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Boundaries of firms and catching up by latecomers in global production networks : the case of a Mexican auto-parts manufacturer

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  • Hoshino, Taeko

Abstract

For manufacturing firms in developing countries, there are high barriers to entry and to catching up with competitors in their global production networks (GPNs). This paper examines the case of a Mexican auto-parts manufacturer that succeeded in catching up in the automotive GPN. The author proposes that the door to GPNs is open thanks to frequent changes in the boundaries of firms, and also stresses the importance of the necessary conditions that generate opportunities, including institutional settings that facilitate market entry and catching up, and capability building by firms hopeful of entry.

Suggested Citation

  • Hoshino, Taeko, 2015. "Boundaries of firms and catching up by latecomers in global production networks : the case of a Mexican auto-parts manufacturer," IDE Discussion Papers 492, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper492
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    References listed on IDEAS

    as
    1. Hoshino, Taeko, 1996. "Privatization of Mexico's public enterprises and the restructuring of the private sector," The Developing Economies, Institute of Developing Economies, Japan External Trade Organization(JETRO), vol. 34(1), pages 34-60, March.
    2. Timothy Sturgeon & Johannes Van Biesebroeck & Gary Gereffi, 2008. "Value chains, networks and clusters: reframing the global automotive industry," Journal of Economic Geography, Oxford University Press, vol. 8(3), pages 297-321, May.
    3. Hoshino, Taeko, 1993. "The Alfa Group: the decline and resurgence of a large-scale indigenous business group in Mexico," The Developing Economies, Institute of Developing Economies, Japan External Trade Organization(JETRO), vol. 31(4), pages 511-534, December.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Mexico; Automobile industry; Business enterprises; Industrial policy; Exports; Boundary of firms; Global production network (GPN); Auto-parts; ISI; Export industrialization; Nemak; Alfa; Ford;
    All these keywords.

    JEL classification:

    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L52 - Industrial Organization - - Regulation and Industrial Policy - - - Industrial Policy; Sectoral Planning Methods
    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • N66 - Economic History - - Manufacturing and Construction - - - Latin America; Caribbean
    • N86 - Economic History - - Micro-Business History - - - Latin America; Caribbean
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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