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Based on the survey of small printing industry in Beijing, Xi’an and Zhengzhou, this paper analyses the development of Xinhua Phenomenon as one case of Rural Migration Entrepreneurship and find that group culture is an important factor to promote the development of Xinhua Phenomenon. Through the econometric analysis, the research finds that Xinhua printing group offers better services than non-Xinhua group to gain the material cost advantage and promote the development of Xinhua Phenomenon.

Material Cost Advantage and Development of Small Printing Industry: Based on the Case of Xinhua Phenomenon