The Role Of Government In The Formation And Development Of Zhuji's Industrial Clusters

Industrial cluster is an important factor in improving industrial competitiveness. It plays a critical role in the formation of regional economy's competitive advantage and is also an inevitable choice to speed up regional development. As an important economic phenomenon, industrial cluster is not only the focus of academic research, but have also aroused the great intrest of the government. After the theory of industrial cluster was introduced into China in the mid-1990s, there have been a lot of researches on it. However, further study on the role the government in the development of industrial clusters is still in demand..Zhejiang province where industrial clusters emerged earlier and developed better than other parts of China claims successful experience. The government has played an important role in the formation and development of industrial clusters. Zhejiang case is of great importance for our understanding of industrial clusters in China and can give lessons for other provincesThis paper focuses on the government's role in industrial clusters in Zhuji, Zhejiang. Based on theories of industrial cluster and government - market relastons, the paper is an empirical study by way of interviews and questionnaires. It analyzse the changing role of local government in the development of industrial clusters in Zhuji. This paper comes to the conclusion that the government has played a significant role in the development of clustered industries in ZHuji and should act more positively to in the upgrading of industries and enhance the competitiveness of traditional industries.The first chapter of the paper summarizes theories of industrial cluster, government-market .The second chapter focuses on the role of the government in the development of industrial clusters. It outlines the current situation and characteristics of Zhuji's clustered industries, and analyzes the role of local government in the development of industrial clusters and how the role changes in different periods of time. Chapter Three presents policy recommendations about what the local government should do to upgrade the industrial clusters and to promote its development by analyzing the strength and weakness of the current industrial clusters in Zhuji county...