Abstract:Based on the theory of innovation ecosystem and system dynamics, this paper constructs the model of automotive industry innovation ecosystem. Using the Vensim PLE to optimize the model, with Shanghai automotive industry for example, this paper analyzes the development trend of automotive industry innovation ecosystem, under the different level of government guidance, research and development spending, and industrial investment within a certain range. The results show that: the rank of effects of three indicators from strong to weak is research and development spending, industrial investment, and government guidance. In the early stage of industry development, the industry added value was sensitive with the change of government guidance, but excessive government guidance would cause negative impact. With the improvement of market mechanism, the effect of governance factors will be weak gradually.