Search results

Given the mixed evidence on the relationship between internationalisation and firm performance, the purpose of this study is to investigate the effect of internationalisation on the financial performance in the setting of a matured and stagnant market, the global automotive industry.

The study uses 37 automotive manufacturers covering from 2000 to 2015. Panel regression analyses were used to estimate the relationship between four financial performance variables (return on equity [ROE], return on asset [ROA], return on capital [ROC] and return on sales [ROS]) and three main independent variables (foreign assets to total assets [FATA], research and development intensity [RNDi], advertising intensity [ADVi]), controlling for product diversification, firm size, age and risk.

The findings reveal that automotive firms with a lower FATA ratio, lower RNDi and higher ADVi tend to achieve higher financial performance. However, the intensity of product diversification does not influence the financial performance of global automakers. Ceteris paribus, larger firms in terms of market capitalisation and new entrants into the market tend to have higher financial performance relative to smaller and older firms.

This study contributes to the literature first by examining the relationship between internationalisation and firm performance in the setting of a matured market, i.e. the automotive industry. Secondly, the paper uses a multinational sample at a global level; and third, it analyses financial performance on a comprehensive basis via four measures, namely, ROA, ROE, ROC and ROS, as the dependent variables.

One of the most profitable industries worldwide is automotive manufacturing, with an estimated economic impact of 2.9 trillion dollars, which employs 8% of the economically active world population, both directly and indirectly. The main 12 world powers in the automotive sector account for 80% of the total manufactured vehicles, and Mexico ranks seventh in the world and is part of the free trade agreement in the Pacific Alliance (PA). This fact may have a direct impact on boosting the domestic automotive industry in Mexico by leveraging the manufacturing supply chain in primary and secondary industries in the three commercial partners: Chile, Colombia, and Peru. This chapter found that there is a coincidence in the competitiveness pillars of the Mexican automotive industry and its business partners in the PA. This presents a strategic panorama of competition and economic development for the region.

Merger and acquisition (M&A) is a way to survive and succeed in a competitive global environment as a consequence of new political, monetary and regulatory issues. The complex phenomenon that M&As represent has received consistent attention from the research community over the last 30 years.

M&As are a strategic choice to grow quicker, enter new markets and maximize companies' capabilities, which otherwise would not have been possible. Within the automotive industry, this phenomenon has been seen repeatedly with examples like Mitsubishi-Daimler, Jaguar-Ford, Daimler-Chrysler, Seat-Volkswagen, Daewoo-General Motors and Land Rover-Ford. Although M&A activity has trended directionally consistent with automotive assembly volume, there are some failure cases within automotive industry M&As (e.g., Rover-BMW). In this chapter, the focus is on the intercultural issues of the M&A phenomenon. The underestimation of the cultural factors has significant impact on why M&A operations sometimes fail to achieve the predefined goals.

It is of vital importance for the automotive companies to understand and be aware of these intercultural issues in order to be successful in their merger or acquisition.

The phenomenon of M&A within the automotive industry needs further research and discussions due to the fact that some strategic alliances and M&A proved to be successful (e.g., Škoda-Volkswagen) and others not (e.g., Rover-BMW).

This study aims to identify and prioritize various growth-accelerating factors in the Indian automotive industry. It further develops a hierarchical model to examine the mutual interactions between the factors, their dependence and their driving power.

This study first identifies the growth-accelerating factors and then uses the modified total interpretive structural modeling (m-TISM) framework, which is an extended version of TISM. It further uses MICMAC analysis to analyze the mutual interrelation between the identified factors.

This study highlights the interrelation amongst the factors using m-TISM model. A hierarchical model shows the level of autonomous, dependence, linkage and independent factors considering the Indian automotive industry. This study also provides the understanding related to the interdependence of growth-accelerating factors.

The government and practitioners could evaluate the growth-accelerating factors which have higher driving power for implementing efficient policies and strategy formulation. By implementing m-TISM model in the Indian automotive industry, auto manufacturers can become more productive and profitable. Future studies could use other methods such as expert opinion to derive the factors, and further model could be verified using structural equation modeling technique.

