Interactive Development Between Producer Services And Manufacturing

After reform and opening-up, the rapid development of manufacturing industry make China become the world's factory. But it is increasingly prominent that China's equipment manufacturing is incompetent in independent innovation, low value-added and in a low-end chain in a global industry issues such as. Producer services is very important to the independent innovation and upgrading of manufacturing, optimizing the industrial structure, the promotion of industrial clustering and raising the level of urbanization. Manufacturing-the leading industry in Shandong province is facing with the same problem. In order to develop equipment manufacturing industry, achieve optimization of industrial structure, Shandong province's producers must vigorously develop the producer services industry.Then what is the meaning of producer services? It is how to interact with the manufacturing? Basing on the Shandong province, this paper responses to the theoretical issues and compare the producer services' lack and direction of effort by comparing with Jiangsu province ,Zhejiang province ,Guangdong province ,Liaoning province and Fujian province.In this paper, the main contents of the chapters are as follows: the first chapter is introduction. It introduces the background of the choosing topic, the basic concept of producer services, research ideas and the full text of the framework. The second chapter introduces the progress in theoretical research of producer services basing on the literature review. It makes a summary of key in the research progress of producer services and the interaction of producer services and manufacturing.The third and fourth chapter is the core of the chapter. The third chapter compares and analyses empirically the development of the interactive relationship between the producer services and manufacturing. It establishes an error correction model and makes a regression analysis using time-series data of Shandong, Zhejiang, Guangdong, Jiangsu, Fujian, Liaoning from 1992 to 2006 based on the verification of smooth and integration. The fourth chapter studies the producer services sector's contribution to economic growth using the Least-squares regression method. It compares and analyses the effect of producer services to optimize the industrial structure and promote urbanization.The sixth chapter is the conclusion.The main point of view and concluded is the next. Producer services and manufacturing sectors have close interaction. The financial sector contributes the highest degree, transport and communication contributes the second degree, education, science and technology inputs the negative contribution in the Producer services. The reason for causing the result of the investment in science and technology education in Shandong province is closely related to a higher level of supply of the external science and technology education outside Shandong province.Therefore, based on the current status in Shandong Province, from now on the Shandong government must increase the investment in education, science and technology first. Second, it must vigorously support the Building of finance services center and logistics center in Jinan and Qingdao-two provincial-level city, continue to promote the development of logistics industry. Then the Shandong province can promote comprehensive development of producer services, upgrading of the manufacturing industry and speeding up the urbanization process.