A Study On Dynamics Mechanism Of Industry Evolution

Industry evolution is one of the main research subjects of evolution economic. The study ofindustry evolution mechanism is not only objective need to improve the theory, but also theneed of social and economic reality which prompts policy advice. In the background ofknowledge economy diffusing in the global and China industry upgrade into key stages, Theresearch on dynamical mechanism of the development of industry with analysis paradigm ofevolution economic can improve the rationality and direction of formulation of industrialpolicy, and provides a new empirical case for theory research of industry evolution.By using co-evolution theory, this article analysis dynamics mechanism of industry evolution,summarizes the specific dynamic function ways from within industry、market demand andorganizational environment, and descript the processes of industry co-evolution. Innovationand institution are emphasized in this paper, and then obtain a coupling dynamic model ofindustry evolution. Since then, we constructed a mathematical model about dynamicmechanism which can see evolution process in order to further verify the rationality of themodel. Then，using data of Electronic and communication equipment manufacturing industryin China, empirical research of dynamics mechanism of industry evolution provide forindustrial policy for China industry development at present.In this study, innovation can be highlights in some area. Demand is drawn into the analysisframework of industry dynamics mechanism, which increases the analysis dimension; themathematical model in the paper is established with nonlinear characteristics, which is closerto the industrial evolution reality. Electronic and communication equipment manufacturingindustry in China is the object of empirical analysis, which has advantage for representemerge industry evolution.