Study on the Mechanism of Industrial Cluster Promoting the Development of the Equipment Manufacturing Industry

Abstract

Equipment manufacturing industry belongs to "high technology, high value-added" industry, providing equipment for other industries and protecting Chinas industry security. The paper study how to take advantage of the industry clusters to support the development of equipment manufacturing industry. Firstly, the paper analysed the present stage of China's manufacturing industry clusters,and Concluded that Chinas primary industry cluster stage has been completed. In this case, the model of Chinas industry cluster should transfer from "low technology, low value-added, low wage" to "high technology, high value-added, high wage". Secondly, the paper analyzed the internal industries interaction in cluster and the interaction between the cluster and the external area, and how they support the development of the equipment manufacturing industry. The paper pointed out: Industrial cluster has many benign interaction mechanisms, and the upstream and downstream industries inside the clusters can form a mutual promoting and spillover effect, and this effect will influenced the development of equipment manufacturing industry. Meanwhile, the interaction of cluster and external educational institutions, research institutes will support the development of the equipment manufacturing industry.