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The Automobile Industry

In: Automation and World Competition

Author

Listed:
  • Ashoka Mody

    (The World Bank)

  • David Wheeler

    (Boston University)

Abstract

In broad outline, the emerging dynamics in the world automotive industry look similar to those in electronics. Three features of the current competitive environment are particularly noteworthy. First, microelectronics are having a powerful impact on production technologies in the industrial countries. Possibilities for labor-saving mass production or flexible custom assembly are expanding rapidly. Secondly, product innovation continues at a rapid pace. Microelectronics and new materials are beginning to have a pronounced impact on automotive products. Some current models incorporate high-strength plastic body components and radically new transmission and steering systems. The next few years will witness replacement of metal by ceramics in major engine components; replacement of traditional wiring by single-cable communications systems linking smart power chips; and the advent of computer mapping and first-generation vehicle guidance systems.

Suggested Citation

  • Ashoka Mody & David Wheeler, 1990. "The Automobile Industry," Palgrave Macmillan Books, in: Automation and World Competition, chapter 4, pages 128-159, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-11312-5_4
    DOI: 10.1007/978-1-349-11312-5_4
    as

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