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Flexible practices for mass production goals: economic governance in the Indian automobile industry


  • Anthony P. D'Costa


This paper explains the remarkable restructuring of the Indian automobile industry. It argues that firms have had to deploy new governance modes (flexible industrial practices) for economic coordination to overcome supply bottlenecks and meet expanding demand. Firms that failed to adopt these practices performed poorly, while firms that attained economies of scale were able to graduate to exploiting economies of scope. The industry experience suggests that new governance modes can serve mass production goals in developing economies and not just cushion market volatility, for which they were designed. Copyright 2004, Oxford University Press.

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  • Anthony P. D'Costa, 2004. "Flexible practices for mass production goals: economic governance in the Indian automobile industry," Industrial and Corporate Change, Oxford University Press, vol. 13(2), pages 335-367, April.
  • Handle: RePEc:oup:indcch:v:13:y:2004:i:2:p:335-367

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    References listed on IDEAS

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    7. Boone, Jan, 2000. "Competition," CEPR Discussion Papers 2636, C.E.P.R. Discussion Papers.
    8. Granstrand, Ove & Sjölander, Sören, 1990. "The Acquisition of Technology and Small Firms by Large Firms," Working Paper Series 213, Research Institute of Industrial Economics.
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    Cited by:

    1. Mamata Parhi, 2008. "Impact of Changing Facets of Inter-firm Interactions on Manufacturing Excellence: A Social Network Perspective of Indian Automotive Industry," Working Papers of BETA 2008-08, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
    2. Adelheid Holl & Rafael Pardo & Ruth Rama, 2013. "Spatial patterns of adoption of just-in-time manufacturing," Papers in Regional Science, Wiley Blackwell, vol. 92(1), pages 51-67, March.
    3. Adelheid Holl & Rafael Pardo & Ruth Rama, 2010. "Just-in-Time Manufacturing Systems, Subcontracting and Geographic Proximity," Regional Studies, Taylor & Francis Journals, vol. 44(5), pages 519-533.

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