Spatial Diffusion of Taiwanese Enterprises in Mainland China under the Vision of Rural Industrial Vitalization

Abstract

The Taiwanese, who have accumulated rich experience from the strategy, have greatly promoted the development of the rural economy in mainland China through the establishment of rural Taiwanese enterprises. In the process of the strategy of rural revitalization, it is important to draw on the experience from Taiwan, and to acknowledge the leading role of Taiwanese entrepreneurs. In this study, we considered 941 rural Taiwanese enterprises that were registered in townships and villages in mainland China. Based on the cultural diffusion model, spatial analysis of GIS, and statistical methods, this study analyzed the spatial pattern and evolution of rural Taiwanese enterprises, and predicted the spatial diffusion pattern as well. The study found the following: (1) The reform and opening-up policy leads to the core position of Dongguan and Kunshan, and continues to consolidate the dual-core pattern with a noticeable combined effect. (2) Rural Taiwanese enterprises are mainly engaged in the secondary industry, with characteristics of small-scale and strong independence. They tend to be located in secondary cities in developed regions, in order to reduce costs and obtain maximum profits. (3) They display a V-shaped pattern covering the Eastern coastal line and Hunan-Sichuan line, with Guangdong as the node. (4) It is predicted that, in the next decade, the growth of the enterprises will slow down and their spatial diffusion pattern will be more conspicuous. While the spatial diffusion of Taiwanese enterprises slows down, more domestic investment may lead to industry vitalization in rural China.