Research On The Transformation And Upgrading Of Manufacturing Industry In Jiangxi Province

Since initiating the reform and opening up policy,China has become a manufacturing power by using low-cost advantage to actively undertake the industrial transfer of developed countries.Nevertheless,China’s manufacturing industry is still in the low-end state,with low added value and low technological content,high energy consumption and high pollution.This structure is not conducive to the sustainable development of China’s economy and the improvement of manufacturing competitiveness.Under the new economic conditions,China’s manufacturing industry is faced with the internal and external difficulties,such as increasing pressure by resources and environment,rising labor costs and rising cost of production materials,low effect of industrial clusters.Therefore,the government actively takes a series of measures to promote the transformation and upgrading of manufacturing industry,aimed at changing "big but not strong" situation of Chinese manufacturing industry.Being one of the less developed areas,the overall level of the manufacturing industry in Jiangxi Province is low,the existence of the manufacturing industry is not strong,input and output efficiency is not high and so on.In addition to the gradual loss of comparative advantage,innovation advantage has not yet formed,which may cause the manufacturing industry turn into even long-term and deep economic recession,so transformation and upgrading is the only way leading to the sustainable development of manufacturing industry.Taiwan Province was also confronting rising labor costs and increasing environmental protection and getting into the transformation and upgrading period in the 1980s,which is the same as the current stage of Jiangxi manufacturing development.In addition,Taiwan Province successfully completed the transformation and upgrading in 1990s,which has provided a good example and reference.On one hand,this paper uses the principal component analysis method to evaluate the development of the sub-industry in the manufacturing industry of Taiwan Province in the past by selecting the first-level indicators such as industrial scale,enterprise scale,factor productivity and economic efficiency.Then it analyzes the internal structure and the overall changes in the characteristics of Taiwan’s manufacturing.The inclusions are as follows,first is that by cultivating capital-intensive industries,complete the change from traditional industries to non-traditional industries;the second is to focus on research and development and brand marketing,transform the low value-added to the high value-added state;the third is to transform relying on the development of small and medium enterprises to relying on the leading of large enterprises;fourth,to promote the manufacturing business model of high-end,changing from OEM to OBM.On the other hand,this paper draws lessons from the experience of transformation and upgrading of manufacturing industry in Taiwan Province.On the basis of analyzing the existing problems of manufacturing industry in Jiangxi Province,this paper uses the first-class indicators such as economic effect,R&D input and ecological effect to measure the transformation and upgrading of manufacturing industry in Jiangxi Province.Based on that,this paper puts forward the sub-industry we should focus on and suggest that manufacturing industry in Jiangxi should further build the industry embeddedness,create the talent ecological circle and regional brands to actively promote the transformation and upgrading.