Abstract
Scholars in the literature of industrial governance have argued that the automotive industry is subject to both captive and modular governance. Automakers play a dominant role due to high asset specificity and the complexity of inter-firm knowledge transactions.
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Notes
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In 1988, the central government designated six SOEs as the ‘Three Big & Three Small’ group. Projects beyond these groups generally would not be approved. They are FAW, Second Auto Work (renamed as Dongfeng in 1990) and Shanghai Auto Work; the three small are: Beijing Auto Work, Tianjin Xiali Corporation; and Guangzhou-Peugeot joint venture.
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In equity share, Chinese partners held 46% from the GAIG, 20% from the Citic Auto China, and 8% from China International Finance Ltd. French partners held 22% from PSA-Peugeot and 4% from Paris Banque Nationale.
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Source: Interview with the former vice president of Guangzhou Seat Factory of GAIG, on July 19, 2010, in Guangzhou.
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GAC also established another two joint ventures: Guangqi-Hino in 2007 in Guangzhou making commercial vehicles; Guangqi-Fiat in 2009 located in Changsha (Hunan Province) manufacturing passenger vehicles and engines.
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It refers to the number of disqualified part per million. For instance, 100Â ppm means there are 100 disqualified products among 1 million manufactured products.
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Data are from interview with the director of sourcing department of Guangqi-Honda on May 21, 2010, in Guangzhou.
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Mixed-line production: manufacturing different vehicles in the same production line.
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Interviewee in Guangqi-Toyota declined to offer this information.
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Sources: two interviews with the vice directors of production department in the joint ventures in Guangzhou on May 21, 2010, and June 1, 2010.
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From a public interview with the director of GAERI: http://auto.xinmin.cn/rollnews/2010/09/04/6649866.html.
- 14.
There are various difficulties to approach to relevant data to this issue. Most of the information about the appropriate brand of GAC was kept as confidential.
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Liu, Y. (2020). Reciprocal Coupling and Industrial Upgrading in the Automotive Industry: The Balance of Interplay. In: Local Dynamics of Industrial Upgrading. Economic Geography. Springer, Singapore. https://doi.org/10.1007/978-981-15-4297-8_7
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