China's Industrial Clusters In The Development Of The Role Of Government

Recent year, industrial cluster theory has aroused widely concern among the learners and governments domestic and abroad. While the problem that how to stimulate the development of industrial cluster and what kind of role should a government play is always the focus of the attention. During this process, two important aspects require emphasizing: First, how to understand the government behavior upon the industrial cluster. Second, how can a local or central government launch the proper and efficient policy to push forward the advancement of industrial cluster. This article is mainly based on different types of our country's industrial cluster and some detailed analysis on the positive or negative role of a government toward one industrial cluster at different stages.Generally, this essay is composed of five parts. In the first chapter, the definition, features, classification and some relevant theory such as 'cause theory' ' development theory' 'life cycle theory' are concerned.Of the second chapter, it introduces not only the different evolution of our country's industrial cluster but also the government function. Firstly, it illustrates the organic formation of industrial cluster, which refers to the process of picking out target region and the process of enterprises agglomeration and network externality. Secondly, the possible and mature social background which brings about our industrial cluster. This includes some necessary factors: system factor, historical and cultural factor, condition factor and demand factor etc. Thirdly, it shows three major types of industrial cluster. They are followed as: Italian-model; satellite-model; Wheel and axle-model. Fourthly, it introduces the successive development of industrial cluster. Fifthly accompanying development of industrial cluster, there are some remarkable variation of the government role. So it is certain that government behavior is flexible and changeable.The third chapter briefly introduces the application of industrial cluster policy. The policy goes as designing proposed, implement fulfilled and encouragement adopted. A government showed never regulate where and what to produce in some given occasion. Otherwise it would be dangerous. What is the most important function for a government is to provide an open space, fair competition and environment, convenient public services.In chapter four, through two typical cases to explain even the same industrial cluster will cause different results at different stages according to the diverse role of government. On the one hand, Italian-model industrial cluster is totally delivered by market, Competition system corresponded with industry correlation finally gave birth to a new life. Here, the function of the market was potential and powerful while the government was on the contrary. On the other hand, industrial cluster will never reach prosperity and stability without the guidance of government. If necessary, as the main part, the government can import something new to the cluster. Otherwise, the industrial cluster will deep into trouble of imitating each other, vicious competition called 'strange circle' and finally ended in death.The fifth chapter illustrates the role of our government in development of industrial cluster again.