Research On The Evolution Of The Structure Of Product Space And Industry Upgrading

This paper is based on theoretical study of the domestic as well as foreignindustry upgrading that were reviewed with dynamic comparative advantage,product space structure, the latest research results of small-world networks theoryapplied to production and the analysis of industry upgrading. It also attempts toexplore the interaction mechanism of the evolution of the structure of product spaceand industry upgrading with the use of economics, management science andeconomic geography concepts and theories through further analysis of how productspace restructuring over the product and its efficiency to accelerate industryupgrading and the institute for theoretical conclusions. Empirical analysis applied tothe upgrading of the Northeast old industry base of equipment manufacturingindustry is made to promote the recommendations on region’s policy of the upgrade.Specific studies are as follows:Chapter1. Introduction, including the purpose and significance of the researchbackground, the content and other aspects of the method briefly. Meanwhile, thechapter also clarifies the general idea of the paper and research methodology. It is ageneral statement of research objectives of the paper as well as important concepts,research framework.Chapter2. This chapter proposed a general, analytical framework and atheoretical basis via combing the theory of industrial upgrading development context,which summarized the results of the various stages of research; This chapter alsotentatively explores the comparative advantages of the equipment manufacturingindustry competitiveness and possible sources through combining characteristics of the equipment manufacturing industry; equipment manufacturing industry in Chinaissued realistic characteristics and background of reform and opening exhibitionanchored around the research questions and research objectives.Chapter3. This chapter is the research on the measurement of the structure ofproduct space and small-world networks test. It is the main answer to the questionssuch as “what is the structure of product pace?”,“How to measure the impact theevolution of the structure of product space and with which factors?”,“How theevolution of product space has formed relationships with industry upgrading anddynamic comparative advantage industries?” and the use of small-world networksverify the small world features of the product space net.Chapter4. This chapter is the main research on the interaction mechanism ofproduct space structure evolution and the models selection of industry upgrading.This section is about the use of small-world networks and conditioned reflexanalysis methods, and the use of Revealed Comparative Advantage (RCA) index,the product space density, diversification capabilities and products jump, ProductComplexity (PRODY，EXPY) indicators neighboring matrix (PROXIMITY). Thesection also analyzes how the evolution of structure of product space decides thedirection of industry upgrading, revealing the evolution of the structure of productspace to achieve the necessary and sufficient conditions for industry upgrading. Italso discusses how to study the elements of self-discovery on the basis of theentrepreneur, through product space restructuring over the product to achieveindustry upgrading and dynamic comparative advantage，Competitive Advantage,from which reveals the interaction mechanism of the evolution of the structure ofproduct space and industry upgrading.Chapter5. This chapter is the conclusions of theoretical research for the studyof the Northeast equipment manufacturing industry upgrading, namely northeastequipment manufacturing industry upgrade path selection and cultivation industries. This part of the application of the theory the study concluded that, from theperspective of the evolution of the structure of product space，to build a path ofindustry upgrading election selection model, the use of the national economy HSIC(GB/4757-2002) two yards industry data empirical analysis and testing, revealingshadow product evolution from comparative advantage and industry competitivenessformation ring, whereby exploring Northeast China’s equipment manufacturingindustry to achieve industry upgrading path selection and competitive industries.Chapter6. This chapter is the conclusions and policy recommendations.Through a series of analysis and discussion of the foregoing, this sectionsummarizes research findings, and policy recommendations to promote Northeastequipment manufacturing effective upgrades. Especially at the national level asguided by industry policy, in particular how to play through orientation anddemonstration effect of the state economy, re-large based on common technologyresearch and development capabilities, the fundamental role of state investment toaccelerate significant comparative advantage to upgrade the evolution of productproliferation and the structure of product space, thereby improving the position inthe domestic industry division, achieve overall industry competitiveness upgrading;regional level, how to play the entrepreneur’s self-discovery based capabilities on thebasis, industry upgrading and reasonable planning, implementation, thereconstruction of the structure of product space, improve the core product spacestructure density, thereby accelerating industry upgrading.