The Analysis Of Competitive And Cooperative Relationships Between Regions

Regional development path, the speed and direction of regional development and the industrial structure of a region are not decided by a single regional itself, but decided by the development and changes of other areas which are closely related to that region. Regions distinguish themselves from others in the aspects of factor endowments, natural resources as well as regional positions. Regional heterogeneity makes regional actors use their comparative advantages to optimize the allocation of resources and maximize their utilities in the process of communicating and exchanging with other areas.This paper summarized the competition and cooperation between Chengdu and Chongqing, decomposed the economic growth in those to cities and found out their competitive advantages respectively. This paper analyzed the strategies of unifying Chengdu and Chongqing to achieve faster economic growth from the perspective of cost, profit and risk. And the paper also made suggestions about the development of those two regions based on that analysis.This paper firstly summarized related research done by predecessors about the analysis of the competition and cooperation relationship between different areas. Those researches provide a methodology basis for this paper. On the basis of previous studies, the author summarized the competition and cooperation between different areas in China, Then the competition and cooperative relationship between those two cities was summarized from the perspective of the history and current situation. The paper compared and contrasted those two areas in the four aspects of geographical position, city structure, economic development, strategic position.Then, the paper introduces shift-share analysis (SSM) to analyze the economic growth of those two areas. The analysis shows that in the economic development of Chengdu and Chongqing, Chongqing was mainly benefited from national economic development policy, while the competitiveness of the industry was weaker than average level of the nation. The development of Chengdu relied mainly on its industrial competitiveness and industrial structure. Chengdu and Chongqing exist broad economic cooperation space which provided a foundation for the establishment of Chengyu economic zone.