Endogenous Industrial Cluster's Evolution Mechanism And Life Cycle

As the "booster" of China's regional economic development,industrial clusters have attracted much attention from academics and politicians.In recent years,as a result of the impact of international financial crisis,international trade barriers and the rise of Latin American countries,China's eastern coastal areas,especially the coastal trade zones,are facing a series of problems such as "industrial hollowing".The lumpy economies in Zhejiang Province have also experienced a series of opportunities and challenges.At the same time,some of them successfully actualize transformation and upgrading,continuing to stay competitive.With similar location conditions,historical background and initial conditions,Puyuan Town and Honghe Town have gone through different.Since the 2008 international financial crisis,the value of sales in Honghe Town has slipped but Puyuan Town goes well.Why can some clusters remain competitive,while others face a recession?The existing research results mostly stay static level,focusing on the analysis of influence factors but ignoring that the formation and development of clusters is a complex and dynamic process of co-evolution.The evolutionary economic geography has no way to explain the huge difference.In view of this,the author regards the two sweater industrial clusters as the research object,through field research,in-depth interviews and focus on the historical process of its formation and development with an open and dynamic system theory.The paper starts from the adaptive behavior of micro-enterprises to clarify the internal mechanism of cluster evolution;tries to explain the significant features of various stages.It is concluded that:(1)the evolution of the cluster is an interaction process between enterprise strategic choices in order to adapt to the external environment and the construction of medium network,in connection with the local situation.(2)The essence of enterprise networking is the behavior of connecting with other enterprises for resources;which exhibits a conversion process from individual successful exploratory innovation to cluster's exploitative innovation;the pursuit of exploratory innovation is individual benefit and the pursuit of exploitative innovation is cluster efficiency;the balance between the two stages of the cluster evolution shows a balanced state;namely cluster life cycle.(3)Ideally,the endogenous industrial cluster in China should experience the germination stage for benefit,the formation stage for efficiency and the innovation stage for upgrading;the interpersonal network,production network and innovation network is the key task in each development stage.