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Diamond cluster system based on the life cycle of

Abstract: In order to further enrich the Michael? Potter (Michael E. Porter) of the diamond Industry cluster theory to explain the competitiveness of power, drawing on the more mature tourist destination life cycle theory, the basis of the life cycle of the Industry cluster is divided into occurrence stage, Development stage, mature stage, the decline or recovery phase, with eight elements assume the diamond Industry cluster model at different stages of the life cycle characteristics of the diamond system, the leading power factor of the portfolio and changes in the level of competition and other laws of evolution.

Keywords:: diamond model; Industry cluster; life cycle; Analysis
Experience shows that a large number of local enterprise clusters is to promote world Economic growth, the diamond-based Industry cluster system life cycle analysis should be an important competitive advantage of cluster components. Potter industry cluster in 1998, was born into the life cycle (birth ), evolution (evolution), decline (decline) in three stages [1], but the lack Porter fully integrated with the diamond system and explain to the system. In order to further enrich the theory of Porter's diamond industry cluster competitiveness of the explanatory power of this learn from more mature in the Tourism area life cycle theory based on, added the diamond-based industry cluster system architecture and life cycle analysis methods. 

First, the life cycle of industrial clusters  Overview

The life cycle of industrial clusters in the industries and products made from the life cycle theory. Economists Geding (Golding) and Freeman (C. Freeman) in 1972 and 1982, respectively, proposed the industry and product life cycle theory. industry cluster life cycle (life cycle of industrial cluster) is the industrial cluster formation and evolution of the general law of reflection, Tichy will cluster into the life cycle of birth (formative), growth (growth), mature (maturity) and recession or rigid (petrify) in four phases [2], Ahokangas, Hyry and R  s  nen to the evolution of regional industrial cluster is divided into stages of occurrence and apparent (origination and emergence), stages of growth and convergence (growth and convergence) , mature and adjustment phase (maturity and reorientation) [3]. 
Wei Shouhua leading industrial clusters based on differences in power will be divided into life cycle industry cluster occurrence, growth and maturity, and concludes with a qualitative approach the general characteristics of each stage [4]. Liu Bin, the evolution of the cluster formation process is divided into , quickly gather and stable Development and decline of four stages, each stage and summed up the factors and characteristics [5]. TRAFFIC, Ji-Xiang Chen that the industrial cluster will Experience the life cycle of Development from birth to the recession process and on how to prolong life cycle to enhance the competitiveness of industrial clusters expressed their views [6]. Liu Mengda path to the evolution of industrial clusters gather into primary, intermediate and advanced gathered together in three stages [7]. 
Porter was born into the industry cluster cycle (birth), evolution (evolution), decline (decline) in three stages, and from the historical origin, after the formation of clusters and clusters of self-reinforcing cycle all the possible reasons for the decline were explained by three Note [8]. Potter is declining competitiveness of industrial clusters emphasizes the acceleration of inertia, but does not deny the vitality of industrial clusters in the recovery and sustainable Development, this idea embodied in his four stages of the Development of national competitiveness, the division and description on. He believes that rich country enters the phase-oriented economy will decline, but still has unlimited potential to get caught in the quagmire of the national wealth-oriented stage back stage or other stages of production-oriented to regain competitiveness. Therefore, the Department In the mature stage of development of industrial clusters can have two paths: recovery and recession. Of course, according to Porter conclusions of the study of industrial clusters, industrial clusters the probability of eventually decline much larger, but also into the recovery indicates industrial clusters may enter a new round of life-cycle, go through the various stages of life cycle stages or in part. 

