Research On Cooperative Strategy And Value Creation Of Combination In Manufacturing And Producer Services Industry

Producer services industry is the middle input of other products or serviceproduction and throughout the whole process of products or services production.Considering human resource and knowledge as its two main inputs and introducing theminto manufacturing industry, producer services are the crucial links to accelerate thecombination of services industry and manufacturing industry.Manufacturing industry is the basis and main engine of our national economy andChina has entered the late industrialization stage which is based on information andtechnology. However, most of China’s manufacturing enterprises lack corecompetitiveness and innovation ability. Manufacturing industry in China thus tend tocoordinate with other industries such as services industry. Producer services industry hasbeen close associated with manufacturing industry and witnessed high increasing anddevelopment. It has established the foundation to combine producer services industrywith manufacturing industry. As service economy is ongoing, the combination ofproducer services industry and manufacturing industry can promote their mutualdevelopment, and then ultimately realize the integration of manufacturing industry andservice industry.Firstly, the paper introduces and describes some theories from these aspects:producer services and producer services industry, service-oriented economy, technologyassociation and industry association. Then the paper point out the obvious trend: blurringboundaries and combination of producer services industry and manufacturing industry.Secondly, starting at internal relevance of product and producer services andenterprises involving in the process, the paper proposes three models of combiningmanufacturing and producer service industry: symbiotic–based combination model,endogenous-based combination model and complementary-based combination model.Thirdly, in order to further investigate the value creation process of combination, thepaper analyzes the input, conversion and output of three combination models with valuechain analysis. To give a detailed explanation, typical industries and cases under eachmodel are described separately.Lastly, considering whichever mode of combination development the manufactureradapts, they confront the problem of cooperation with producer services providers. Thepaper thus points out a partnership model and ensures both manufacturer and service provider win-win in revenue sharing and eventually improves combination developmentof producer services industry and manufacturing industry.