Reorganization of the Global Automobile Industry and Structural Change of the Automobile Component Industry
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Shimokawa.pdf
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Author(s)
Shimokawa, Koichi
Date Issued
June 26, 2002
Abstract
INTRODUCTION:
The world automobile industry is witnessing an unprecedented scale of
change in the 1990?s. The end of Cold War structure, the rapid spread of the
information revolution and the international economic globalization. The
wave of globalization has directly affected the international automobile
industry and has accelerated the global reorganization of it. First, the
impact of globalization emerged in the financial and securities industries,
which experienced the Big Bang in the 1980?s. Then it spread to the fast
growing information and communication?s industries.
Now the automobile industry is no exception. The automobile industry
was, especially in advanced countries, primarily a national industry, no
matter how internationalized its business content developed. It has been a
representation of a nation?s manufacturing industry serving the best
interests of the nation. Take trade disputes concerning automobiles for
instance. It has been discussed as being related to the arguments of what
should be the correct way to handle automobile trade, the balance of trade,
and the job security for a countries labor force. The automobile industry
also has a wide range of related industries such as the component or
material industries, on which it has had a great impact at an entire national
level. In this sense, the industry was the national industry. Because of this
background, automobile manufacturers in advanced nations constructed
their management strategies that centered on their own country. And their
overseas strategies tightly connected to the domestic strategies and had a
strong tendency to compliment them, no matter how heavily they depended
on their overseas business and exports. Therefore car manufacturers?
competitiveness was closely related to how superior their competitiveness is
in their domestic markets.
Subjects
global automobile industry
reorganization
automobile component industry
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