Abstract:    Participatory policy formulation is an important trend of policy innovation. Regarding to this theme, most of the previous studies are focused on the "de-governmentalization" topics such as participants and methods of democratic decision-making. However, taking "participatory policy formulation" as a process of "democratization" is obviously inconsistent with the reform direction towards "promising government". According to the announcement of the General Administration of Customs on the Implementation of Matters Related to the Management of Enterprise Coordinators \[Announcement No. 181 (2018) of the General Administration of Customs\], Dalian Haier Refrigerator Manufacturing Company has achieved a miraculous innovation through the "internal processing" policy. This paper was based on the example of Dalian Haier Refrigerator Manufacturing Company, and aims to study the deepening process of participatory policy innovation in the context of "promising government". The case of Haier not only has widened social recognition, but also developed in the international, legal, and market-oriented innovation environment. As a result, the basic information of the case can be easily searched, and it does not involve any sensitive issues related to government-enterprise cooperation such as ownership.According to the standard principles of case study, the paper is mainly divided into five parts: introduction, literature review, research design, theoretical analysis, conclusion and contribution. First, in the introduction part, the author posed the problem of the applicability of relevant researches in the context of "promising government" in China based on the literature review of "participatory policy making". Then, relevant theories on the customer′s participation in innovation were mainly introduced in the literature review section. As for the research design, this paper presented a detailed description of the source of the case information and the design of the research program. Besides that, in the research design section, the development history of Haier Refrigerator Manufacturing Company was presented based on research data. Finally, a theoretical analysis was made including two parts: response to traditional theories and that to theoretical innovations.To be specific, Haier Company has realized the customization of policies by participating in policy innovation. In this process, Haier Company not only satisfied its own demands on social policy, but also achieved the collaborative innovation of enterprises and social policies. In previous studies, there were two main theoretical explanations regarding to this topic: the explanation of participatory policy-making by traditional public management theory and the explanation of enterprise capability by traditional enterprise strategic management theory. But both of the two theoretical explanations cannot response to the operation mechanism of Haier Company directly. Through the longitudinal analysis of the case and the communication with traditional theories, the paper put forward the following viewpoints: (1) In the context of Chinese "promising government", only by opening up the co-governance environment will never achieve the vertical deepening of participatory policy formulation. Instead, only the embedding of governance chain will promote the vertical deepening of participatory policy innovation directly; (2) Market entities can promote policy innovation through the embedding of governance chain, which is actually an endogenous process of policy innovation by enterprises. To be exact, the mutual empowerment between external policies and corporate strategies can be realized by improving the accuracy of policy supply. (3) The process of embedding governance chain is a process in which market entities are embedded into governance entities. As a result, the participants in policy innovations embedded in the governance chain cooperate more closely, and the professional complementarity of different entities can be effectively brought into play, which promotes the vertical deepening of participatory policy innovation.In conclusion, the paper has put forward a new idea of promoting participatory policy innovation in the context of "promising government". To be exact, we should start from encouraging the deep cooperation between the government and the enterprises, which will promote them both to play a professional role in the whole process. While at the same time, the most important thing is to enhance the governance chain embedding, which will be the breakthrough for the work. In a word, this paper will have high reference significance for the theory of participatory policy formulation and the practice of participatory policy innovation in the context of "promising government".

Key words: free trade zone, participatory policy innovation, embedment of governance chain