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Study On Industrial Cluster And The Development Of Industrial Park Of Taiwan

Posted on:2008-03-11Degree:DoctorType:Dissertation
Country:ChinaCandidate:L Z GanFull Text:PDF
GTID:1119360215953118Subject:Political economy
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The Industry Cluster and the industry park have been discussed since 1920s which appeared the externalities of localization raised by A. Marshall and A. Weber's "Theory of the Location of Industry" in 1929. Agglomeration economy refers to centralize external economic activities in the same regional area, and generates the benefits and contribution to firms, industry and as well as the whole economy. To search the sources of those benefits and contribution there have several different theories, such as theories of growth pole initiated by F. Perroux in 1950, Castells' network organization (1989) and Krugman's economic geography(1991), and etc.Taiwan is highly dependant on foreign trade, thus with constraints in international environment as well as the conditions of island itself, Taiwan has a hard time expanding its economic activities outwardly. This also forces Taiwanese businessmen to conceal their strength, while adapting to the role of "invisible elbow", connecting the key transnational buyers and the suppliers of lower production cost from peripheral areas. During the long time negotiations and relationships with foreign core MNE buyers, Taiwanese businessmen have already earned the "trust" of such buyers, thus becoming acting the role of axis center of "trust-mediated" and "semi-periphery areas". In the process of "OEM/ODM" negotiations in the global production and logistic network, Taiwan plays an integral yet mobile "elbow", in the mean time it develops an unique "Elbow Economy", sustaining economic growth and development.Agglomeration economy refers to centralize external economic and other related activities in the same regional area, thus creating a more harmonized and communicative structural economic framework. Industry cluster, on the other hand, refers to the concentration of various industries and their economic activities into one geographical area. The best area for industry's development and technological innovation is the area that most of developing industries are located. This area must be highly communicative and easily transported. In the industrial innovation study process, the best area should be the area participates in the innovation enterprise centralization distribution, and close contact and easy to facilitate. The advantages of the close geography space of the manufacturer and the thorough relationship network are built on the high "coordination intensive". The main essential foundation is the integration and the trust of the industrial high division of labour and the inseparably close of the production chain. Taiwan industrial parks are aimed to upgrade industry structure. They attract and gather manufacturers for the cluster effect. Also bring out comprehensive economic development of Taiwan, and the advantages of competition. In an ever complicated globalization competition as well as a knowledge-oriented economic dynamism, industry cluster as a strategy of economic development will help enhance the regional competition edge. So, the effect of regional cluster for the manufacturers' efficiency will be the main point of this study.The development of Taiwan industrial parks is to promote and upgrade the industry structure, the massive centralization of the manufactures in order to create the benefits of the industry agglomeration and also bring the competitive advantages internationally. It is a discussion topic whether the regionalized cluster or not will affect the "efficiency" of the company performance.Based on the theory of industry cluster and global logistics, agglomeration economy means the scale of economy, in which external economics associates with regional economic activity, as well as common area positioning of mutually associated manufacturers. Industry cluster also indicates the gathering in space of every industry and its economic activities. As a result, the arguments of technological externalities, knowledge spillover effect, and increasing marginal return have received the attention of the researchers in this subject. The best regions of industrial innovation learning process should be the regions where the innovation participants gather, well associate with each other and readily conduct the exchange of viewpoints. The benefits of near geographic space and close relation network are basically the prerequisites for building high coordination intensive of industry, as well as an important basis for industry's intensive division and production chain. Intensive division and mutual trust are the important factors of the structure of Taiwan production system. Every production chain is composed as a "community of life". The existence and development of leaded manufacturers affect those of their supporting firms. They imitate the "Global Logistics" strategy of international and regional division of labor and utilize their specialized ability of the enterprise and the individual to form a highly division of labor and the interdependent system. Through the competitive advantages of the supplement of each other and the cooperation, it reduces the operation cost, the environment risk, increase the management elasticity, therefore to obtain the competitive advantage that it is hard to