Research On The Impact Of China’s Servitization Of Manufacturing Industry On Its Status In Global Value Chains

Since the 1990 s,as transportation and information technology develops,the global production network dominated by multinational companies has continued to expand with forming a division of labor systems composed by procedures,district,and sections,and as a result the global value chains expand.All countries actively use their own comparative advantages to accelerate the pace of embedding the global value chain(GVC)and continue to improve their status in the global value chain to obtain maximum returns.With joining the WTO in 2001,keeping the policy of opening-up and using the advantages of labor factor,China has successfully embedded the global value chain and became a manufacturing giant.However,China’s manufacturing industry is at the medium-and low position of the global value chain.It is urgent for China’s manufacturing industry to break through low-end locks and achieve industrial structure upgrades.With the development scientific and technological revolution,the deep integration and development trend of manufacturing and service industries are becoming increasingly obvious,and at the same time,it has also become an important way for a country’s manufacturing industry to achieve global value chain upgrade.This article studies the relationship between the serviceization of manufacturing and global value chain position,which has important theoretical and practical significance for promoting the revolution and upgrading of China’s manufacturing industry and the realization of high-quality economic development.This article is divided into seven parts.First of all,it sorts out the documents of the sevitization of manufacturing,status of global value chain and digital economy.And then,to analyze the development of the servitization of manufacturing,the changes in the global value chain,and the evolution of the relationship between the two by calculating the level of servitization of manufacturing industry and the GVC participation in China from 2009 to2019.Besides,theoretically,to analyse the relationship,impact internal mechanisms and channels between the servitization of manufacturing and the GVC status.Finally,select 14 manufacturing industry data from 2009 to2019,and use a comprehensive FGLS model to verify the relationship and effect mechanism between the sevitization of manufacturing and GVC position.The article has the following conclusions:(1)The servitization of manufacturing promotes the GVC forward participation and decreases the GVC backward participation.Meanwhile,medium and high-tech manufacturing industries have significantly promoted the GVC forward participation,and decreased the GVC backward participation.However,the low-tech manufacturing industries don’t have significant effects towards GVC participation.(2)The servitization of manufacturing shows the increasing effect towards GVC forward participation and decreasing effect towards GVC backwards participation through technological innovation improvement and production cost reduction.(3)Digital inputs enhance the promotion effect of manufacturing servitization on GVC forward participation and the decreasing effect on GVC backward participation.In addition,digital inputs will significantly enhance the effect of the servitization of high-tech manufacturing industries on global value chain participation;and the effect is not significant for low-tech manufacturing industries.