Industrial Policy, Multinational Strategy and Domestic Capability: A Comparative Analysis of the Development of South Africa’s and Thailand’s Automotive Industries

Barnes, Justin; Black, Anthony; Techakanont, Kriengkrai

doi:10.1057/ejdr.2015.63

Cited by 21 publications

(17 citation statements)

References 11 publications

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“…The Thai government was able to achieve this success through a policy framework that included protectionism, regional trade access, concessional investment support, skills development, and, perhaps most importantly, the provision of relatively inexpensive labour and overhead costs (Barnes et al, 2015). This is similar to the South African experience in many respects.…”

Section: Manifestations Of Power Influencing Supply Chain Developmentmentioning

confidence: 99%

“…The presence of a strong, modernised and globally competitive automotive sector in South Africa is a key focus of economic policy. This is due to the strong linkages and spill‐overs that exist and how these can positively affect other industries within the industrial ecosystem (Barnes et al, 2015). However, when compared with Thailand, South Africa's auto sector development has been less than impressive.…”

Section: Introductionmentioning

confidence: 99%

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Power and supply chain development in the South African and Thai automotive industries: What lessons can be learnt?

Bell

Monaco

2021

J of Intl Development

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In today's highly globalised, increasingly interlinked and extremely competitive auto industry, it is important to understand how some countries succeed in adopting the latest technologies while others are left behind. The creation of a competitive auto industry requires a deep supply chain. One that can compete in the global automotive space and develop and apply technologies as well as penetrate niche markets. Building on comparative research, this article seeks to understand the factors and power relations that led to the deepening of the Thai auto sector, specifically of its automotive component manufacturers, and how South Africa can learn from it.

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Section: Manifestations Of Power Influencing Supply Chain Developmentmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Power and supply chain development in the South African and Thai automotive industries: What lessons can be learnt?

Bell

Monaco

2021

J of Intl Development

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“…While trade and industrial policy have provided significant support, especially for exports, there have also been substantial improvements in productivity. However, this still lags behind countries such as Thailand in terms of manufacturing costs (Barnes et al, 2017).…”

Section: South Africamentioning

confidence: 99%

The Political Economy of Automotive Industry Development Policy in Middle Income Countries: A Comparative Analysis of Egypt, India, South Africa and Turkey

Black

Roy

El-Haddad³

et al. 2020

SSRN Journal

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This paper examines the political economy of development policy through the prism of four country case studies (Egypt, India, South Africa and Turkey) of the automotive industry. The objective is not simply to examine the developmental impact of automotive policy, but to illustrate how the policy regime has been the outcome of a contested process. Early growth in the auto sector in the four case countries was enabled by rents from protected markets. The emergence of competitive firms is critically dependent on the nature of state-business relationships and the net outcome of the rent-seeking process in the sector. This hinges on the bargaining power of business, foreign or domestic, vis à vis the government. If firms capture subsidies in return for support to weak and vulnerable ruling coalitions, the auto sector in that country can become the classic case of an infant industry remaining stunted. Where the distribution of power is such that ruling coalitions are able to discipline firms in the auto sector, so that they become globally competitive, developmental outcomes have been positive.

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“…The concept of transfer of technology has been associated with the economic and industrial development of many nations (Barnes, Black, & Tekachanont 2017), of which developing countries could take due advantage of the growth potentials inherent in technology transfer to increase their labour productivity and efficiency levels. This idea brought about Adebayo, Olagunju, Ogundipe, and Salman (2017) defining technology transfer as the process of transferring technology from the person or organization that owns or holds it to another person or organization.…”

Section: Technology Transfer and Labour Productivitymentioning

confidence: 99%

Can Technology Transfer Stimulate Labour Productivity: Experience from Nigeria Automobile Sector

Egwakhe¹,

Amos²,

Nicodemus³

2020

IJBM

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This paper argued that technology transfer possesses operational and structural capability to stimulate labour productivity in Nigerian automobile sector. Technology transfer proxies are knowledge transfer, skill acquisition, technology infrastructure, innovation, and adoption and their fundamental effect on workforce productivity. A cross-sectional survey research design was adopted to capture the perception of respondents at a categorical point in time. There were three automobile manufacturing companies in Nigeria from which the responding organisations were drawn.  The unit of analysis consisted of 675 managers and engineers who were randomly selected from a total population of 1,150. The research instrument was adapted, and its content and construct validity were established. Also, it was subjected to reliability test with Cronbach’s alpha value above the minimum threshold. The hypothesis was tested using multiple regressions and the aggregate result revealed a positive significant relationship between technology transfer and labour productivity. The power of the individual result revealed that a positive significant relationship exists between the dimensions of technology transfer (skill acquisition, technology infrastructure, technology innovation, technology adoption, and labour productivity, while knowledge transfer was not significant. The study recommended sustained and progressive technology transfer to enhance workers’ productivity in the sector.

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Industrial Policy, Multinational Strategy and Domestic Capability: A Comparative Analysis of the Development of South Africa’s and Thailand’s Automotive Industries

Cited by 21 publications

References 11 publications

Power and supply chain development in the South African and Thai automotive industries: What lessons can be learnt?

Power and supply chain development in the South African and Thai automotive industries: What lessons can be learnt?

The Political Economy of Automotive Industry Development Policy in Middle Income Countries: A Comparative Analysis of Egypt, India, South Africa and Turkey

Can Technology Transfer Stimulate Labour Productivity: Experience from Nigeria Automobile Sector

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