Reducing the market segmentation is conducive to the promotion of regional coordinated development and the scale effect of China's great power market. Based on the provincial panel data from 1989 to 2014, this paper uses the fixed effect(FE) and the spatial Durbin model to analyze the influencing factors of regional market segmentation and found that: The opening to the outside world has a U-shaped impact on the market segmentation. When the opening degree is within the range of [0.843,0.995],the impact will be minimized. Narrowing the technology gap between regions and improving the technology spillovers will help to reduce the degree of market segmentation between regions. The government mainly through the non-economic means to intervene in the degree of market segmentation, which have a significant spatial impact on the market segmentation of neighboring areas. Local governments need to pay attention to the improvement of the welfare level of the residents. The impact of the event will affect the market segmentation in the short term; This paper puts forward the policy enlightenment, which emphasizes accelerate the process of the opening of the backward areas such as the central and western regions, realizes the effect of "internal and external linkage", further improves the inter-regional collaborative innovation mechanism and breaks the competitive situation between the local governments, builds and improves the collaborative system of the local governments.