Study Of The Dynamic Mechanism Of The Regional Industrial Clusters

With the development of economy, the same, similar and related enterprises gather in a certain place in the world to constitute a"community". The industrial cluster has become an important aspect of regional economics. This paper includes the connotation and features of regional industrial cluster based on it's dynamic mechanism. The inherent laws of success or failure of industrial cluster are summarized, that is dynamic mechanism is the key way of acquire and maintain competitive advantage from the domestic and foreign research. The dynamic mechanism of regional industrial cluster is divided into inner elements and external elements that build the framework of the mechanism. Taking Jining city as an example, it's dynamic mechanism is analyzed and the proposals for Jining city are put forward.The author referred to domestic and foreign document of economic geography, industrial economics, regional economics, strategic management and technological innovation and so on during writing the paper. Regional industrial cluster is a space structure that constitutes force elements such as scale economy, and a stable dynamic mechanism that produces innovations to maintain the competitive advantages for a long period. The management to regional industrial cluster is the adjustment for it's dynamic mechanism. The accurate control can effectively prolong the life cycle of regional industrial clusters that plays the useful role in promoting regional economy.Industrial cluster is a system, so systemic analysis is useful for dynamic mechanism. Inner elements include natural resources, transportation cost savings, the labor division, reduction of transaction costs, external economic, increasing returns, knowledge spillovers and innovative network. External elements include regional brand and clustering policy. Among the carriers of various elements, there are flows of information, technology, finance, talents, policy and the power which produce"combined effect"to form the stable dynamic mechanism. These carriers include the market, government, rooted effect, innovation, enterprise, intermedium, guild, financial institutions. This paper analyses the composition of the carrier, as well as the role of the clusters of dynamic load factor.Jining City has rich resources, which is the one of China's earliest industrial basements. After several decades, there is an obvious trend of cluster to develop a number of primary industrial cluster. At the same time, the government of Jining City attaches great attention to the development of industrial cluster. Therefore, this paper takes Jining City as a case to analyze dynamic mechanism of industrial cluster in Jining City. The advantages and disadvantages of industrial cluster in Jining City are summarized in this paper. At the end of the paper, the suggestions to industrial cluster are given from the life cycle, systematic, support system and rooted effect.This paper creates a framework of dynamic mechanism of regional industrial clusters. In conjunction with the framework, this paper analyses the driving force elements by the vector carrying. This paper analyses the specific circumstances of the carriers which are propitious to the development of industrial clusters in Jining City, and points out the problems to put forward proposals based on this analysis.