The new thinking and new ways of transformation and upgrading of China’s manufacturing industry

In the face of China’s economic development the new normal and uncertain world political and economic environment, the supply side of the China is through continuous reform and innovation, transform the economic growth mode in order to realize the transformation and upgrading of economic structure, and increase competitiveness by further opening to the outside world, to keep the steady development of economy, the construction of economic power.Photo network economic structure is the basis of the industry.Entities manufacturing as the core industry is the foundation of national economic development.However, since the financial crisis, China’s economy clearly financialization or virtualization, the real economy facing serious difficulties, this has already threaten the basis of economic sustainable development.To do this, you need innovative thinking, break through the dilemma, to stabilize the basis of economic development and stimulate their potential.After the founding of the transformation and upgrading of the framework especially since reform and opening up 30 years of construction, China has become the world’s second largest economy.However, this is only show the total amount or scale, more real competitiveness is not strong, especially the leading industry.In 2017 fortune magazine & other;Throughout the world 500 strong &;List, Chinese enterprises have reached 115.However, less manufacturing companies, especially innovative companies.Facing a new round of technological revolution and industrial change, transformation and upgrading of China’s manufacturing industry is facing the severe pressure and challenge.As a catch-up countries, should make full use of advantage of backwardness, the combination of industry and finance, integrating global resources, more effective to catch up with the world leading level.Under the current conditions, the Chinese manufacturing enterprises should include the key breakthrough direction & other;Throughout the reform &;, & otherThroughout the development &;, & otherInnovation & throughout;And & other;International & throughout;.& other;Throughout the reform &;Mainly through the market mechanism to solve the enterprise property right system, operational mechanism, governance structure, incentive and constraint mechanism, and the integration of existing resources, improve operational efficiency and vitality;& other;Throughout the development &;Mainly solve the problem of enterprise scale and the business and the expansion of the market, adjust and optimize the business structure and layout, large and small capacity, improve the ability to resist risks;& other;Innovation & throughout;Can make the enterprise better meet even lead the market demand, and construct higher barriers to competition;& other;International & throughout;To obtain and make use of international resources, technology, brand, channel and market, worldwide resources and optimize the layout of industry value chain.In the frame of the transformation and upgrading, & other;Throughout the reform &;And & otherThroughout the development &;Is the foundation and key.Moreover, the four directions affect each other and linkage.For example, only & other;Throughout the reform &;Become a real market main body of the enterprise can & other;Throughout the development &;, just have a greater incentive to & other;Innovation & throughout;And & otherInternational & throughout;;Corporate & other;International & throughout;Activities may as external forces promote its & other;Throughout the reform &;, & otherThroughout the development &;And & otherInnovation & throughout;.Enterprises should pay attention to the four directions at the same time.Of course, different enterprises and their different stages of its attention to the direction or focus of differences.Private equity funds (including risk investment and mergers and acquisitions funds) to support enterprises in the four directions of breakthrough.As an investment tool innovation, play the role of financial services to the real economy.From & other;Throughout the reform &;Perspective, the marketization of investment fund as a financial investors into the enterprise, to revitalize the stock of assets, improve the governance structure and the market-based incentive and restraint mechanisms;From & other;Throughout the development &;Perspective, can be introduced for the enterprise key elements such as capital, technology and channels, and through the restructuring mergers and acquisitions, scale and business scope to expand the market faster, etc.;From & other;Innovation & throughout;Point of view, can support enterprise technology and business model innovation, to better control the future new business and technology and market opportunities;From & other;International & throughout;Perspective, can be more widely introduced international resources for the enterprise, such as technology, brands, talent and channel, increase its market value.In the open the key to transformation and upgrading of industrial competitiveness is technological innovation.Not only need to independent innovation, science and technology innovation should also study in the open environment, using the existing technology of the world.By opening to the outside world, China should continue to cross traditional & other;The market for technology & throughout;, & otherCapital in resources throughout the &;Way and implement that adapt to the current state of the economy development & other;In technology, capital and market in intelligence & throughout;The & other;Collaborative innovation & throughout;Open, from the traditional focus on the history of the investments or cooperation object expression and existing value & other;The fruit & throughout;To focus on industry of the future application and development value & other;Looking for saplings & throughout;;Through overseas mergers and acquisitions and the introduction of overseas investment, quickly get the world’s leading technology, to promote domestic technology level of ascension.At the same time, using economies of scale and scope of China’s power market economy the number of human resources and low cost advantages, the same starting line in several industries for corner overtaking, such as IT, mobile payment, etc.