differences between CI and CR1. The comparative detailedanalysis on the factors affecting the CR1 is made with the adoption ofcore-periphery factor-analysis approach. The theoretical basis of CR1 is laid. Thispaper tries to evaluate CR1 from the aspects of potential competitiveness, currentcompetitiveness and the ability of adaptation. In the process of evaluation, theImproved Analytical Hierarchy Process (IAHP) and Contribution Function (CF)are advanced for the benefit of simplification of calculation. Then, in accordancewith Chinese characteristics, the case studies of Chinese CR1 at different levels aremade with the indication of disadvantages and then the advance of correspondingcountermeasures. These can offer references to the decision-makers for thecountermeasure making of CR1 improvement.This paper is organized in the following four parts.The first part is made up of basic concepts and theories. The current researchsituations of CR1 at home and abroad are introduced. The concept of CR1 is firstlyadvanced. The comparative detailed analyses of the CR1 affecting factors with theadoption of core-periphery factor-analysis approach are made and the basic theoriesare built. The developing process of CR1 is divided into four stages. Themethodology of CR1 evaluation is briefly introduced.The second part consists of valuation methods including evaluation principles,2evaluation index system and calculation methods. In accordance with Chinesecharacteristics, the principles of CR1 evaluation are proposed. According to theseprinciples, the evaluation system of CR1 is built. In the process of calculation, theconcepts of Improved Analytical Hierarchy Process (IAHP) and ContributionFunction (CF) are advanced for the benefit of simplification of calculation.The third part highlights case studies according to the evaluation system in thesecond part. The international competitiveness of Chinese industries, the CR1 ofdifferent provinces and districts in china, the CR1 of Jinan City and Qingdao Cityand the competitiveness of manufacturing of Changzhou City are studied. Theresults are analyzed with the indication of disadvantages affecting the Chinese CR1.The forth part draws together the findings of the study and poses thecorresponding countermeasures for the improvement of CR1.