Study On Industrial Competitiveness Of Gansu's Equipment Manufacturing

Equipment manufacturing industry is the whole appellation for those departments, as well as the whole industry developments mother, which afford technology equipment to all the national economy departments to run simple and expanding reproduction. Equipment manufacturing industry the basic and strategic industry, which determines resource disposition efficiency, and Preduction level, determines other industries'competition, and determines the quality and efficacy of economy. Gansu Province is located in the Northwest, landlocked hinterland, when it was build in the strategic hinterland of China in early days, the leaders of the country and the Party make policy in the right time, which impel Gansu Province to gather a large amount of state-owned industry and corresponding auxiliary facility enterprise, and it also make Gansu Province form very abundant industrial foundation, which becomes the country's main old industrial base and foundation of the equipment manufacture. But, it is becoming behind nowadays. Therefor, the government of Gansu Province brought forward the vigorously plan of developing equipment manufacturing industryin 2007, according to the foundation of its fact.At first, this article illustrates in detail and comments on the various theories or reseach fruits in the field of china's equipment manufacturing development and industrial competitiveness, especially the theories of three aspects:connection of industrial competitiveness, formation mechanism of industrial competitiveness,and metric analysis on industrial competitiveness. Then a "five-factor analysis method" is formed on basis of Michael Porter's "Diamond theory", as a qualitatives method for the analysis of industrial competitivness of Gansu's equipment manufacturing. The conclusion of qualitive analysis is "some base,but no power". As to quantitve analysis, the paper adopts two method-Revealed Comparative Advantage Index method and principal Component Analysis method-to fulfill the indusrial competiveness analysis. The conclusion of quantitatives analysis is that the special equipment is most powerful sub-industry among seven sub-industries of Gansu's equipment manufaturingin both terms of comparative advantage and competitives advantage. Combining the conclusion of qualitative analysis, the paper select four major sub-industries as the key field of the development of Gansu's equipment manufaturing:general machinery manufacturing, special machinery manufacturing and elctric machinery equipment.In the following part, this paper focuses on measures as how to improve the industrial competitiveness of Gansu's equipment industry, including guideline, positioning, and strategy for industrial development. For an example, this paper point out the enterprises of Gansu's equipment manufacturing industry should carry out institutional innovation and technical innovation.