International Journal of Automotive Technology and Management (10 papers in press)

Special Issue on: GERPISA 2023 Automotive Value Chains A Decade of Disruption and Transformation

• Open Access

  Towards a New Division of Labour in Southeast Asia? Indonesian and Thai Industrial Policy and the Electric Vehicle Value Chain in ASEAN ( Free Full-text Access )

  by Martin Schroeder 
  Abstract: Amidst changes that signify a transition in the automotive industry’s dominant design, vehicle manufacturing nations seek to secure their positions within the industry’s Global Value Chain for the post-transition era. This investigation will focus on Thailand and Indonesia, ASEAN’s two leading vehicle producers. While both countries have a shared objective, they employ different policies towards this objective. Thus, their cases are relevant cases to understand the role of industrial policy in this transition process. This investigation aims to understand how developing countries which are significant vehicle producers seek to manage this transition which is directed by lead firms located in developed countries and China. This research question is relevant as developing countries (including China) today account for the lion’s share of global vehicle output, but apart from China, there is little scholarly attention to the question how a complex socio-economic and socio-technical transition is managed via public policies in Asia.
  Keywords: industrial policy; Global Value Chain; division of labour; automotive industry; ASEAN.
  DOI: 10.1504/IJATM.2024.10065214
   
  

• Open Access

  In-house software development for software-defined vehicles: major changes ahead in automotive value chains? ( Free Full-text Access )

  by Andrea Szalavetz 
  Abstract: In response to the emergence of software-defined vehicles, incumbent OEMs announced software-focused strategies. Seeking to move software development in-house, they invested in building the requisite capabilities. This paper develops propositions about whether and how OEMs’ software-focused strategies might reshape the division of labour and value in automotive value chains. We propose that the evolution of industry architecture is shaped not only by incumbents’ shifting transactional choices regarding how they access the new technology inputs. There are several
  Keywords: software-defined vehicle; industry architecture; incumbent OEMs; autotech startups; value migration; adaptation to technological change; make–buy–ally; software strategy.
  DOI: 10.1504/IJATM.2024.10065215
   
  
• Prototyping in motorsports: Exploring Manufacturer-Supplier Collaboration in Formula One  
  by Laura Rehberg 
  Abstract: Formula One is at the forefront of technological advances in the automotive and motorsport industries. The sport serves as a testing ground for cutting-edge technologies that often find their way into mainstream automotive applications. The development process is accompanied by pressure to innovate, regulatory constraints, and time and cost constraints. In this context, prototyping plays a special role in accelerating development success. This study explores the complex interplay between OEMs and suppliers and the dynamics in the prototyping process between OEMs and suppliers in the F1 supply chain using a case study approach based on archival data and an online survey. The aim is to learn from the unique interplay of requirements and pressure to succeed in order to optimise prototyping processes beyond F1. Using the 2022 season racing teams as an example, the complex supplier relationships and regulatory influences on development are explored. The factors that contribute to successful collaboration and those that hinder progress are highlighted. The results offer practical implications for OEMs and suppliers outside of Formula One on how to use the prototyping phase as a catalyst for successful product development.
  Keywords: prototyping; collaboration; vertical relationships; product development.
  DOI: 10.1504/IJATM.2024.10063928
   
  

Regular Issues

• Risk perception, innovation, and supply chain resilience in China's new energy vehicle industry  
  by Zongsheng Huang, Yaqi Shi 
  Abstract: The global energy sector is undergoing a remarkable transformation, with rapid advancements observed in the new energy vehicle industry over the past decade. This research aims to explore the risk perception and supply chain innovation in China’s new energy vehicle industry and their subsequent impact on supply chain resilience. Data was collected from 278 questionnaires distributed among experienced professionals in the new energy vehicle industry. The results show that risk perception serves as a driving force behind supply chain innovation, which, in turn, contributes to enhanced supply chain resilience. The mediating path of risk perception
  Keywords: new energy vehicle; NEV; supply chain resilience; SCR; risk perception; innovation; flexibility; agility; alignment; China.
  DOI: 10.1504/IJATM.2024.10062139
   
  
• Mapping the Intersection of Liquidity and Profitability in Indian Automobile Industry: A Panel Data Approach  
  by KRISHAN KUMAR, NEHA YADAV, Jasvinder Kaur, Kamaljit Singh 
  Abstract: The nation’s thriving automobile industry is propelling the Indian economy forward. The industry has grown to become one of the most significant in India as well as the world, with millions of people employed and trillions of dollars generated in revenue. This study aims to investigate the impact of liquidity on the profitability of selected automobile companies in India. The statistics from April 2010 to March 2022 were examined employing panel data analysis. The top 10 Bombay Stock Exchange-listed auto manufacturing companies are picked as a sample based on market capitalisation in the financial year 2021
  Keywords: automobile industry; panel data analysis; unit root test; liquidity; profitability.
  DOI: 10.1504/IJATM.2024.10064859
   
  

Special Issue on: GERPISA 2023 Towards sustainability The electrification of the automotive industry