achieve by its own capability. They imitate MNE and utilize the management specialty to maintain and develop their domestic markets and expand to international markets. And is engaged in the overseas layout positively, causes it to transform into the international modernized multinational enterprise.Around 1987, the traditional industry began to move in groups into China on a larger scale. At mean time, faced with the Chinese policy of "import from and export to outside" Taiwanese businessmen are unable to use any kind of form to "embed" into the local social-economic network. As a result, Taiwanese investment areas appeared to be a peculiar cluster in the form of "export-oriented Taiwanese enclave economic zone". It was just like moving Taiwan's manufacture special zone to China. In recent year, in order for the high-tech industry to meet the rapid renewal of the product and the needs of controlling the competitive advantages, it unites in common effort to help the supporting manufacturer to locate close to the region of the technology core depot. This in term accelerates the manufacturer agglomeration.This research adopts "System Dynamics"to investigate the positive correlation of the structure of industrial park, the development and the mode of economy, and the changes of social networking. The result of this research reveals that, so far as personnel network is concerned, Hsin-Chu industrial park has enhanced average production capability of every employee in the park. As technology network is concerned, know-how has been accumulated, the level of technology has been improved, the competition edgy of the enterprises has been sharpened, and the business magnitude has been enlarged due to cooperation with the outside industries. As to capital network, it has been proved that the effect of industry cluster is good for the overall investment surroundings. The stronger the attraction of investment is, the stronger the capability of funding capital is. Enterprises' capability of innovation results in the growth of the number of new industries. As to marketing network, the more integrated the related supporting firms are, the more complete the vertical division becomes. The more specialized the industry is, the more advanced and the more professional the suppliers are. The bigger the magnitude of industry is, the stronger the effect of industry cluster becomes. Therefore the competition edge of products has been further sharpened. And also uses "Data Envelopment Analysis, DEA" to estimate the efficiency rating of the companies inside and outside the industrial park. The corporate fixed assets, costs, invisible assets, the number of employees, and taxes are defined to act as input variables, and corporate revenue acts as an output variable. Statistical method is used to measure the co-relationship between the input and output variables. Then DEA is used to evaluate the corporate efficiency. While using CCR model (CRS) of pre-production and BBC model (VRS), and the 2002-2005 financial reports of 30 listed optical-electronic manufacturers on the stock market have been submitted for proof, the result verifies that the effect of industry cluster exists. The result is the efficiency rating of the companies located inside the park is higher than those are outside, but the leading extend is shirking yearly.This paper also analyzes reference set and differential variance. The situations and frequency, in which decision making units, namely the manufacturers of efficiency frontier, are taken as reference by the inefficient manufacturers, and how the resources are used, both can serve not only as a standard of setting the goal, but also as a reference for the evaluated decision making units to understand their excessive input or insufficient output, and therefore do their best to improve their efficiency. As sensitivity is concerned, while comparing regional agglomeration with non-regional agglomeration, if the fixed assets are eliminated, sensitivity will be not high. If the costs and R$D expenditures are eliminated, sensitivity will be high. If the number of employees is lessened, sensitivity of regional agglomeration will be high, but sensitivity of non-regional agglomeration will be low, which shows that the need of specialists in the regional agglomeration is more earnest.The regional agglomeration will be helpful to the cost saving of trading, freight, and shipping. They are also effective to the timely support of the equipment suppliers. When Hsin-Chu industrial park was set up, R&D was the main mission but after it has transformed its main functional role of production. After long years, the conflict between economic development and sustainable development appears easily. Therefore, this research recommends that Hsin-Chu industrial park needs one more transformation and the integration with peripheral industrial resources for the strategic use, so as to create a more proper agglomeration mode to enhance its economic effect.This research discovers that due to the fact Taiwan is extremely lack of the natural resources, the instability of its political and society situation, plus the isolation of international surroundings. Taiwan businessmen act as an invisible elbow, construct Taiwan to become an elbow economy so as to survive and develop in the highly competitive international economic surroundings, the global logistics thinking of the Taiwan is the necessary path to take.
Keywords/Search Tags:Development
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