What does industrial integration mean?

Industrial integration refers to the industrial form and mode of economic growth in which agriculture, industry, service industry, information industry and knowledge industry, which have appeared successively in time and are at different levels in structure, penetrate, tolerate and integrate each other in the same industry, industrial chain and industrial network.

Industrial integration is a dynamic development process, and it takes a process from the bud of integration to the final realization of industrial integration, and there are different development States between them. The difference in the development degree of industrial integration can be understood from two aspects.

Industrial integration is not the result of internal division of labor in an enterprise or some enterprises, but the substitution of social division of labor in all enterprises or main enterprises. Therefore, it is a dynamic development process from the beginning of expanding the division of labor in innovative enterprises to the final realization of industrial integration.

On the other hand, different types of industrial integration have different degrees of development. The integration of two or more industries will form a new format, which does not necessarily mean the disappearance of the original industry. Industrial integration usually occurs at industrial boundaries, showing partial integration rather than complete integration.

Types of industrial integration

From the perspective of industry, industrial integration can be divided into three categories: industrial penetration, industrial intersection and industrial reorganization.

1. Industrial penetration refers to the industrial integration of high-tech industries and traditional industries at the border.

2. Industrial crossover refers to the realization of industrial integration through functional complementarity and extension between industries, which often occurs in the natural extension of the industrial chain of high-tech industries.

3. The adjustment of industrial structure mainly occurs between closely related industries, which are often sub-industries of a large class of industries.