Modularity ten years after: an evaluation of the Brazilian experience
by Mario Sergio Salerno, Otavio Silva Camargo, Mauro Borges Lemos
International Journal of Automotive Technology and Management (IJATM), Vol. 8, No. 4, 2008

Abstract: In November 1995 Volkswagen (VW) do Brasil announced a plan to build a new truck plant with a new form of organisation, the so-called modular consortium. Since then, many auto plants around the world have introduced some ideas on modular assembly and design. An evaluation of this period is our main objective in this article. First, we assert that the concept of modularity in the automotive business goes beyond design, product and use. Modularity implies to share investments and risks, and can be analysed as a service relation. We propose a consideration of Zarifian's (2001) specific definition of service as the transformation in the conditions of activity of an addressee or of their action facilities, a transformation whose consequences are judged valid and positive by the addressee or by the collectivity. At the end, we discuss the limits of modularity in the business, and utilising econometric analysis performed by Camargo (2006), we conclude that the suppliers at the first level have increased their market power of market and profit sharing.

Online publication date: Mon, 15-Sep-2008

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
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:

    Username:        Password:         

Forgotten your 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