This study uses a novel m-TISM framework for the analysis of growth-accelerating factors in the context of the Indian automotive industry. It further provides a detailed theoretical and conceptual understanding relating to the philosophy and establishes an interrelation amongst these under-researched growth-accelerating factors.

Through its impact on both demand and supply, the outbreak of novel coronavirus disease 2019 (COVID-19) has profoundly disrupted supply chains throughout the world. The purpose of this paper is to explore the underlying drivers of the supply chain vulnerability exposed by COVID-19 and considers potential future directions for global supply.

This paper adopts a case study approach, reviewing the automotive manufacturing sector in Australia to illustrate how neoliberal globalisation policy settings have shifted large tracts of manufacturing from the global north to the global south.

The authors demonstrate the way that neoliberal globalisation policies, facilitated by certain accounting rhetorics and technologies, have consolidated manufacturing in China and Southeast Asia in ways that embed vulnerabilities in global supply chains. The authors present three scenarios for post-COVID-19 supply chains and the accounting techniques likely to garner stronger attention as a result of the pandemic.

The paper illustrates how certain accounting rhetorics and technologies facilitate neoliberal globalisation, embedding supply chain vulnerability that has been exposed by COVID-19. It also suggests how supply chain accounting may develop more robust supply chains in a post-COVID-19 world and sets out an agenda for future research in this area.

A number of practical supply chain accounting and planning technologies are suggested to facilitate more robust supply chains.

This paper draws attention to the neoliberal globalisation policies that have shaped global supply chains as well as how COVID-19, in concert with other geopolitical trajectories, may represent a watershed moment for global supply chains.

The purpose of this paper is to identify the causal relationship between the independent variables such as process quality and product innovation in regard to the dependent variable of competitiveness, in the manufacturing sector of the automotive industry, specifically for Tier 1 auto parts manufacturing companies in the state of Nuevo León, México.

Based on a thorough review of the literature, an instrument was designed to measure the competitiveness of automotive industry manufacturing; it was applied to Tier 1 suppliers of automotive parts in the state of Nuevo León, México. Various statistical analysis tests were applied to the results; first, Cronbach's alpha to determine the reliability of the instrument, and next, a factor analysis to measure construct validity. In addition, a multiple linear regression analysis was carried out to identify the causal relationships between the variables analysed.

This study found that process quality as well as product innovation have independent and positive causal relationships with respect to competitiveness in automotive manufacturing.

The limitations of this paper are its focus on a single manufacturing sector, application in a single country and small sample size.

Companies that supply automotive parts will be able to invest in the key elements of quality and innovation while focusing their efforts on reinforcing their competitiveness.

Auto parts suppliers will be able to perform specific actions to improve their quality processes through lean manufacturing and quality assurance practices and by designing new and innovative products that will enhance their competitiveness.

The purpose of this paper is to examine the automotive product recall risk in terms of social sustainability performance and to evaluate the role of buyer‒supplier relationships in improving social sustainability during product recall crises.

A multi-methodology approach is used to empirically analyse the interrelationship between the proposed constructs and enablers of the buyer‒supplier relationship. Structural equation modelling and interpretive structural modelling are followed to analyse the data gathered thorough a questionnaire survey of 204 executives and interviews with 15 managers from the automotive industry.

The results of the study provide evidence regarding the impact of the responsible buyer‒supplier relationship on customer recall concerns and the social sustainability performance of supply chains (SCs). This study also leads to the development of a conceptual model, providing a relationship between the three key concepts used in this study.

Following social sustainability principles, this study addresses the importance of developing strong, responsible relational ties with suppliers to reduce vehicle recalls or successfully recover from a product recall crisis.

This study contributes to the literature by providing theoretical and empirical insights for developing socially responsible SCs and confirming the role of the buyer‒supplier governance mechanism during product recalls in the context of the automotive industry.

