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Strategische Implikationen einer geringen Fertigungstiefe für die Automobilindustrie

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  • Hans-Christian Krcal

    ()
    (University of Heidelberg, Department of Economics)

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    Abstract

    In the German automobile industry the vertical integration, as an indicator of value added, is on average low. Beyond the argument of relative high labour costs for manufacturing, several specific reasons for the level of vertical integration, linked to the flexibility of business administration and the requirements of microeconomic mechanisms in the industry, can be found. The analysis based on empirical data including lessons from the early American automobile industry and theoretical explanations underlines the diversity of decision criteria towards a high or low level of vertical integration. The results facilitate the decision making of the OEM’s on vertical integration.

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    File URL: http://www.uni-heidelberg.de/md/awi/forschung/dp456.pdf
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    Bibliographic Info

    Paper provided by University of Heidelberg, Department of Economics in its series Working Papers with number 0456.

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    Length: 30 pages
    Date of creation: Oct 2007
    Date of revision: Oct 2007
    Handle: RePEc:awi:wpaper:0456

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    Keywords: vertical integration; strategic management; automobile industry;

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    1. Studies on the automobile industry

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