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Cross-country Comparative Research on the Impact of Service Industry on Manufacturing Efficiency - Based on Digital Background

In: Proceedings of the 9th International Conference on Financial Innovation and Economic Development (ICFIED 2024)

Author

Listed:
  • Guangmin Hua

    (Tiangong University, School of Economics and Management)

  • Chunhong Zhu

    (Tiangong University, School of Economics and Management)

  • Jianbo Bao

    (Tiangong University, School of Economics and Management)

Abstract

With the acceleration of digital industrialization and industrial digitization, new technologies is driving the transformation of service industry models, which improves the efficiency of service efficiency and ultimately improves the efficiency of other industries especially manufacturing industry. It is conducive to create a modernized industrial chain. This paper first measures service input rate. Then, with the Non-Competitive I-O, this paper decomposes service efficiency into domestic value-added efficiency and import efficiency. Based on the domestic value-added efficiency of service industry, this paper analyzes the impact of service industry on manufacturing efficiency in China, UK, Germany and Mexico. The result shows that most of the domestic value-added of low-end services in China and Mexico has a positive effect on the efficiency of other industries, while most of the domestic value-added of high-end services does not have the same impact. However, in the developed countries such as the UK and Germany, both low-end and high-end contribute significantly to the efficiency of other industries. On this basis, this paper makes a dynamic expansion analysis. Finally, this paper puts forward the relevant countermeasures and suggestions.

Suggested Citation

  • Guangmin Hua & Chunhong Zhu & Jianbo Bao, 2024. "Cross-country Comparative Research on the Impact of Service Industry on Manufacturing Efficiency - Based on Digital Background," Advances in Economics, Business and Management Research, in: Khaled Elbagory & Zefu Wu & Hamdan Amer Ali Al-Jaifi & Shafie Mohamed Zabri (ed.), Proceedings of the 9th International Conference on Financial Innovation and Economic Development (ICFIED 2024), pages 688-699, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-408-2_75
    DOI: 10.2991/978-94-6463-408-2_75
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