International Journal of Automotive Technology and Management (12 papers in press)
Going Digital, Going Green: Changing Production Networks in the Automotive Industry in China
A conceptual framework for understanding its transformation
by Boy Lüthje
Abstract: The article analyzes the changes in production and innovation networks in the automobile industry in China resulting from the transition to new-energy vehicles and digital driving technologies. This transformation is seen as a fundamental break with the present neo-Fordist growth model in the car industry and a rise of new forms of network-based mass production, comparable to the IT industry since the 1990s. The article traces the complex politics of this transition embedded in different modes of regulation in the Chinese automotive sector, its impact on work and regimes of production, and the perspective of a broad-ranging Foxconnization of car manufacturing.
Keywords: new energy vehicles; global value chains; China; production models; work and labor relations.
Estimating the Welfare Loss due to Vehicle Tariffs in Malaysia
by Daniel Borer, Brian Chua Tatt Shen
Abstract: The Malaysian government initiated domestic automobile production in 1985, pairing it with hefty tariffs on imported vehicles to protect the growing industry. The underlying justification for these measures was the infant-industry argument. To gain empirical knowledge on the effectiveness of the infant-industry argument, the cases of Japan and Spain are briefly analysed. The findings question the prolonged use of the infant industry, suggesting its current ineffectiveness for the Malaysian car. Additionally, the welfare cost of further protecting the Malaysian vehicle industry is estimated using the theoretical framework of the Harberger triangle welfare loss analysis. The welfare cost is estimated for the year 2017, resulting in MYR 7b (US$ 1.7b). It is suggested that the benefits of keeping the protectionist measures are too little to justify this welfare loss. To close the article, policy recommendations are presented to reduce the welfare loss by gradually opening the sector up to international competition.
Keywords: Empirical Studies of Trade; Malaysia; Spain; Japan; Tariffs; Automobile Industry; Welfare Loss; Harberger Triangle; Infant Industry.
Special Issue on: Wifo 2019 Managing New Mobility
Limiting CO2 fleet emissions in the automotive industry A portfolio planning approach
by Christoph Hüls, Christian Thies, Karsten Kieckhäfer, Thomas S. Spengler
Abstract: In this article, a novel portfolio planning approach as a means to limit CO2 fleet emissions in the automotive industry is presented. This research is motivated by several factors challenging product portfolio planning in times of structural changes. Besides ever stricter CO2 legislation, dynamics and uncertainties related to the transformation towards electric mobility need to be considered when deciding on the future range of vehicles to be offered on the market. These portfolio decisions are of particular importance due to long life cycles, long development times and high product-specific investments of vehicle projects. This approach supports the definition of vehicle projects and cycle plans on an aggregation level in line with industry-specific planning requirements and allows for the consideration of temporal dynamics and uncertainties to handle structural changes. To this end, illustrative cycle plans are generated and evaluated based on financial and environmental criteria considering different scenarios of market development.
Keywords: Product Portfolio Planning; Product Portfolio Transformation; Alternative Powertrains; CO2 Fleet Emissions; Emission Reduction; Battery Electric Vehicles; Fuel Cell Electric Vehicles.
Comparing customer perceptions of potential autonomous vehicle manufacturers: An analysis of the relationship between corporate reputation and intention to use
by Jan-Gerrit Grotenhermen, Sven-Olaf Gerdt, Gerhard Schewe
Abstract: The introduction of autonomous vehicles has the potential to change the world of mobility. As they can be understood as really new products, customers cannot evaluate their technical characteristics yet. Instead, customers perceptions of competing companies might be an important determinant of acceptance. Hence, in this study, we examine the role of corporate reputation, precisely character and capability reputation, as well as adverse events to understand what drives customers intention to use autonomous vehicles beyond traditional technology acceptance factors. We highlight differences between three groups of potential manufacturers. Our results indicate that corporate reputation is an important prerequisite for customers acceptance. Furthermore, adverse events negatively affect reputation. Regarding the different groups, we find that mobility start-ups benefit from an overall positive evaluation, whereas consumers are less confident towards traditional automotive manufacturers. The study enhances the understanding of customer intentions in automotive management research and expands the literature on corporate reputation.
Keywords: Autonomous driving; customer acceptance; usage intention; corporate reputation; automotive manufacturer; manufacturer reputation; adverse events.