Second, with the Tourism area life cycle theory of comparative discussion 

In fact, the life cycle of the local industry cluster theory and application of the most, and the more successful is the theory of the life cycle of Tourism clusters. The life cycle of Tourism cluster focused on Tourism in the tourism life cycle of academic Research and planning applications last, after decades of development, has become a more mature tourism destination life cycle model (the life cycle model). The concept of tourism area life cycle was first used by W. Christaller (1963) in the study raised the tourism development in Europe , and by scholars and widely recognized tourist destination life cycle theory is put forward by the Canadian scholar RW Butler's [9]. Butler that the tourist's life cycle is a cyclic process of evolution through six stages, namely the exploration stage , in phase, development phase, consolidation phase, stagnation and decline phase or recovery phase [10]. 
Cooper tourist life cycle theory of a systematic evaluation, tourism area life cycle application of the theory can be divided into three main areas: (1) as a tourist to the interpretation model; (2) to guide marketing and planning; (3 ) as a predictive tool [9]. the tourism area life cycle theory of industrial clusters and the current life cycle of the general theory of comparison, we find that the difference between the two is that: 
1. Tourism Area Life Cycle theory reveals the development of the local tourism industry cluster will not only decline, but also can have different paths to recovery. And the development of the status of local industrial clusters corresponding to the life cycle of industrial clusters in China, Researchers also less concerned about the decline of the cluster stage of development, but also lack of consideration of possible recovery and the way the cluster. 
2. Tourism Area Life Cycle theory points out the different stages in the life cycle can be adjusted and controlled man-made "people systems" thinking, and values ​​and how to play the local government, agencies such as the role of actors, and life under the industrial cluster the law of development cycle for "Some control" Research is still lacking. 
3. Tourism Area Life Cycle theory has a prediction function, is a very good description of the tool in tourism planning and development has been a good application and practice. However, current Research industry cluster life cycle of the scholars also generally in the importance of "awareness" stage, still trying to investigate the qualitative and summarized the various stages of cluster life cycle characteristics and the law of development is not yet determined the cluster life cycle stages of development of consensus at the regional (city) Industry Planning in even more is the lack of application, has not yet become a planning and practical application of the interpretative tools. 
Porter spite of the development of industrial clusters of the three stages of the life cycle, but he did not in-depth analysis with the diamond system, the evolution laws of these three stages, Tichy, Ahokangas other scholars, there is no competition from the diamond industry cluster system perspective Analysis of the power and features of the life cycle. Therefore, the system added the diamond industry cluster based on life cycle analysis, and cluster competitiveness as an important component of analysis, helps improve the competitiveness of local industrial clusters and study the microscopic analysis framework Methods. 

Third, the system based on the diamond industry cluster life cycle 

In "" State competitive advantage>> in the Porter Building, including the "factors of production," "related and supporting industries," "demand conditions" and "corporate strategy, corporate structure and competitive," the four key elements and "Government "and" opportunity "consisting of two non-direct diamond element model [1]. Based on Porter's diamond system theory, combining domestic and foreign scholars to discuss the theory of critical and closely linked cluster of national and local practice, This "regional culture" and "foreign investment" are two elements into the diamond model, assuming that the "government" and "opportunity" with the indirect as exogenous factors, which raised the need to verify the competitiveness of industrial clusters assume the diamond system model, and assuming eight elements of the diamond industry cluster model to analyze the different stages of the life cycle characteristics of the diamond system, the leading power factor of the portfolio and changes in the level of competition and other laws of evolution.  Links to Research Papers Download http:// www.hi138.com 1. occurred stages (formative stage): This is the initial local industrial clusters, in its infancy, is characterized by a number of similar and related businesses concentrated in certain geographical area, where a more specialized index high, the primary factors of production (or general factors of production), local culture (entrepreneurship) and the government role in the competitiveness of industrial clusters tend to be the main source of opportunity is likely to be caused by an important factor in industrial clusters. However, the phase little demand for domestic and foreign markets, focusing on price sensitive market, supporting industries, related industries and related support institutions is not perfect, the competition among enterprises and linkages are weak. cluster's competitiveness in the phase of the weakest between elements of a certain "pull" force, a dynamic trend in the formation of the system. 
2. Development stage (development stage): the primary factors of production to the stage and the government is still the dominant factor in competitive advantage, but the clusters tend to advanced and professional factors of production owned by the government to attract foreign investors, promoting foreign trade, and create the environment and provide service status of prominence, the stage of market demand, related and supporting industries, competition, foreign investment increased for the competitive advantage of dominant power. market demand continues to rise and led to the upstream and downstream of the secondary industry, foreign investment (including Inward FDI and domestic investment) and exports continue to increase and expand to the rapid increase in the number of enterprises and gradually expand the industrial scale, a cluster collaborating institutions (institutions for collaboration, referred to as the IFC) has gradually become an important force in cluster development, competitiveness of local enterprises and cooperation has been enhanced and deepened, and gradually formed a local production system. regional culture that has created a social network and gradually developed into an innovative culture to enhance the enterprise embeddedness, businesses and individuals are highly conscious of work and power. This phase competitiveness of the cluster increased rapidly progressive full diamond system elements, between elements of the "pull" a significant effect on upgrading the system's dynamic is very strong, and the formation of self-reinforcing the competitiveness of the system. 
3. Mature stage (maturity stage): the number of enterprises within the cluster relatively constant, part of the business development for large businesses or multinational corporations, in the rising global value chain. Dependent on low-cost position of the primary factors of production decreased rapidly, competitive advantage mainly depends on the innovative factor of production. cluster of products to reach the largest domestic demand, domestic market saturation, the demand for international mainstream. relevant and support the industry is very developed, especially those with highly developed service industry professional support industry cluster. Regional innovative culture encourages innovation environment and innovation network formation. Meanwhile, the stage of being ignored and the weakening of domestic competition, the Government reduced the force, rapid decline in foreign investment, the demand for sophisticated and complex enterprise has also led to an increased risk of . In general, the phase of the Diamond system is in a state of relatively stable, the system elements of interaction and interdependence, the system robust and stable power, there may be slight fluctuations, the competitiveness of the cluster maximum. 
4. The decline or recovery phase (decline or rejuvenation stage): In the decline stage, the cluster products, domestic and foreign markets shrinking and the recession, advanced and professional training and factors of production, lack of creativity, foreign disinvestment, belongs to the cluster of related industries will have detachment, dissolution, employee competition, innovation and lack of awareness, awareness of the work down, eventually leading to the disintegration of the cluster. diamond some elements of the competitive advantage of the system loss, degradation, and affect other elements, system functions subsided, the system operation and back disorders, and produce inertia, resulting in the collapse and disintegration of the diamond system, competitiveness and disappear so weakened, industrial clusters are likely to enter the rehabilitation phase. but to enter the rehabilitation phase, which may come from new opportunities, it could be elements of renewal and upgrading product transformed to adapt to new demands of the market, the adjustment of corporate strategy, coupled with government intervention and the right-obsessed culture of innovation, allowing the system to re-strengthen the inter-elements, the function of the diamond system, power they may have been restored and continued to improve, cluster competition force will enter into a new round of rehabilitation stage or life cycle. 
But there is a special case, after the revival of industrial clusters might not be the original meaning and nature of the cluster, the cluster is entirely possible on the basis of the original or with other cluster (industry) and the cross which is another new type of cluster, the life of the new cluster cycle has not the original cluster of simple continuation of the life cycle, but a new type of cluster the beginning of the life cycle. It is like the suburbs of urbanization on rural tourism in the city's influence as the life cycle, the role of urbanization in general will speed up the suburbs The Rural Tourism into the life cycle of stagnation and decline phase, and will eventually stop, is irreversible, JP +1〗 〖Rural Tourism if the original changes in the theme park, amusement parks, urban green space and parks, it seems Rural Tourism started to recover the original, the essence of the rural tourist destination into a tourism city, is of another type of tourist to the characterization of the life cycle. 

