The Construction Of National Value Chain Of Textile And Clothing Industry In Zhejiang Province

The competitive power of a country or an area depends on the power of itsindustry, especially the industry’s position in the value chain. In essence, this is thecompetition of value chain. Since the reform and opening, based on the superiority ofnatural resources, low-priced labor source and good manufacturing industry, ZhejiangProvince makes use of “OEM” to develop export-oriented economy, and gains fastdevelopment. However, this development mode results in a low profit andlabor-intensive manufacture section, low located in the GVC, which is controlled bylarge international buyers of developed countries. The pressures and shocks ofexterior environment, such as RMB’s up-valuation, cost-rising of labor&rawmaterials, and world financial crisis, let these textile&clothing enterprises know theimportance of R&D and Brand. The establishment of National Value Chain, based onthe native need, has the superiority of brand and marketing, which is very significantfor the upgrading and sustainable development of the textile and clothing industry.Choosing the textile and clothing industry of Zhejiang Province as the studyobject, this thesis studies the actual bases and conditions of NVC’s foundation, basedon its comparisons with GVC. The key points of this thesis are as follows: theframework of NVC’s foundation, the jointing mechanism between NVC and GVC,and the upgrading trajectory of this industry in ‘four period&three key points’. Usingthe Youngor case as an entry point, it provides an actual proof for NVC’ foundation.Finally, on account of the analysis above, the thesis summarizes corresponding policyinspirations, which are hoped to give some references for domestic traditionalindustries’upgrading.