Study On Industrial Performance Based On Life Cycle Theory

Guided by the life cycle theory, This paper probes the performance of industrial life cycle thoroughly. Firstly, this paper summarizes the related research results in the field of industrial performance at home and abroad and extracts the key influencing factors , namely, market structure, market conduct, the structure of property rights, and the spatial structure of industry cluster, On this basis, it analyzes how these factors work on industrial performance and how they change during the industrial life cycle; Secondly, the paper explores the related mechanism between performance and life cycle and puts forward some corresponding hypothesis; Finally, through empirical analysis, the study systematically demonstrates the trend of performance in each industrial life cycle stage; selects the following as indexes of the key factors: market concentration, R&D investment ratio of sales, the state-owned capital ratio, large enterprises total assets, Krugman index, measures these indicators' impact on performance and the diversity of factor's effects on performance in life cycle, and also , this paper uses simultaneous equations model to solve the endogenous factors, and estimates the model by Eviews software. Conclusions of this paper listed as follows:1.There are different performance in life-cylce stages , performance in infancy is worse than growing one, growing performance is better than mature one and mature performance is better than recession one. However, an obvious difference between infancy and recession. performance has not been found.2.There is a U-shaped relationship between market concentration and performance ; R&D has a positive impact on performance ; there is negative correlation between industry barriers and performance ; the state-owned property rights also have positive effects ; and it find that there is a inverted U-shaped relationship between industrial cluster and performance.3.Market concentration , R&D, industry barriers, industrial cluster and structure of property rights have different influence on performance in each stage of industrial life cycle .4.At the simultaneous equations model , the paper find that R&D investment has an impact on market concentration , and market concentration has a positive impact on performance and has a negative impact of R&D investment at the same time; structure of property rights only has a positive impact on performance ; industrial cluster have a positive impact on R&D investment, it doesn't directly impact on market concentration and performance ; industry barriers have a negative direct impact on performance ; market concentration have a diversity in each stage of the life cycle , but the diversity of performance in life cycle at simultaneous equations model hasn't been found.