Study On Service Industry Agglomeration Level And Its Influencing Factors Of City In Western China

China’s current economic and social development is in transition, and the urgentneeds of social progress and industrial upgrading, making the services sector in thenational economy is becoming increasingly prominent.The theory and empirical’sresearches on industrial agglomeration in foreign countries have been one hundredyears,With the rapid economic and social development,Services gradually become theregion’s leading industries to promote social progress and enhance the competitivenessreplacing of manufacturing,Service industry agglomeration has become an importantsubject for research scholars.Service industry agglomeration is an advanced form ofdevelopment services,it plays an important role in regional economic development,industrial structure upgrading, social progress.But,in the wsetern of our country wherethe economic foundation is lagging behind,service industry agglomeration developmentissues have not been given due attention.Therefore, study on agglomeration level ofurban services in western China and its influencing factors,has a important practicalsignificance on promoting regional development and reducing regional disparities.On the basis of summarizing the classical theory and empirical research of foreignand domestic, This article estimated the level of service industry agglomeration inwestern China81prefecture-level cities by location quotient and EG index，Thenpresentd theoretical analysis and hypotheses on urban service industry factors inwestern China from cost-benefit perspective,constructing econometric model fromnon-productive service industry and productive service industry two aspects toempirical study of factors affecting the western city service industry,The studyfound:First, the level and development speed of city service industry agglomeration inwestern China were low and slow;Second, from the services sub-sectors, theagglomeration level of China’s western city of unproductive service sector is higher thanthe level of productiive service industry sector;Third, the government action andopenness has a significant role in promoting the development of the western city ofChina’s service industry;Fourth, in China’s western city of productive service industry,"information transmission, computer services and software industry" and "transportation,storage and postal industry" have better conditions for cluster development,"financialindustry" cluster development are lacking ofconditions;In non-productive service industry,"catering and accommodation industry" and "culture, sports andentertainment"have better conditions for cluster development.Based on this, the article give the policy recommendations from three levels of thenational, local and industry: The States should focus on policy preferences andinstitutional system innovation to create a favorable environment for the development ofservice industry agglomeration in the western city;Local governments should takepositive actions to guide the healthy development of the local service industryagglomeration;At the industry level, Looking for outside markets productive serviceindustry actively, while leveraging existing resources to develop the western city ofunproductive services to promote western city service industry agglomeration healthyand sustainable development.