The purpose of this paper is to investigate the status of lean manufacturing in Indian automotive sector, component manufacturing industries in terms of lean adoption, benefits, motivation, and challenges of implementing lean manufacturing practices.

The research objectives were achieved by conducting a qualitative multicase study approach. Fourteen Indian automotive component manufacturing small and medium-sized enterprises (SMEs) were chosen based on their different product offerings as well as differing approaches to the introduction and implementation of lean initiatives. Data were collected through in-depth, semistructured interviews supported by shop-floor observations.

The findings from the present study suggest that some of the participating automotive component manufacturing SMEs have a relatively good understanding of lean concepts and philosophy. However, there is room for further improvement for most SMEs. Major top five lean practices being implemented were found to be cellular manufacturing, total productive maintenance, 5S, work standardization, and quality management practices. Also, leadership and organizational culture were found to be crucial factors for the success of lean manufacturing.

The fact that the data collected for the research study is based on subjective business evidence obtained from company representatives comprises the main limitation of the present study. So, the results should be considered with caution, as far as the lean adoption in Indian automotive component manufacturing sector is concerned.

Based on the present study, suggestions can be made regarding the successful adoption of lean principles, not only for the participating SMEs but also for the whole of the automotive component manufacturing sector. More specifically, by determining the strength and weakness of automotive component manufacturing SME's effort to adopt lean, suitable managerial initiatives can be undertaken by these companies as well as the whole sector to fully adopt lean and derive the respective benefits.

This paper explores the status of lean adoption in Indian automotive component manufacturing SMEs. Considering the unique characteristics of the automotive component manufacturing industry, the present research would be helpful for making strategies to implement lean in automotive component manufacturing industry setups.

The purpose of this paper is to formulate and test a theoretical model to explain inter-organizational cooperation behaviors among suppliers in automotive new product development (NPD) projects. This study aims to investigate the effects of cost and benefit factors on trust and inter-organizational cooperative behaviors among suppliers in automotive NPD projects from the perspective of social exchange theory (SET).

The structural equation modeling method is applied to test the proposed model, which is based on the analysis of survey data from 272 product managers of automotive part suppliers.

Knowledge sharing and coordination effort influence inter-organizational cooperation indirectly through trust. Specially, trust is negatively influenced by coordination effort but positively affected by knowledge sharing. Requirement uncertainty moderates the relationship between cost–benefit factors and trust differently. Specifically, requirement uncertainty increases the negative influence of coordination effort on trust but also strengthens the positive effect of knowledge sharing on trust.

This study provides a relatively comprehensive cost–benefit framework for further understanding the formation mechanism of inter-organizational cooperation among suppliers. It also contributes to SET by incorporating the contextual factor to explain the moderating effect of requirement uncertainty on the relationships between cost–benefit factors and trust in the context of automotive NPD projects.

The purpose of this paper is to examine the identity-related work experiences of women in leadership in the US automotive industry. Drawing upon the communication theory of identity’s four identity frames, this study analyzes women’s narratives to better understand their self-concepts, work relationships and activities within larger corporate automotive contexts.

A qualitative methodology consisting of 16 in-depth interviews with women in leadership in automotive organizations was adopted. Interviews examined women’s perceptions and identities at work, including their daily behaviors, relationships with others and their perceptions of the larger automotive community.

Findings demonstrate that women in leadership in the automotive industry experience contradictory feelings, messages and interactions that impact their identity perceptions and expectations for performance and achievement in their work settings.

The experiences of women in leadership in US automotive organizations could provide examples of identity-related topics valuable to practitioner fields where women seek relevant, gender-specific, guidance, resources and strategies to advance in their careers.

The findings in this study raise awareness about some of the social issues women in leadership face in automotive corporations, including complex identity-related challenges present in their workplaces.

This paper is the first of its type to examine the narratives of women’s career life in leadership in automotive organizations through a communication theory of identity lens. It extends knowledge about female leaders as they navigate the dissonant worlds of achieving higher positions whilst holding membership in a marginalized group.