Mexican competitive advantage in NAFTA: a case of social dumping? A view from the automotive industry Online publication date: Mon, 19-Oct-2020
by Alex Covarrubias Valdenebro
International Journal of Automotive Technology and Management (IJATM), Vol. 20, No. 3, 2020
Abstract: In the midst of the NAFTA renegotiations, the Mexican Automotive Industry (MAI) has drawn much attention. Gaining a progressive share of markets, jobs and portfolio investments within the region and accounting for the entire US trade deficit, the MAI is one of the most critical pieces in the way of a new NAFTA. In addition, the US President, Donald Trump, has criticised it as an example of the shortcomings of the old agreement. These facts call for a better assessment of the MAI's sources of competitive advantage. This paper builds on business cycle theories and socio-economic perspectives of market embedded institutions to provide an additional lens with which to study the MAI and NAFTA. It presents theory and evidence to demonstrate that the MAI position rests on social dumping policies that underpin illegitimate sources of competitive advantage. It then discusses the issues at stake in the current NAFTA renegotiations.
Online publication date: Mon, 19-Oct-2020
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Automotive Technology and Management (IJATM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email firstname.lastname@example.org