Study On The Effect Of Technological Innovation On Manufacturing Industry Upgrading

Faced with rapid changes in technological progress, external market environment at home and abroad as well as the intensify of manufacturing own structural contradictions, how to upgrade the manufacturing sector is urgent. "Industrial transformation and upgrading plan (2011-2015)" made it clear "industrial transformation and upgrading is to optimize technology structure, organization structure, layout structure and industry structure, so to promote the overall optimization of the industrial structure upgrading." However, to upgrade manufacturing can no longer rely on foreign investment in power-driven elements, it must be driven by technological innovation in this internal power, eventually realizing the transformation from the big country of manufacturin to the powerful country of manufacturing.This paper is based on the study on the effect of technology innovation in promoting Manufacturing’s upgradation. We study the effect of technical innovation in promoting manufacturing to upgrade in theory and demonstration. Firstly, the article introduces the background, significance and research framework; and to sort researches on technology innovation, manufacturing upgrades, and the relationship between them provides later study the premise of the theory; and it is this study logical starting point. Secondly, the paper describes the theory of technological innovation and industrial upgrading, and focuses on the mechanism of technological innovation in manufacturing upgrade. This paper also research and analyze the particular path of technological innovation to promote manufacturing upgrades, including changes in employment structure, the transformation of traditional industries. Based on the theoretical analysis, the paper describes and analyzes the status of technological innovation and manufacturing industry, and studies on manufacturing upgrade existing problems. Further by constructing panel data model, the empirical analysis of the technological innovation to upgrade the role of technological innovation through research found that the presence of China’s manufacturing industry to upgrade a positive role in promoting, but still subjected to certain factors that affect the size of the effect, and the difference of area technological innovation between areas is obvious. Finally, according to the problems found by the research, we put forward relevant policy proposals to upgrade China’s manufacturing industry, such as increasing R&D investment, to build financial support system, the establishment of technical alliance a combination of research and so on.Manufacturing industry is the main body of the national economy, and to create the international competitiveness of the manufacturing industry, is to promote China’s comprehensive national strength, protect national security, build a international powerful nation. Facing a new round of technological revolution and industrial revolution and our country to speed up the transformation of the mode of economic development to form the historic intersection, as well as international industrial division pattern is being reshaped, manufacturing industry must rely on technological innovation to achieve industrial upgrading, to build their own competitive advantage and improve their ability of competition. Manufacturing upgrading is not only the manufacturing structural adjustment, to make the proportion of technology-intensive and capital-intensive industries become bigger, instead the proportion of labor-intensive industries is smaller; it is also the progress to enhance their own ability to create more value, eventually realizing the transformation from the low value-added to high value-added process. Technological innovation is the driving force of endogenous factors leading manufacturing upgrades and technological progress not only strengthen the transformation of traditional industries, and upgrade the technology level; it also can promote the development of new industries, cultivate new leading industries, and promote industrial upgrading. Therefore, the technical innovation is the future development of the manufacturing sector continued power source, manufacturing upgrading must rely on technological innovation.