IV Conclusion 

To further enrich Michael? Potter (Michael E. Porter) of the diamond industry cluster competitiveness theory the explanatory power of this industry cluster in the life cycle of discrimination on the basis of literature, drawing on more mature tourism area life cycle theory, the local cluster into the life cycle of the occurrence, development, maturity, decline or recovery of four stages, and concluded with the diamond industry cluster system at different stages of the life cycle system characteristics of diamonds, diamond system, a combination of factors leading power and change laws. This not only enriches the competitiveness of industry cluster analysis, but also to grasp the practice of industrial clusters in the development stage, "retreat" mechanism and laws of the development of industrial clusters artificially control, to promote the healthy development of local industrial clusters.


References:
[1] Dunning, JH, Bannerman, E. and Lundan, SM Competitiveness and industrial policy in Northern Ireland, Northern Ireland Research Council, Research Monograph 5, March, 1998.

[2] TRAFFIC, Ji-Xiang Chen. Industrial Cluster Competitiveness Review [J]. Foreign Economic and Management, 2004,26 (10) :2-9.

[3] Ahokangas, P., Hyry, M. and R  s  nen, P. Small techology-based firms in fast-growing regional cluster. New England Journal of Entrepreneurship, 1999 (2) :19-26.

[4] Wei Shouhua. Dynamics of Industrial Clusters and empirical analysis [J]. World Regional Studies, 2002 (3) :16-24.

[5] Liu Bin. Competitive Advantage of Industrial Cluster Economic Analysis [J]. Beijing: China Development Press, 2004.

[6] TRAFFIC, Ji-Xiang Chen. Dynamic mechanism based on the development of industrial clusters in China [J]. Economic Geography, 2005 (5) :607-611
[7] Liu Meng Da. Regional Economic development of a new space [M]. Hangzhou: Zhejiang University Press, 2005.

[8] Porter, ME Clusters and the new economics of competition. Harvard Business Review, 1998 (11): 77-90.

[9] Ji-Gang Bao. Tourist Area Life Cycle Theory and Tourism Planning [J]. Architects, 1998 (85): 41-50.

[10] Butler, S. The concept of a tourism area cycle of evolution: Implication for management of resources. Canadian Geographer, 1980 (24) :5-12.

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