& other;Go out & throughout;The overseas investment and & otherIntroduction to & throughout;The foreign investment can bring China the international leading technology.Even domestic partner for investment projects may not have control over, but the investment project management participation and its wide range of spillover effects can also help domestic enterprises technical ability to ascend.At the same time, & other;Go out & throughout;With & other;Introduction to & throughout;Linked to each other.Through & other;Go out & throughout;Introducing foreign advanced technology and experience in China, improving the capacity of domestic enterprises;After Chinese companies will improve the capacity more & other;Go out & throughout;The strength of the.Provided by the investment fund is not just money, is it more of the support of related resources, including technology, talent, management, market, industrial chain integration and so on.Developed on the basis of conventional investment fund kechuang mixed mother funds including direct investment, with investment and cooperation in three ways.First, the investment fund, the world’s major kechuang concentrated area selection and invest in some house in the field of global scientific and technological innovation has excellent stability and financial returns the risk of investment fund, by extensive search again and these funds invest in promising new leading high-tech projects or mark.Second, follow the investment and investment related to China’s economic structure transformation and upgrading of advanced technology for the project, to increase its influence on the specific project or control, to further improve the level of its financial returns.Third, investment cooperation, cooperation with domestic industry investors to invest in the project of China’s huge market value.Compared with enterprise’s direct overseas mergers and acquisitions, mother kechuang hybrid funds political sensitivity is low, investors in social life, more easily through the country investment review;Relative to the industry strategic investors, through extensive raise, lower investment costs, the risks are lower;Relative to just a commission market intermediaries, the investment funds can grow up together with the investors or acquisition, compatible interests.Compared with direct investment fund, mother kechuang hybrid funds for the development of strategic advantage industry strategic foresight and strategic layout, to two or morethings strategic income and financial revenue;Resources and capabilities advantage have global operations and financing ability, rich experience of transnational investment, industrial management and m&a integration experience;Performance advantage by picking the best fund managers and the global investment, set up a local network of huge project move capital and local team, at the same time on the whole, reduce the risk of investment and enhance the level of financial returns;Through the phases of child fund investment, predict project value, reduce the direct investment risks of projects;In terms of project coverage, relative to the single investment fund, has a wider range of search and coverage, can a broader understanding or key technology to master the world frontier.In overseas markets for investment direction kechuang mixing mother fund may be set up at home or abroad to raise funds directly, in the form of RMB or foreign currency in the local or Chinese investment, support overseas projects into China, or Chinese companies to invest in overseas.From & other;Go out & throughout;Mother’s point of view, the funds can be in a larger range, at a lower cost and risk, for Chinese companies looking for suitable investment targets, and effective integration after the merger and local operations.From & other;Introduction to & throughout;Mother’s point of view, the fund can be through its wide range of project and network and the cooperation with excellent investment funds, select and introduce advanced technology of overseas projects to enter the Chinese market, and to provide the full support from China fall to the ground and development, including supporting industrial park, human resources, technology research and development, market channels, financing, etc.Cast between projects at the same time, funds, directly or indirectly by some form of linkage can be formed, which could create or the overall value of the integration of industrial chain effect.Kechuang mother mixed type fund to promote transformation and upgrading as the industry investment fund, it is different from only focusing on financial returns of financial investment funds.Kechuang mother overseas funds combined with mother and the advantage of independent investment fund operation, break through the limitations of their respective, type & otherCombination & throughout;, the introduction of overseas advanced technology more effectively, improve the ability to control or gather international advanced technology to China, to support the transformation and upgrading of industrial structure.Through the mother funds & ndash;The child fund & ndash;Project way, mother kechuang hybrid funds play a multiplier effect, enlarged or move the world kechuang resources on a large scale network, building a global neural network to the forefront of science and technology innovation system, maximize the track frontier and key technologies, the director of the world, for China use.Application of international advanced technology reform domestic existing business or develop new business, realize the industrial chain of the global layout, promoting the international competitiveness of Chinese industry.From the perspective of industry development, the investment fund international advanced technology and business models can be combined with Chinese elements, creating a huge, specific value in China.Many overseas advanced technology and business models are subject to the limited size and slow growth in the market, and China is in a stage of rapid development, and big countries with phase as obvious, huge market, strong and mature manufacturing capacity, abundant capital and resources.In fact, China’s story has been recognized by the international market, and become a catalyst for growth in many foreign projects, also become the overseas capital into China or accepting Chinese capital mergers and acquisitions.From the state advocates & otherOne Belt And One Road & throughout;Strategic perspective, are basically along the countries and regions in developing countries, the most close to the economic and technology development, and even behind China, it is a very good for Chinese enterprises internationalization.China has mature technology and excess capacity basically can output directly, transfer capacity, expand the market, at the same time promote transformation and upgrading of industrial structure in China.Because & other;One Belt And One Road & throughout;Along the countries and regions are relatively backward, so many international advanced technology is difficult to directly apply.China can be localized in the introduction of international advanced technology and the adaptability of transformation based on output, through & other;Introduction & ndash;Digestion (transformation, the transformation) & ndash;Transfer & throughout;The path to & other;One Belt And One Road & throughout;National and regional investment, expand the international market, enhance ability of internationalization.Moreover, & other;One Belt And One Road & throughout;Countries and regions are not at the same technical level, the same technology can be a shift in the gradient.Local governments and businesses can use kechuang features and advantages of hybrid mother fund, gather or leveraged capital at home and abroad, the introduction of suitable for China industry development needs the innovation of technology or project, promote regional economic and enterprise business transformation and upgrading, and the ability of independent research and development of industry in the open environment, promote the global position of the industry value chain, accelerate the construction of made in China and the innovation ability, as soon as possible to achieve & otherThroughout 2025 & made in China;The strategic goal.(the original title: new thinking and new way of transformation and upgrading of China’s manufacturing sector) (the author: high farce tao hua industrial innovation research institute chairman road jump a soldier Media capital partners Jiang Xuewei) (source: China industry news)