The Connotation Of Industrial Development And Countermeasures Of Sanzao Town

How could a nation, a district, an enterprise formulate and sustain its competitive edge and maintain its sustainable economic growth have been the core issues in economics and management for quite a long time. For instance, the school of market structure which is represented by Michael Porter leads industry advantage into theory of competitive strategy, which states that the success of a company is not only depends on its competitive edge,but also on the industry advantage. Moreover, the formulation of industry advantage rests upon four factors of production factors, market demand, related and supportive industry, corporate strategy and competitive structure in market which are called"Michael Porter Diamond Model", and argues that national competition and industry development include four stages, i.e. factor-driven, investment-driven, innovation-driven, wealth-driven. The analyses of industry development raised by Michael Porter exploit the field of vision about the law of studying industry development, and are enlightened in how could we formulate industry competitive advantage at different stages of economic development. It is worth noting that the theory raised by Porter is based on western market economy, and focuses on the role of market mechanism in formulating industry advantage, whereas, it ignores the active role of government, and it does not explore the active role of enterprise. Professor Lin Shanlang and Wu Zhaoguang explore that how our nation could cultivate and advance international competitiveness in industry and core competitiveness of the corporate, and improve the environments, ways and methods needed, and concentrate on solving the new cases and problems in reality.Professor Yin Jidong and Chen Fei who work in Management School of Nan Chang University argue that industrializing development process includes three stages: primary stage, intermediate stage, mature stage. They indicate that six provinces in the central part of our nation are going through the intermediate stage of industrializing development process in accordance with the data analysis, moreover, present principle strategy about achieving industry renascence in central part of our nation. These strategies are worth learning to Sanzao town at the present.The economic development in Sanzao Town is going through a transition phase from investment-driven to innovation-driven according to the theory raised by Michael Porter. In accordance with the characterization of Sanzao Town , for one thing, we should keep on attracting major projects and leading projects and increase total economic output, develop industry cluster edge and speed up upgrading industries, on the other hand, we should give full scope to the functions of government, and unveil related policy, change ideas, lead and support enterprises to tap potential and upgrade technology and make them bigger and stronger, so that we could render economic growth of companies and the local sustainable during this period.In terms of contents, this paper is divided into five sections. In chapter one, this paper mainly introduces the research background and its current significance, and presents the phase of economic development which Sanzao Town went through and the significance of economic connotation development advancing economic growth and the importance of industry connotation development in Sanzao Town according to the characterization of this town and the theory raised by Michael Porter and the research findings of Professor Yin Jidong and Chen Fei and viewpoint of Professor Lin Shanlang and Wu Zhaoguang. In chapter two, it studies the potential of industry connotation development in Sanzao Town at large from four sections of land resources, property resources, enterprise resources, government resources. In chapter three, this paper summarizes three edge directions of industry connotation development which adapted to Sanzao Town with regard to the characterization of the Town based on the research findings mentioned above, namely, we should exploit development resources in development areas, explore industry clustering, cultivate key enterprise. In chapter four, subsequently, it studies the concrete industry connotation development strategies of Sanzao Town according to the conclusions from the chapter above, which mainly consists of advancing technology level, implementing project of supporting minor enterprises, innovating mechanism and ideas in the distribution of resources.The results in this paper lie in the following statements:1. Connotation development, clustering development is the pressing need of putting the scientific development into effect, whereas, some local government is not enough to pay attention to them, the reasons lie in many sections. The dominant position of local governments in economy development and benefits tremendously arouses the enthusiasm among local governments in developing local economy and improving accomplishment against background of our economic transition system, so that they merely pursue the apparent achievements and therefore ignore the potential accomplishments.2. The directions of economic development among all parts of our country lie basically in rapid development, great-leap-forward development, catch-up development, surpassing development. They are simply understood as speeding up, advancing total output, striving to keep up with each other in output value and GDP, therefore, extension expand is the utmost approach. Extension expand in Sanzao Town is not so much excessive as deficient. The industry development of Sanzao Town remains stagnant almost as a result of some restricts and starting late during the decades from economic reform to great western development.3. The extended development in Dongguan, Zhongshan, Bao'an have been implemented for more than two decades, in comparison, ours have been fulfilled for more than decade. Things have changed, we are bound to alter the way of developing economy against background of adjusting development guidelines and economic policies by central government. Therefore, we should vacate certain times, energy, resources to search for new chance in economy in form of connotation development while keep on implementing extended development. According to newspaper reports, the output per square kilometer is 1500,000,000 RMB in a industry area called Xing Qing which located in Zhuhai. Certainly, an especially large enterprise called Chuang Wei Li mainly contribute to the output. The total output of Sanzao Town will be 90000,000,000 RMB if we effectively implement connotation development and so that our output per square kilometer can be sixty percent of that of Xing Qing.4. We need to take a long-term view and maintain stable and faster economic growth. What's more, we need to take international financial crisis as an important opportunity to adjust the structure and promote transformation.5. The fields with the most basic and the favorable factors should be selected to break through those core and key technologies. Nine fields have been identified as key gap, they are aviation industry, new energy, new energy vehicles, major advanced equipment, electronics manufacturing, oceanographic engineering, new materials, soft ware and information services.6. We should develop high-tech oriented advanced manufacturing, form innovation-driven development model, and adjust the relationship between the secondary and the tertiary industry in order to form industrial structure based on the service economy.