To Separate or to Integrate? The Normative Effect of National Culture on Organizational Ambidexterity of Automotive OEMs in Transition towards Electric Mobility
by Lucas A. Müller, Michael Stephan
Abstract: The automotive industry is undergoing a disruptive change towards a new era of electric mobility. This transition is characterized by the critical management challenge of organizing and balancing traditional businesses and new venture lines, a phenomenon described as organizational ambidexterity. We investigate how OEMs with different cultural backgrounds handle this challenge. Our suggestion is that national culture plays a crucial role in the firms organizational implementation of explorative and exploitative work since cultural values affect managerial behaviour and the choice of organizational designs. Based on an in-depth longitudinal analysis of eleven car manufacturers from six nations, this work scrutinizes the implementation of different ambidexterity forms and contextualizes the results with Hofstedes work on cultural dimensions. Our findings indicate that structural separation of explorative and exploitative behaviour occurs in organizations rooted in long-term oriented, collectivistic and uncertainty avoiding cultures. Integrative forms of ambidexterity are prevalent in organizations rooted in short-term orientated, individualistic and uncertainty accepting cultures.
Keywords: international management; organizational ambidexterity; organizational design; intercultural management; electric mobility; automotive management.
Special Issue on: Managing New Mobility WIFO2019 Conf
Dynamic Capabilities in the Automotive Industry under Digitalisation A Quantitative Study in the Automotive Supplier Industry
by Heike Proff, Florian Knobbe
Abstract: Digitalisation affects companies at all firm levels: It enables digital processes, digital products/services and digital business models and therefore also complete new digital value systems, and leads to long-term discontinuous change, particularly in the capital-intensive automotive industry. Dealing with changes demands the dynamic capabilities of sensing, seizing and reconfiguring operational capabilities and changing business activities. In times of long-term discontinuous changes under digitalisation, different patterns of (more or less discontinuous and comprehensive) activation of dynamic capabilities and their utilisation for changes in operational capabilities and business activities can be determined. A quantitative study at German automotive suppliers shows that companies fall into five distinct patterns of activating and utilising dynamic capabilities under digitalisation and that this results in distinct leverage points in the business activities.
Keywords: Dynamic capabilities; digitalisation; (dis)continuity; digital value system; automotive suppliers.
Substituting individual mobility by mobility on demand using autonomous vehicles a sustainable assessment simulation of Berlin and Stuttgart
by Guy Fournier, Adrian Boos, Ralf Wörner, Inès Jaroudi, Inna Morozova, Eliane Horschutz Nemoto
Abstract: Our current mobility paradigm increasingly faces economic, ecological and social limits in urban areas. The aim of this paper is to analyse if a shared autonomous Electric Vehicles (EVs) fleet can meet these challenges and at the same time satisfy the current requirements of privately owned Internal Combustion Engine Vehicles (ICEVs). Therefore, analytical models have been developed to simulate and investigate the impacts of mobility behaviour in Berlin and Stuttgart (Germany). The collected data were used to calculate the fleet size, the energy consumption, the emission of particulate matter, nitrogen oxides and the carbon footprint of different shared autonomous EVs in comparison with privately owned ICEVs. The approach shows that the system of a shared autonomous EV fleet could lower externalities (accident avoidance, traffic jams, free spaces, parking costs and lifetime losses) in cities and generate cost benefits for customers.
Keywords: sustainable mobility; urban mobility; future mobility; low carbon economy; electric vehicles; autonomous vehicles; powertrain; sharing economy; mobility service; servitization; frugal innovation.
Special Issue on: Promises, Pitfalls and Social Needs of Autonomous Vehicle Technology
Autonomous Shuttles for Collective Transport: a worldwide benchmark
by Fabio Antonialli
Abstract: The present study aimed at performing a comprehensive benchmark on experimentations with Autonomous Shuttles for Collective Transport. Data was collected online on both academic and grey literature yielding a research corpus of 176 experimentations. Results show a European lead on both the number of experimentations and manufacturers. The majority of the deployments were aimed towards public transportation being short to mid-term trials, mainly offered free of charge to users. Regular-line transport was the prevailing operational mode adopted, meanwhile, on-demand services were present but incipient, mainly due to legal barriers and technological and infrastructural constraints. Eight main typologies of uses able to fulfill both private and public transport offerings were identified, being either focused on solving first- and last-mile issues or microtransit commute. At last, the main common stakeholders were identified, as well as how different forms of value are created and distributed among them.
