The Impact Of Servitization On Total Factor Productivity In China's Manufacturing Industry From The Perspective Of Global Value Chain

In recent years,China has made great progress in economy and becomes a veritable "world factory".However,China's manufacturing industry has a low level of development,which is at the low end of the global value chain and creates relatively little added-value.The highly-value-added processes in the Global Value Chain are controlled by developed countries,which is not conducive to the improvement of the total factor productivity of the manufacturing industry.With the continuous development of the economy,manufacturing servitization has become a new direction for the development of the manufacturing industry.More and more enterprises have begun to attach importance to the importance of services,and have provided service products or increased service inputs.While China's manufacturing industry is not strong,the path of service is likely to weaken the ability of manufacturing itself to create added value.So,from the perspective of global value chains,how does manufacturing servitization affect total factor productivity? What is the way to influence the total factor productivity of manufacturing? This article attempts to explore the above issues.Based on the perspective of global value chain,this paper first measures the level of China's manufacturing servitization index and total factor productivity and its decomposition.First,using the multilateral input-output model to measure the service level of China's manufacturing industry from 2000 to 2014,it is found that the trend of China's manufacturing service level during the sample period is first to decline and then rise,but the overall service level is not volatile;China Manufacturing service is mainly based on domestic services and low-end services,but there is no significant difference in the quality of domestic and international services.Secondly,the DEA-Malmquist method is used to measure the total factor productivity level of China's manufacturing industry from the perspective of global value chain and its decomposition.It is found that the total factor productivity of China's manufacturing industry fluctuates greatly during the sample period,but the average productivity is high and the economic growth rate is fast..Decomposition of TFP shows that technical efficiency is the main reason for the improvement of total factor productivity in most manufacturing industries.After that,this paper briefly describes the mechanism that manufacturing servitization may affect total factor productivity.It believes that manufacturing servitization may affect technical efficiency and technological progress through cost effect,extrusion effect and technological innovation effect,thus affecting TFP.Then,empirical research was carried out on manufacturing servitization and TFP and its decomposition,and the services were divided according to domestic and foreign,high and low end,and regress them separately.The results show that there is a U-shaped relationship between China's manufacturing service and total factor productivity.China is currently in a service dilemma.The implementation of the service strategy will lead to a reduction in TFP in the short term,and the service level will exceed a certain value.It will promote the growth of TFP;manufacturing servitization mainly affects TFP through technical efficiency rather than technological progress;the impact of foreign servitization and high-end servitization on TFP is greater than domestic service and low-end service.Finally,this article tries to propose policy recommendations.In order to take the road of servitization and promote the growth of total factor productivity in the manufacturing industry,the government should improve the service market,expand opening up,and develop high-end service industries;encourage R&D investment and strengthen human capital accumulation.