Main Links And Longitudinal Cooperation Of The Cashmere Industry Chain In China

China’s cashmere industry has developed rapidly since the reform and opening up. For example, the scale of cashmere-goat breeding and cashmere’s production both growing rapidly, and the cashmere textile industry’s processing capacity improved significantly. The development of the cashmere industry has made an important contribution to improving the farmers’ income and their life quality, and promoting the economic development and social stability of the western region. In recent years, the cashmere industry’s problems have become increasingly prominent, such as the constraints of resources and environment, increased cost of production, chaos of circulation market, the growing international competition about cashmere processing and dilution of corporate profit, etc. So, it’s significant to study the development condition of the cashmere industry from the perspective of the industrial chain. Additionally, the chain of cashmere industry has formed relatively complete at present, each segments of the cashmere industry chain all have problems, leading to the poor connection, looser longitudinal cooperation and the lack of coordination of the chain. In current situation, it plays an important role not only in reducing transaction cost and acquiring the whole chain benefit, but also in helping our country’s cashmere industry bigger and stronger, by perfecting longitudinal cooperative mode and optimizing longitudinal cooperative relationship of the cashmere industry chain.The cashmere industry chain consists of cashmere-goat breeding, production, selling, circulation, processing and so on. The development and competitiveness improvement of the cashmere industry need the overall cooperation and development of the whole industry chain. Using the theory of industrial organization, longitudinal cooperation, case analysis and game theory analysis, the thesis studied the cashmere industry into an analytical framework of the industrial chain. The core topics of the thesis embrace the production, circulation and processing segments, the longitudinal cooperation mechanism of the cashmere industry chain, according to which we could reach a more comprehensive understanding of China’s cashmere industry chain’ development pattern, with a theoretical study and empirical analysis.The logical order of this thesis:Chapter1described the scientific significance of the article and the research framework. Chapter2defined the related concepts, and premised the theoretical basis. Chapter3to Chapter5studied the three main components of production, distribution and processing of the cashmere industry chain, by using the SCP theory. Chapter6analyzed formation mechanism of longitudinal cooperative relationship, longitudinal cooperative mode and their optimization with the usage of game theory. Chapter7analyzed the longitudinal cooperation choice behavior of farmers. At the end, the thesis drew some conclusions and putted forward the countermeasures and suggestions.The basic conclusion of the thesis:(1) there have the majority with scattered small-scale farmers, higher regional concentration and increasing enter and exit barriers in the link of production of China’s cashmere industry;(2) the principal way that promoting the link of cashmere production to improve performance level is to turn the pattern of scattered small-scale breeding to the pattern of standardized scale breeding or "cooperation/association+farmers";(3) there have lower market concentration and enter and exit barriers in the link of circulation of China’s cashmere industry, and circulation cost of the pattern of dealer acquisition is the highest, the pattern of direct dealing between enterprises and farmers is the lowest, and the pattern of long-term prompt goods’ electronic trading is middle;(4) there have lower market concentration and enter barrier, higher exit barrier, serious product homogeneity, increasing cost-profit efficiency, and lower scale structure efficiency and technical innovation level in the link of processing of China’s cashmere industry;(5) the pattern of vertical cooperation of China’s cashmere industry could be classified to four patterns, just as market transaction, contract/oral agreement, cooperation/association and vertical integration, and it is given priority to the market transaction mode at present;(6) age and breeding time have negative effect on farmers select cooperative mode, and the variable of family member whether hold the post of village cadres has a positive effect, part-time degree, breeding time, information availability have negative effect on farmers select contract and agreement mode, and the significance of acquirer is acquaintance or relatives have positive effect, compare with market transaction mode, in the correlated variables of personal characteristics, family characteristics, management characteristics, transaction cost characteristics, and interpersonal relationship characteristics.