Research On Industrial Transfer Among Hefei Economic Circle

Economic circle is an economic entity in a certain region and a kind of regional combination form of production distribution. The formation of the economic circle is beneficial for companies to achieve professional collaboration across regionals or across industries, for the central city to play a vital role and for promoting the comprehensive advantages of the whole region. Therefore in the process of integration of regional economy, lots of domestic cities also began to combine with each other and gradually formed economic circles, following the pace of the three big economic circles, which are Beijing-Tianjin-Hebei economic zone, Yangtze River Delta economic zone and Pearl River Delta economic zone. Hefei economic circle is such a good example.On November15,2009, Department of Housing and Urban-Rural Development in Anhui province announced "the urban system project of Hefei economic circle", this announcement make "Hefei economic circle" unfold in front of the public for the first time. Along with the further administrative division adjustment and the joining of the whole Chuzhou, the range of Hefei economic circle further expanded. Hefei economic circle currently includes four prefecture-level cities which are Hefei, Lu’an, Huainan and Chuzhou and one county-level city which is Tongcheng. In consideration of the comparability of economy,this article will study the leading industry development of the four prefecture-level cities in Hefei economic circle regarding Hefei, Lu’an and Chuzhou after eliminating the county-level city of Tongcheng, aiming to conclude how the industries transfer among these four areas and ultimately achieve effective cooperation from labor division and coordinated development.This article follows the overall train of thought of combining theory research and empirical research. It expands the research following a logic circuit which is the theoretical analysis framework-regional difference analysis of industrial transfer-empirical analysis of the industrial transfer-policy recommendations of industrial transfer and using three methods which are combination of qualitative analysis and quantitative analysis, comparative analysis, empirical analysis.Based on the relevant theories of regional economics and industrial economics, this article expands the research with the basis of fully collecting the statistical yearbooks in2013and using relevant calculation formula and software. Firstly, the first chapter summarizes the domestic and foreign scholars’ related research in the theory of industrial transfer through industrial transfer’s motives, industrial transfer’s mode and industrial transfer’s effect. Secondly, the second chapter summarizes the theoretical basis about industrial transfer. Thirdly, the third chapter analyses the regional differences of Hefei economic circle’s industrial transfer. It respectively analyses the differences of natural resources endowment, the overall economic development and the industrial structure evolution of the four cities in the economic circle, concluding that the four cities have their own characteristics in natural resources endowment, differences in the overall economic development and advantages on the evolution of industrial structure. Consequently, there is a feasibility and necessity of industrial transfer among the cities. Fourthly, the fourth chapter makes an empirical analysis of the Hefei economic circle’s industrial transfer. By collecting the2013-year manufacturing datas in the statistical yearbook for the four prefecture-level cities and the country, this chapter uses the product of location quotient, comparative capital-output ratio and comparative labor productivity to build industrial gradient coefficient, then analyses the four cities’ location quotient, industrial gradient coefficient and relative industrial gradient coefficient from the angle of combining theory with practice. It is concluded that how the manufacturing industries will transfer among the four cities and thus what industries the cities should focus on. Lastly, the fifth chapter summarizes the policy recommendations of Hefei economic circle’s industrial transfer. According to the results of the empirical analysis in the fourth chapter and the actual situation of Hefei economic circle’s development, this chapter points out what the opportunities the cities face when transferring industries and puts forward the political recommendations beneficial for the whole development of Hefei economic circle.