Title: Innovation capabilities in the Brazilian automobile industry: a study of vehicle assemblers' technological strategies and policy recommendations

Authors: Ruy Quadros, Flavia Consoni

Addresses: University of Campinas, Institute of Geosciences, Department of Science and Technology Policy, Caixa Postal 6152, Cep: 13.083.970, Campinas, SP, Brazil. ' University of Sao Paulo, Department of Sociology, Av. Prof. Luciano Gualberto, 315, sala 1063, CEP 05508.010, Butanta, Sao Paulo, SP, Brazil

Abstract: This paper is concerned with the development of technological capabilities in the Brazilian subsidiaries of multinational assemblers in Brazil, particularly their involvement in Product Development (PD). The paper addresses the following issues: What roles have vehicle assembly subsidiaries played in building up local technological capabilities in PD in Brazil? How complex are such activities? Are innovative technological capabilities being accumulated as result of the involvement of subsidiaries with PD? Complementary, the paper addresses the question of what are the implications of assembler|s PD location strategy for local auto-parts producers. The paper concludes with policy implications and discussion on the benefits of decentralisation.

Keywords: automobile industry; Brazil; product development; technological capabilities; decentralisation; transnational corporations; TNCs; subsidiaries; vehicle assembly; technological innovation; location strategy; automotive parts.

DOI: 10.1504/IJTLID.2009.021956

International Journal of Technological Learning, Innovation and Development, 2009 Vol.2 No.1/2, pp.53 - 75

Available online: 11 Dec 2008 *

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