1. Economics and Management School
Study on Spatial Correlation Mechanism of Industries between Different Major Functional Areas Based on Grey Target Theory
Wenping Wang, Bin Wang
Economics and Management School
Southeast University
Agu.9, 2016

2. Main Content
Background and Main problems in practice and the existent researches
Network analysis method of industrial spatial correlation between major functional areas
Block models analysis of industrial spatial correlation network between major functional areas
Influencing factors analysis of spatial correlation of major functional area industries based on the grey target contribution degree
Conclusions

3. Background and Main problems in practice and the existent researches
The major functional areas strategy proposed by the "11th Five-Year Plan" of China
The key to promote the coordinated development of cross-regional industries is how to construct a spatial correlation mechanism
There is a strong correlation between control ability and spatial position of cross-regional enterprises(Dicken and Peter )
The basis of regional economic development is the inter-regional mutual investment relation and the spatial industrial distribution formed by upstream and downstream industry(Massey and Doreen,1984) chain
The strategy of major functional areasThe strategy of major functional areas proposed by the "11th Five-Year Plan" of China

4. Background and Main problems in practice and the existent researches
As for regional industrial development, the core-periphery mode could be adopted by using the development of core area to stimulate the development of peripheral area(Scott, Allen J,2011)
the intensity of inter-regional industry linkage is significantly influenced by economic status and spatial distance, meanwhile, the inter-regional industrial linkage has obvious space directivity to the neighborhood areas ,and the regional linkage level has a close relationship with economic development level.(Wang De-li, Fang Chuang-lin,2010)

5. Background and Main problems in practice and the existent researches
· The correlation characteristics of Chinese industry was study based on the block model of social network analysis (SNA), and the industrial structure has centralized trend.(Wang Tong’an,2014)
· Industrial combinations with higher degree of spatial correlation are generally located in developing provinces of China.(Chen Xi,etc,2015)

6. Background and Main problems in practice and the existent researches
· Most of the researches have mainly focused on the industrial correlation effect between spatial adjacent regions, neglecting the impact of the implementation of different major functional area (MFA) strategies on the industrial spatial correlation (ISC) mechanism in various regions. As a matter of fact, the ISC mechanism of different types of MFA in non spatial adjacent regions is increasingly significant for cross-regional coordinated development.

7. Background and Main problems in practice and the existent researches
Beiing-Tianjin-Hebei Metropolitan Region and Ha-Chang City Group are as the typical representatives of Optimal Development Zone (ODZ) and Key Development Zone, research on the ISC mechanism between these two regions provides a representative sample for facilitating the inter-regional coordinated development through realizing the leading role of the ODZ to the KDZ.

8. Network analysis method of industrial spatial correlation between major functional areas
Based on cross regional input-output table, regional industrial spatial correlation network model is established as follow.

9. Network analysis method of industrial spatial correlation between major functional areas
Figure 1 Beijing-Tianjin-Hebei Metropolitan Region and Ha-Chang City Group’s industrial spatial correlation network

10. Network analysis method of industrial spatial correlation between major functional areas

11. Network analysis method of industrial spatial correlation between major functional areas

12. Network analysis method of industrial spatial correlation between major functional areas

13. Network analysis method of industrial spatial correlation between major functional areas

14. Network analysis method of industrial spatial correlation between major functional areas

15. Block models analysis of industrial spatial correlation network between major functional areas
The regional industrial spatial correlation network model is analyzed as follow based on block models.

16. Block models analysis of industrial spatial correlation network between major functional areas

17. Block models analysis of industrial spatial correlation network between major functional areas

18. Block models analysis of industrial spatial correlation network between major functional areas

19. Block models analysis of industrial spatial correlation network between major functional areas

20. Block models analysis of industrial spatial correlation network between major functional areas

21. Block models analysis of industrial spatial correlation network between major functional areas

22. Influencing factors analysis of spatial correlation of major functional area industries based on the grey target contribution degree

23. Influencing factors analysis of spatial correlation of major functional area industries based on the grey target contribution degree

24. Influencing factors analysis of spatial correlation of major functional area industries based on the grey target contribution degree

25. Conclusions The main conclusions are as follows:
The density of the industrial space associated network between the optimization development zones of Beijing-Tianjin-Hebei Metropolitan Region and the key development zones of Ha-Chang City Group is low and the overall link is weak.
Beijing-Tianjin-Hebei Metropolitan Region’s industries have a more important center location; the optimization development zones of Beijing-Tianjin-Hebei Metropolitan Region have a stronger independence ability than the key development zones of Ha-Chang City Group.

26. Conclusions
(3) The industrial spatial association network is block-structured. There are two central blocks with "strong demand" and "strong supply" functions respectively. Overall, there is a single bridge connection between two major functional areas, which represents the supporting function from the heavy industry of the optimization development zone to the equipment industry of the key development zone. (4) The inter-regional industry has positive spatial correlation effect, and the Service industry of Beijing-Tianjin-Hebei Metropolitan Region tends to be stronger in spillover effects and driving effects.

27. Conclusions
(5) There is a block which consists of high load energy industry, construction and transportation in the key development zones of Ha-Chang City Group, it is in the center of the network and belongs to the "strong supply" block. It is the propeller of the regional economic, and transfers the power of the industrial development to the other three blocks. It also contains the block of the secondary sectors and absorbs more direct and indirect outputs from other blocks.
＊Finally, the cause of the industrial spatial correlation mechanism is analyzed using the grey contribution degree. The result shows that different major functional areas should further strengthen the role of industry as the "bridge" and "conduction" for coordinated development.

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