Quasi-market Organization And The Cluster Economy

In this paper, we demonstrate the operating mechanism, administering structure and economic performance of industry cluster from the perspective of quasi-market organization. The so-called quasi-market organization refers to the market relationship in which the relationship at section level is embedded. Inside the industry cluster, the economy itself interacts with related firms at the market level, surpassing the property right and market relationship. What's more, to some extent, the economy is also involved into the manufacture process inside these related firms and plays a commanding, coordinating and participating role in a firm, a role only existing at the level of section. Therefore, industry cluster becomes a kind of intermediate organization between firm and market with both the characters of firm and market. It takes on the following characteristics: Firstly, in terms of efficiency, quasi-market organization combines the advantages of both planning in authoritative mechanism of firm organization and competing and efficiency in market -price mechanism; secondly, from the perspective of coordination and promotion mechanism, quasi-market organization can apply either the coordination style of market or that of firm. Therefore, it's comparatively more flexible and with less cost; thirdly, as to the evolution characteristic, with certain information , knowledge , time and space, quasi-market organization will be relatively stable. The basis for quasi-market organization to exist is the heterogeneity among firms rather than atomic homogeneity to which the neoclassicism is generally agreed.The essential administrating mode of quasi-market organization inside industry cluster is the crossing boundaries governance with vertical restraints, i.e. firms (up and down-trend firms) at different operating stages deal with each other through all kinds of apparent or recessive contracts, surpassing the simple linear pricing mechanism. Among the industry cluster, the core-firms with crucial resources in value chain or industry deal with the rest firms in controlling and commanding style. The firm's deal of substance is accompanied with the applying of administrating in cross firms, in addition to that, the over-crowding of decision, knowledge, informations administration to other firms inside the industry cluster are the administrative export and beyond-boundary administration towards its partners. It's the administrative export and beyond-boundary administrations that provide the firms inside...