Abstract

Based on multiple micro databases involving Chinese manufacturing enterprises and World Input-Output Database, this article investigates the impact of China's manufacturing servitization on export technological sophistication from 2000 to 2010. The results show that manufacturing servitization has an inverted U-shaped impact on export technological sophistication. From the perspective of heterogeneity at the enterprise level and industry level, manufacturing servitization has an inverted U-shaped impact on export technological sophistication for mixed trade enterprises, central and western located enterprises, domestic and foreign enterprises, and knowledge-intensive industries, the nonlinear impact is in the promotion range. Besides, manufacturing servitization with domestic and foreign service input source has an inverted U-shaped impact on export technological sophistication, manufacturing servitization with the domestic consumption-oriented service input source and foreign production-oriented service input source have a promoting effect. Servitization with financial industry and technical research and development service source has a promoting effect, while servitization with transportation service input source has an inverted U-shaped effect. Overall global value chain participation level and simple global value chain participation have a positive moderating effect on the impact, especially for enterprises with lower production efficiency. Mechanism analysis confirms that the "spillover" effect and "cost" effect are important channels for manufacturing servitization to promote export technological sophistication.

Highlights

  • Manufacturing servitization refers to a complete "combination package" of products and services provided by manufacturing enterprises to customers, it is the integration of manufacturing that based on service and service-oriented manufacturing, and the integration of product economy that based on production and service economy that based on consumption [1]

  • The results show that the impact of manufacturing servitization on export technological sophistication has an inverted U-shaped nonlinearity, and it is in the promotion range

  • The results of column (8) show that manufacturing servitization has an inverted U-shaped impact on export technological sophistication, and the impact is in the promotion range

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Summary

Introduction

Manufacturing servitization refers to a complete "combination package" of products and services provided by manufacturing enterprises to customers, it is the integration of manufacturing that based on service and service-oriented manufacturing, and the integration of product economy that based on production and service economy that based on consumption [1]. Manufacturing servitization and export technological sophistication of enterprises entirety by directly obtaining the data from the following third parties and following the protocol in our Methods section of the manuscript. The funders had no role in study design, data collection and analysis, decision to publish, or preparation of the manuscript. Compared with the western developed countries, the manufacturing servitization of China is still at a low level, and there are some prominent problems such as the lagging development of production-oriented services and the unreasonable industrial structure. The extension for China’s manufacturing segments to both front-end industries and back-end industries, and acceleration for the development of production-oriented services, are bound to contribute to the realization of high-end industry and the enhancement of international competitiveness of manufacturing enterprises. Is manufacturing servitization enable to promote export technological sophistication of enterprises? The research of this article is of great theoretical and practical significance to clarify the relationship between them

Literature review
Findings
Conclusion and discussions

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