Keywords: Autonomous shuttles; Urban mobility; Collective transport; Business models; Typologies of use.
FACTORS OF DIFFUSION OF INNOVATIONS: ANALYSIS OF THE LITERATURE OF AUTONOMOUS VEHICLES
by Joao Paulo Nascimento Silva, Kelly Carvalho Vieira, Joel Yutaka Sugano, Gabriel Pedrosa, Cledison Carlos Oliveira
Abstract: The technology of Autonomous Vehicles (AV) has a strong potential of changing the existing market paradigms and carry new challenges. This study addresses the diffusion of AV technology using the Rogers Innovations Diffusion model (1995) in order to better understand the factors that can trigger a higher adoption rate and increase diffusion. The results indicate that research on this topic is still scarce and strongly dispersed, thus not yet prepared to form the defining characteristics of the Innovations Diffusion model. At the end of this article, a theoretical framework and future research venues are offered.
Keywords: Diffusion of Technology; Diffusion of Innovation; Diffusion Factor; Diffusion Barriers; Social Barrier; Roger’s Model; Technology Adoption; Autonomous Vehicles; Terrestrial Mobility; Mobility as a Service.
Innovation Radar for Disruptive Technology Insertion: The Case of Autonomous Vehicles in Brazil and France
by Bruna Habib Cavazza, Thais Assis De Souza, Rodrigo Marçal Gandia, André Luiz Zambalde, Isabelle Nicolaï
Abstract: This paper seeks to identify the critical success factors, to propose a theoretical model of the innovation radar for the insertion of autonomous vehicles as a Product-Service System in a country, and to map and discuss the radar in the context of Brazil and France. Fundamentally, it seeks to address the gap between the development of AVs, the differences between two national contexts, and the lack of specific knowledge about how to manage disruptive innovation in countries. From the results, the intent is to clear diagnosis about the innovation, allowing the formulation of guidelines and actions for the capacity development of a country. The results obtained in Brazil and France were crossed with official data and statistics as a way to corroborate the use of the innovation radar as a tool.
Keywords: Innovation Radar. Brazil. France. Critical Success Factors. Autonomous Vehicles. Product Service System. Trends in mobility. Technology and Innovation. Social and Political Environment. Consumer and Market. Infrastructure and Patterns.
Tapping into Market Opportunities in Aging Societies the example of advanced driver assistance systems in the transition to autonomous driving
by Timo Günthner, Heike Proff, Josip Jovic, Lukas Zeymer
Abstract: The stagnation in car sales in the Triad markets is forcing automotive companies to seek new market opportunities, e.g. in the aging society. The number of older drivers is growing, and they can afford safety- and comfort-related products which allow them to drive into older age despite physical and psychological restrictions. Therefore, potentials for advanced driver assistance systems for elderly drivers are likely to exist in these markets. By determining older drivers willingness to pay for advanced driver assistance systems in the transition to autonomous driving, market opportunities can be identified. This study proves that there are market potentials for these systems in the silver market. However, there is no simple linear relationship between age and willingness to pay. A more thorough examination is therefore needed.
Keywords: advanced driver assistance systems; autonomous driving; willingness to pay; silver market; older drivers; aging societies.
Robomobility for collective transport: a prospective user centric view
by Sylvie Mira-Bonnardel
Abstract: Public transport may be undergoing an important transformation following the arrival of autonomous vehicles. Researchers, think thanks as well as consulting companies have designed many scenarios based on trend analysis of three main dimensions: technology, regulations and uses. The user level of acceptance for autonomous driving represents a key point for any prospective study. Therefore, this article aimed at proposing a use case daily scenario by focusing on the user. We analyse more specifically the implementation of autonomous vehicles for micro transit and commuting by studying user opinions via two field surveys. Discussions with users help us to build and test a use cases scenario and to picture personas whose characters will allow decision makers to better figure out the conditions to leverage the citizens level of acceptance for robomobility.
Keywords: autonomous vehicle; public transport transformation; use cases; scenarios.