Dynamic research on automobile industry cluster risk based on information entropy

Measurement and evaluation of industrial clusters' risk has received significant attention in recent years. This paper explores a new method of evaluation of the industry clusters' risk on the basis of information entropy theory. A method is proposed to calculate the dynamic risk of industry clusters by using risk indicators. The empirical comparison on Shanghai and America auto industry demonstrates the effectiveness and the objectiveness of the method. It can be concluded that the risk of Shanghai automobile industry cluster overall rises, and there is synchronism between the dynamic risk of Shanghai and America. In the end, some suggestions are present for the better development of Shanghai auto industry.