The German connection: shifting hegemony in the political economy of the South African automotive industry

Barnes, Justin

doi:10.1093/icc/dth031

Cited by 15 publications

(21 citation statements)

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“…The automobile industry is one of the most extensively researched commodity chain [14,3,27,22], and illustrates how profits freed by small capitals are captured by normal capitals. Three main players exist within this particular chain: car manufacturers, first-tier suppliers, and lower-tier suppliers.…”

Section: Core-periphery and Commodity Chains: Conceptualizing The Regmentioning

confidence: 99%

Ports, regions and manufacturing systems: Automobile manufacturing in Kyushu, Japan

Guerrero¹,

Itoh

2017

Case Studies on Transport Policy

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The locations of seaports and manufacturing activities in Japan have changed considerably since World War II. Despite the geographic spread of economic activities over decades and the uneven development of ports, the cores of both systems have long remained in the same metropolitan areas. While co-location does not provide necessary or causal connection, strong a priori grounds can be offered to posit that a necessary relationship exists between the Japanese manufacturing system's geographic expansion and changes in the maritime transport network. A case study of automobile industry's recent development in the peripheral region of Kyushu identifies some drivers of these evolutions at the level of one particular sector. This suggests that, despite the development of high capacity transport infrastructure and manufacturing facilities in the Japanese periphery, the current manufacturing core is not yet threatened

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Section: Core-periphery and Commodity Chains: Conceptualizing The Regmentioning

confidence: 99%

Ports, regions and manufacturing systems: Automobile manufacturing in Kyushu, Japan

Guerrero¹,

Itoh

2017

Case Studies on Transport Policy

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“…Most studies have thereby focused on low-cost manufacturing clusters -geographic concentrations of producers (typically subsuppliers) of manufactured goods and components that are sold to original equipment manufacturers (OEMs) and/or distributors in Western economies. Examples include textiles and electronics manufacturing clusters in Latin America and China (Altenburg and Meyer-Stamer, 1999;Moreira, 2006;Jenkins et al, 2007); automotive production clusters in Eastern Europe, China and South Africa (Depner and Bathelt, 2005;Barnes and Morris, 2004). These clusters typically have in common a strong orientation towards global clients, and a large pool of low-cost, often low-skilled manual labor Western manufacturers utilize -either directly or through external suppliers -in order to cut production costs (see e.g.…”

Section: From the Original To New 'Silicon Valleys': A Brief Reviewmentioning

confidence: 99%

New Silicon Valleys or a new species? Commoditization of knowledge work and the rise of knowledge services clusters

Manning

2013

Research Policy

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“…The vehicle export strategies of the German companies (BMW, Volkswagen [VW], and DaimlerChrysler) were motivated partly by the fact that none of them had a wide global distribution of plants. 20 The South African operations, therefore, benefited from the globalization of German vehicle manufacturers looking to expand capacity, increase their share of output outside of high cost Germany, as well as retain their strategic foothold in the southern African market. This required greater production efficiencies and export capability requiring in turn larger investments and a degree of rationalization of the product line.…”

Section: Location Policy and Multinational Strategy 497mentioning

confidence: 99%

“…20 20 See Barnes and Morris (2004) for a perspective on the key role of German carmakers in the South African automotive industry. …”

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Location, Automotive Policy, and Multinational Strategy: The Position of South Africa in the Global Industry since 1995

Black

2009

Growth and Change

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The South African automotive sector has become much more integrated into the global industry since 1995. Rapid export expansion has shifted its orientation fundamentally away from its focus on the small domestic market and the industry is widely regarded as a success story of South Africa's democratic transition. However, important vulnerabilities remain, and it is by no means clear that the mode of integration has been particularly favorable to the long-term development of the industry. The relatively small size of South Africa's domestic market and its regional location pose clear disadvantages in terms of attracting international investment. Integration into the global industry has therefore been partial and continues to reflect a degree of hesitancy by multinational firms to make really major commitments to the South African industry. The warning signs include recent import expansion and low local content in domestically assembled vehicles. Automotive policy has also produced distortions, encouraged uneconomic investments, and led to unforeseen side effects. These impacts limit the gains that have been made and are likely to cause complications in the future. Copyright (c) 2009 Wiley Periodicals, Inc..

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The German connection: shifting hegemony in the political economy of the South African automotive industry

Cited by 15 publications

References 0 publications

Ports, regions and manufacturing systems: Automobile manufacturing in Kyushu, Japan

Ports, regions and manufacturing systems: Automobile manufacturing in Kyushu, Japan

New Silicon Valleys or a new species? Commoditization of knowledge work and the rise of knowledge services clusters

Location, Automotive Policy, and Multinational Strategy: The Position of South Africa in the Global Industry since 1995

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