A Study on Cooperation Innovation of Industrial Clusters with Government Regulations

Industrial Cluster, as a special economy organizing form, have exhibited its huge compete advantage, and the cooperation innovation mechanism is the important side of it's competitive advantage. However, government regulations play a very important role in cooperation innovation of industrial cluster. In this paper, by establish the coopetation innovation game models among enterprises and government, reveals the cooperation innovation behavior of enterprises. The conclusions shows that a mixed strategy Nash equilibrium will exist between the government and enterprises during cooperation innovation of industrial cluster,and their strategies are interdependent. The government's regulation effect depends upon support level, punishment level and probability of the government for support coopetation innovation.And based on the above analysis, this paper present some countermeasures and suggestions.