Technology Transfer in the Global Automotive Value Chain: Lessons from the Turkish Automotive Industry

2012 ◽  
pp. 303-334 ◽  
Author(s):  
Mehmet Teoman Pamukçu ◽  
Alper Sönmez
Keyword(s):  
Technology Transfer ◽  
Automotive Industry ◽  
Value Chain

scholarly journals The mirage of upgrading local automotive parts suppliers through the creation of vertical linkages with MNEs in developing economies

2015 ◽  
Vol 11 (3/4) ◽  
pp. 301-318 ◽  
Author(s):  
Zaheer Khan ◽  
Yong Kyu Lew ◽  
Rudolf R. Sinkovics
Keyword(s):  
Technology Transfer ◽  
Automotive Industry ◽  
Value Chain ◽  
Multinational Enterprises ◽  
Developing Economies ◽  
Illustrative Case ◽  
Content Type ◽  
Vertical Linkages ◽  
Automotive Parts ◽  
Organizational Linkages

Purpose – This paper aims to explore inter-organizational linkages and the extent of technology transfer and develop propositions related to the linkages, technology transfer and upgrading of local suppliers in developing economies. Design/methodology/approach – The authors conduct a literature review and 50 exploratory interviews with senior managers and policymakers in the automotive parts industry of Pakistan. Findings – The data revealed that three major international joint ventures (IJVs) established in the automotive industry of Pakistan have created significant vertical linkages. However, advanced high-level technology transfer has not actually taken place due to the following reasons: IJV parents are reluctant to engage in technology transfer, there is limited support from local government and local suppliers exhibit limited improvement in their innovation capability. The vertical linkage creation and low-medium technology transfer contributes to incremental product upgrading of the local suppliers, rather than their process upgrading and insertion into the global value chain (GVC). Research limitations/implications – This research looked at technology interactions between IJVs and local tier-1 suppliers (not tier 2 and tier 3) in Pakistan’s automotive industry. This paper’ illustrative case indicates what is required for local suppliers in developing economies to make breakthrough upgrades of their products and processes through their vertical linkages with foreign-owned indigenous firms. Originality/value – Unlike prior research, the authors investigate the role of inter-organizational linkages and the extent of technology transfer, and how these affect local suppliers’ product/process upgrading in the local value chain. Highlighting the illusion of upgrading in the GVC, this paper reveals the difficulties involved in upgrading suppliers’ positions (e.g. insertion and functional upgrading in the GVC) through their vertical linkages with foreign multinational enterprises in developing economies. The illusion of upgrading sheds a rather disappointing light on the position of developing country supplier vis-à-vis their powerful international partners.

Value Chains and Industrial Development in South Africa

2021 ◽  
pp. 374-395
Author(s):  
Mike Morris ◽  
Justin Barnes ◽  
David Kaplan
Keyword(s):  
South Africa ◽  
Automotive Industry ◽  
Value Chain ◽  
Industrial Development ◽  
Value Chains ◽  
Technological Advancement ◽  
African Region ◽  
Skill Intensity ◽  
Import And Export ◽  
Managerial Capabilities

This chapter focuses on the dynamics of global value chains (GVC) engagement and industrial development in South Africa through two case studies—the automotive and textiles/apparel sectors. The further industrialization and development of South Africa and of the Southern African region will depend heavily on further developing their engagement in GVCs and simultaneously upgrading their capacities into higher valued and more skill and intensive activities. The automotive industry is import and export intensive, offering the potential for technological advancement, increasing skill intensity and upgrading, and positive economic spillovers. Apparel is domestic market oriented, sourcing domestically, regionally in Southern Africa, and from Asia. It is an example of a low technology, labour intensive industry, exhibiting lower levels of managerial capabilities and skills. It is challenged by raising capabilities to meet new value chain requirements and extending the supplier base to increase value addition (and by implication employment) in the economy.

Impact of stronger patent regimes on technology transfer: The case study of Thai automotive industry

2015 ◽  
Vol 44 (7) ◽  
pp. 1314-1326 ◽  
Author(s):  
Patarapong Intarakumnerd ◽  
Peera Charoenporn
Keyword(s):  
Technology Transfer ◽  
Automotive Industry

scholarly journals Cross-cultural collaboration for inclusive global value chain: a case study of rattan industry

2019 ◽  
Vol 15 (1) ◽  
pp. 149-170 ◽  
Author(s):  
Aluisius Hery Pratono
Keyword(s):  
Technology Transfer ◽  
Multinational Corporations ◽  
Value Chain ◽  
Cross Cultural ◽  
Global Value Chain ◽  
Social Mechanism ◽  
Content Type ◽  
The Social ◽  
Innovation And Technology

Purpose The purpose of this paper is to understand how the cross-cultural collaboration between developed market and emerging economies promotes an inclusive global value chain (GVC) through innovation and technology transfer. Drawing on global rattan industry, this paper identifies the three typologies and social mechanism of cross-cultural collaboration in GVC. Design/methodology/approach This study uses a qualitative method with a case study of rattan industry. The case study analysis covers the linkages between upstream industries in emerging economies and downstream industries in developed countries. Findings The result shows that innovation and technology transfer play an essential role in the cross-cultural collaboration through presenting the creative value-adding process beyond the simple trade of rattan. This study identifies the social mechanism of cross-cultural collaboration in three GVC typologies of rattan industry. Research limitations/implications The study was undertaken between 2015 and 2017. The observed value chain in rattan industry context demonstrates the selected business network from Indonesia to the European countries. Practical implications There were some activities that worked well for decades, such as creative innovation and technology transfer from multinational corporations to small businesses. The initiative to promote brand seemed to work less well for the local designers in developing countries from being part of the GVC. The creative innovation and technology transfer from multinational corporations to rattan farmers continued to struggle. Originality/value This study draws a distinction between the typologies of GVC, where cross-cultural collaboration has developed slowly and those where it comes about quickly. This extends the discussion about creative value between players in developed and developing countries, including the social mechanism of cross-cultural collaboration in GVC.

Korea’s Foreign Direct Investment in the Automotive Industry in China

China Report ◽  
2018 ◽  
Vol 54 (2) ◽  
pp. 175-193 ◽  
Author(s):  
Jungmin Lee ◽  
Jai S. Mah
Keyword(s):  
Developing Countries ◽  
Foreign Direct Investment ◽  
Technology Transfer ◽  
Automotive Industry ◽  
Direct Investment ◽  
Policy Implications ◽  
Foreign Firms ◽  
Job Opportunities ◽  
Korean Firm ◽  
The Impact

This article examines the impact of foreign-invested enterprises in the development of China’s automotive industry. It particularly focuses on the case of foreign direct investment (FDI) by a Korean firm, namely, the Hyundai Motor Company, in China. The Chinese government’s policy regarding the automotive industry allowed China’s domestic manufacturers to benefit from technology transfer, as foreign firms were not allowed to invest exclusively in China without a partnership. The contribution of Korea’s investment in China’s automotive industry would comprise the creation of job opportunities, technology transfer and the development of the automobile parts industry. Korea’s investment in the automotive industry of China has policy implications for China and other developing countries trying to expand their technology-intensive industries.

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