First Finance and economics: regional Economic Smile China

Thank you host, welcome to Gou Viewpoint. This morning I attended the press conference of Guangdong Governor Huahua, and he talked about the measures to be taken in Guangdong during the 35 period to promote the development of the Northwest region. There is a saying that "the richest place in the country is in Guangdong, and the poorest in Guangdong." "Guangdong, although the gross domestic product ranked first, but the Pearl River Delta region and the northwest of Guangdong province, the development of a huge difference between the development of Guangdong is a scar." But today, Huang did not use the word scar, he thought it was an opportunity, because the vast northwest of the eastern region of the Pearl River Delta area for the developed industrial transfer and labor transfer provides a huge hinterland, the Pearl River Delta is responsible for product design and marketing, and the huge manufacturing base to the northwest of Guangdong,　　This can be in Guangdong local to form a complete industrial chain. In fact, the imbalance in Guangdong is a microcosm of China's current economic imbalance. Developed in the east and backward in the West, a statistic from the British economist shows that some of China's big provinces have GDP that is wealthy, such as the 2010-year GDP of Guangdong province, which is almost the same as that of Indonesia, but only dozens of of Guangdong's GDP in the next few provinces.　　The Great Western region is in dire need of development. Talk about the industry chain has a famous smile curve, it is the bottom of the processing and manufacturing links, this part of labor-intensive, but the gross margin is not high, the two ends of the smile curve is research and development, technological innovation, brand, logistics, this part is intelligence-intensive, but higher margin.　　If you take the ipad for example, the cost of a 499-dollar ipad is 259.6 dollars, and the remaining 239.4 dollars are Apple's creative, design and marketing gains. Some of the references we have heard in recent years are Western development, the rise of central China, the revitalization of the Northeast, and regional economic zones in the east. If you take the smile curve for example, I think this series of regional economic district after the arrangement is to let this curve, that is, the entire industrial chain to stay in China.