Study On Institutional Factors And Strategy Of Producer Services In Liaoning Province

With the development of market economy in China, producer services is gradually separated from the manufacturing and is taken seriously by community more and more. Because of the special relationship between it and manufacturing, as well as special contribution to the upgrade of the modern service industry, the environment for the development of producer services attracts more and more attention, which is high-end services and at an early stage in China. We found that, the environment affecting the development of producer services mainly include resource inputting environment, technical supporting environment, institutional environment and so on, in which the institutional environment has a greater impact. Liaoning Province has known as industry, to rich the diversity of modern services industry and promote the modern services upgrading, we study on the institutional environment of producer services in Liaoning Province.First, we reviewed the producer services, and then put forward the understanding of producer services, systems and institutional innovation and transaction costs. Then we analyzed the five forces model and the institutional factors which have larger influence to the five forces. Again, we analyzed the changes of institutional environment in Liaoning Province form2000to2010, and established institutional environmental assessment model of producer services, including property rights system, market system, the openness, government efficiency, the concept of market economy, and so on, which compared Liaoning and Beijing, Shanghai, Jiangsu, Zhejiang and so on to find out that Liaoning has a large institutional gap, which are low government efficiency and inadequate supervision, underdevelopment market level, lacking of cutting-edge talent and backward cultural transmission facilities, insufficient protection of intellectual property and low level of opening up and conservative values of employment. At last, we proposed suggestions to improve the institutional environment of Liaoning Province, first, strengthening the government’s reform and improving the level of administrative, second, perfecting market system and market regulation mechanisms, third, establishing a sound system of property rights and improving the capability of independent innovation, forth, speeding up the opening to ensure the double open of economic and ideological.It’s the main innovation that the institutional environment of producer services in Liaoning Province was valued quantitatively, variation of various institutional factors in Liaoning Province being showed by chart and data, and we cleared the ranking of Liaoning Province’s institutional environment of producer services across the country through entropy weighting method to understand the future development direction of institutional environment of producer services in Liaoning Province.