Abstract: Should underdeveloped regions choose specialization or diversification as the road to industries development from perspective of deepening division of labor? To answer this question，an analysis was conducted taking the specialization and diversification of manufacturing and services sectors as efficiency influences based on the trans-logarithmic production of stochastic frontier model and panel data of 2006—2011 from all cities of Guangdong province.Results showed that production efficiency industries rises as the specialization and diversification of manufacturing sectors rises in underdeveloped regions while it rose as specialization of producer services rose.So the underdeveloped regions should try to increase specialization and diversification of manufacturing sectors.In order to promote environment of industry transfer，it should also increase specialization of producer services like financing services，information services and R&D services.