A Study On International Purchase And Wuhan's Manufacturing Upgrading

As one of the important industrial base in China, Wuhan's manufacturing industry development level is inferior to the eastern coastal regions. The enlargement foreign capital participates degree is very significant for promoting the manufacturing industry in Wuhan. Under the globalization, more and more multinational companies(MNC) choice international purchasing as a effective methods to satisfy their production demand, which is a part of the assignment in their supply chain management. The following theories relate to the international purchasing and industry upgrading: industrial upgrading theories, industry cluster theories, traditional international trade theories, outsourcing theories,value chain theories and supply chain management theories .In one hand, manufacturing industry development in Wuhan have such features: high and new technique industry and traditional industry developing synchronously, industrial comprehensive being junior to the other midwest cities in China, all of them extend export and raise the city GDP level. To the MNC, on the other hand , MNC have made their own standards and strategic method in choosing and management the multinational suppliers according to the consideration of global value chain. In line with the investigation of the manufacturing industry development and the analysis of the MNCs'purpose of international purchasing, it can believe that the manufacturing industry in Wuhan associations with the MNCs'multinational purchasing. In other words, it is necessary and probably that manufacturing industry upgrading in Wuhan can resort to multinational purchasing in practice. Being facing with the various disadvantage in this process, it should put forward some counterplan suggestion, which includes establishing industry cluster special logistics markets, having respect to the intellectual property, attending to the brand management and international marketing , building manufacturing industry base in Wuhan.