Abstract
By using the statistics of national economy with 19 industries of Shandong province in 2004 and 2010 , both shift - share analysis of the traditional model and spatial model were applied to analysis the industrial competitiveness of 17 cities in Shandong . The classical shift-share approach analyses the evolution of an economic magnitude between two periods identifying three components: a national effect, a sectoral effect and a competitive effect. The spatial shift-share approach analyses the evolution of an economic magnitude identifying three components: the national effect, industry mix neighboring regions-nation effect and the competitive neighboring regions effect. The results of the two models are below: Of all the three effects, the national effect is the most important to the economic growth of all the cities in Shandong. The rate of the total economy and the industries of all the cities were decided by their original amount,etc.
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