Problems and Solutions in Undertaking the Outsourcing of Producer Service to Promote China's Manufacturing Upgrading:A Perspective of GVC

Although undertaking international outsourcing of producer enhances production capacity of manufacturing industries in China,manufacturing industries still can not achieve functional upgrading and interchain upgrading,so that our manufacturing enterprises lack market power.This paper analyzes relationships between type of producer services and different organization structures among enterprises,and explains why it is hard for our manufacturing enterprises to upgrade.It is found that developing the key producer service of different manufacturing industries determines whether our manufacturing enterprises can manage functional upgrading and inter-chain upgrading and then grab market power.