英语论文:Options for the Development Pattern of China’s Aut

s, for making options that conform to the law of development. We believe this pattern could be summarized by “establishing the competitive edge as a big country in the course of opening”. This means, firstly, we should base ourselves on opening. To put it specifically, we should gradually integrate the auto industry into the system of international working division under the framework of WTO so as to adapt to and make use of, not reject, the trend of globalization of auto industry. As a rising developing country, China certainly needs some necessary protection over some of its industries. Instead of relying on the protection, it should take an active part in extensive and in-depth international competition and cooperation. Secondly, China should make full use of and cultivate its own advantages. At the present stage, the advantages of China’s auto industry include the overall capability of the manufacturing industry, labor cost and the large market in a big country. These advantages are the comparative advantages according to the theory of economics. But in many cases, comparative advantages are not equal to competitive advantages. The key is to adjust the system, strategy and policies under the opening policy in order to turn the realistic and potential comparative advantages to competitive advantages. Thirdly, the advantage of a large market in a big country is most important. First of all, China’s huge market will yield the effect of scale economy in various links of the auto industry chains. This will mainly be reflected in car assembling and production of some spare parts. And the demand for independent R&D that meets the need of Chinese market will therefore arise. Next, China’s domestic market can accommodate several strong transnational corporations. At the same time, it can also provide space large enough for a large number of domestic enterprises and enterprises with domestic capital. Finally, Chinese market is not only large, but also appears to be obviously multi-layered, which is conducive to the domestic enterprises that started late and are still developing. To be specific, the new development pattern should include the following features: 1. Cultivating a domestic market with active and full competitive environment. Compared with the production and sale capacity of more than 10 million automobiles in the future 20 to 30 years, China’s current auto industry with manufacturing and marketing capacity of more than 2 million cars is still at an infant stage now. Therefore, there will be a necessary, possible, to put it more precisely, unavoidable process of competition designed to select advantageous enterprises, raise enterprises’ competitiveness and explore the market potentials. Due to market access barriers on investment scale and technologies on the current industrial basis, the gradual entry of transnational corporations and the government’s rational policy guidance, competition within the auto industry may take on different characteristics from that in the electrical appliance industry, and the process of competition spurring the industrial growth could be shortened. The urgent task is to foster a domestic environment of active and full competition. The limitation on industrial access should be drastically relaxed; as the government’s direct investment stops, various responsible investors including non-state investors should be allowed to enter the industry; the administrative monopoly by departments and regions should be further done away with so as to form an open and unified domestic market; competition order should be regulated, and new systems should be built to restrict activities that hamper positive competition. The basis of and key to the successful new development pattern is a market with active and full competition, without which development will hardly go on. If this foundation could be laid well, we will have every reason to predict that in a short period of t