Study On Shanghai LED Industry Upgrading Under The Condition Of Global Value Chain

In the Global Production Network, different value sections in the Global Value Chain are distributed in the different countries and region. The high value sections are always in the developed countries and regions, and the low value sections are in the developing ones. In addition, leaders in the developed countries and regions set controls to the company in developing countries and regions to prevent industry from upgrading. In the end of 20th century, Global Value Chain theory appeared and provided a new point of view to do research on the industry upgrading of developing countries and regions. LED industry as a branch of photoelectron industry and the new generation of green high tech industry, has huge marketing aspect and social value. Guided by Global Value Chain and industry upgrading theory, referring on Taiwan LED industry upgrading, the thesis dissertates the value distributing, the global distributing and the governance of the LED industry value chain and takes an analysis on condition, path, manner and measures of shanghai LED industry upgrading.The thesis considers that the section of LED chips brand and technology is the high value of LED industry and is handled in Japan, America and Germany, the section of LED chips production is the middle value of LED industry and is handled in Taiwan and Korea. The section of LED chips encapsulation is the low value of LED industry, the LED chips encapsulation of high tech is handled in Taiwan and low tech is handle in Mainland. The global LED value chain is controlled by leaders having core tech in Japan, America and Germany.LED chips production and LED application sections of Shanghai LED industry are comparatively strong, and LED chips encapsulation is weak. In general, the big mainland marketing and the supporting of IC industry are the superiority for shanghai LED industry. Short of core tech and person of high tech, as well as capital marketing and conformity of innovation resource are the weakness of shanghai LED industry. The shifting of LED chips production industry from developed countries to developing countries provides good opportunity to shanghai LED industry. The drastic competition between LED industry cities is the challenge to shanghai LED industry.The author thinks that shanghai LED industry upgrading should go ahead by 2 step. The first step is embedding in the Global Value Chain to achieve process upgrading and product upgrading, and the second step is making shanghai LED industry upgrading along Global Value Chain to achieve function upgrading. According to the path, theauthor put forward the measures of shanghai LED industry upgrading, such as introduce high-tech company into shanghai, associating strong company together, increasing government support, extending financing channel, introducing and bringing up splendid professional.