• Mechanism of Value Co-creation in New Product Development  
  by Connie Wu, William Hua Wang 
  Abstract: This research aims to explore the rapid development of Chinese electric vehicles (EVs) within the context of a technological paradigm shift. Based on the value co-creation (VCC) theoretical framework, this study focuses on the buyer-supplier relationship. We have conducted four in-depth case studies, comprising two buyers and two tier-one suppliers. Our findings confirm that efficient engagement platforms constitute the central element of the VCC mechanism, when buyers and suppliers work closely for the quick design and manufacture of EVs. Several additional findings further reveal the dynamics of Chinese EV companies, including buyer-consumer value co-creation (lifestyle products and services), buyer-other stakeholders value co-creation (for example batteries as a service, BaaS). Furthermore, buyer-buyer value co-creation is also observed (such as mobility as service, MaaS). The above findings drive us to propose an upgraded VCC framework.
  Keywords: community of practice; CoP; electric vehicle; EV; engagement platforms; ecosystem; new product development; NPD; value co-creation; VCC.
  DOI: 10.1504/IJATM.2024.10062546
   
  

Special Issue on: GERPISA 2023 Towards sustainability? The electrification of the automotive industry

• MANAGING PEER-TO-PEER ON-DEMAND MOBILITY SERVICE ECOSYSTEMS TO CREATE SHARED VALUE  
  by Juliano Pelegrina, Adriana Marotti De Mello, João Valsecchi Ribeiro De Souza, Roberto Marx, Matthieu Montalban 
  Abstract: The scientific debate on the externalities produced by the sharing economy has become prevalent in the literature due to its growth in many cities worldwide. We investigate how Peer-to-Peer On-Demand Mobility Services, which fairly represent the phenomenon, create sustainable innovation. For this, we listed the orchestrators and prominent members of such ecosystems. We also mapped the value they create or destroy as economic, social or environmental, based on Laukkanen & Tura's (2020, p. 223) sustainable sharing economy business models. Using an analytic framework developed according to Porter & Kramer's (2011) 'Creating Shared Value' proposal, we demonstrate three ways these ecosystems may produce positive externalities on top of the economic value captured by their primary members. Transferring such industrial insights to an ecosystem perspective allowed us to elaborate on how sustainable value is created by these services by reconceiving products and markets, redefining productivity in the value chain or enabling local cluster development.
  Keywords: ecosystem innovation; business model innovation; sustainability; sharing economy; shared value creation; innovation ecosystem; sustainable ecosystem; ecosystem externalities.
  DOI: 10.1504/IJATM.2024.10063927
   
  
• The prospect of moving towards a circular economy in creating ELV recycling systems in Thailand  
  by Kriengkrai Techakanont, Tassanee Homklin 
  Abstract: While Thailand’s automotive policies have been shifting towards electric vehicles, there are public concerns over the existing old cars in use. The increasing challenges from a growing number of old vehicles, along with illegal abandonment and improper treatment of end-of-life vehicles (ELVs) give rise to significant economic and environmental risks. This paper investigates these issues to shed light on the current development of public awareness towards ELVs in Thailand. Using structural equation modelling (SEM), we assessed if the degree of understanding and awareness towards proper ELV management practices would have impact on ELV recycling program acceptance. Results revealed that heightened awareness of ELVs significantly boosts Thai people’s acceptance of recycling initiatives. This insight underscores the vital role of awareness in fostering support for sustainable ELV practices.
  Keywords: circular economy; CE; end-of-life vehicles; ELVs; automotive industry; Thailand automobile industry; ELV recycling system; Thailand.
  DOI: 10.1504/IJATM.2024.10064858
   
  

Special Issue on: Industry 4-0 digital transformations in manufacturing and work

• Territorial Coupling in Industry 4.0: Assessing the Impact of Geographical Proximity to Automotive Industry on the Digital Entrepreneurs in Poland  
  by Krzysztof Gwosdz, Marcin Baron, Marcin Budka, Mariusz Hetma?czyk, Agnieszka Sobala-Gwosdz, Robert Szczepanek 
  Abstract: The debate in economic geography and regional studies on industrial upgrading and new development paths has intensified with the transformative role of Industry 4.0 (I4.0). Research typically focuses on the adoption of I4.0 technologies by manufacturing firms, often neglecting the providers of I4.0 services and products. This paper examines the importance of geographical proximity to automotive customers for digital entrepreneurs in Poland. Employing geostatistical analysis, surveys, interviews, and network analysis, the study unveils varying degrees of territorial coupling among I4.0 providers, based on the type of solutions offered. It reveals that the strength of territorial coupling differs among digital entrepreneurs, depending on the nature of their solutions. The study empirically confirms a locational dichotomy between IT-centric and manufacturing-centric I4.0 technologies, with a pronounced tendency for high-tech services to cluster in metropolitan areas.
  Keywords: Industry 4.0 technology providers; automotive industry; geographical proximity; path creation; inter-path relationship; restructuring of industrial regions; Central and Eastern Europe; Poland.
  DOI: 10.1504/IJATM.2024.10064860
   
  
• The changing landscape in EV  
  by Carlo Bozzola, Guendalina Anzolin, Eoin O'Sullivan 
  Abstract: This paper explores the value chain of new EVs, specifically looking at what are the capabilities needed to capture value in the changing automotive industry. Building on existing literature, we developed a new framework to study the movement of capabilities within the automotive sector and other sectors where relevant capabilities for EVs lie. Our framework is tested by looking at the software segment of the EV value chain, and it analyses the movement of capabilities occurring in the automotive industry, including the need for new software capabilities from different sectors such as aerospace, Big Tech and IT. Once filled, we conducted semi-structured interviews to provide further insights into the framework, which introduces a tool for policy-makers to understand areas that require to be targeted to capture value along the present and future automotive value chain.
  Keywords: automotive; EV; capabilities; supply chain; value chain; value added.
  DOI: 10.1504/IJATM.2024.10064861