Policy Simulation Optimization Research on Digital Ecology Construction of Small and Medium Manufacturing Industries in Guangdong

This study presents the construction of a digital ecological policy simulation optimization model using system dynamics model, mathematical modeling, and computer simulation methods. The digital ecology in Guangdong Province exhibits a notable trajectory of rapid growth. However, the system is subject to an inverted U-shaped moderating effect from competitive pressure. Specifically, an increase in competitive pressure results in an initial rise followed by a subsequent decline in the growth of digital business cultivation. Moreover, the integration and fusion of digital businesses experience accelerated growth under conditions of heightened competitive pressure. According to these findings, it is suggested that the government should establish consistent policies, offer financial assistance, create regulatory structures, and nurture skilled individuals to facilitate the digitalization of small and medium-sized manufacturing sectors. Additionally, it is recommended to enhance the collaboration and cooperation within the industrial network to encourage the development and improvement of the digital infrastructure.