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Electronic technology and parts procurement: a case of the automobile industry

Author

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  • Takahiro Fujimoto
  • Jewheon Oh

Abstract

Inter-firm information systems in the automobile industry have evolved from firm-specific networks to industrial standard networks and, further, to the internet. This paper examines how electronic parts procurement systems in the automobile industry affected its patterns of inter-firm transactions through empirical studies on information networks, transaction systems and architectural characteristics of automobile parts. We argue that selection of a certain parts transaction system tends to affect choice of the mode of information system that might best fit the transaction information between the firms. Conversely, once a particular type of information is chosen, the mode of information exchanges and patterns of competition between suppliers and transaction systems would also be changed. In this way, inter-firm information systems, transaction patterns, and architectures of the parts would co-evolve through dynamic interactions among them.

Suggested Citation

  • Takahiro Fujimoto & Jewheon Oh, 2004. "Electronic technology and parts procurement: a case of the automobile industry," International Journal of Automotive Technology and Management, Inderscience Enterprises Ltd, vol. 4(4), pages 324-335.
    • Handle: RePEc:ids:ijatma:v:4:y:2004:i:4:p:324-335
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    Cited by:

    1. Hua Wang, 2008. "Innovation in product architecture—A study of the Chinese automobile industry," Asia Pacific Journal of Management, Springer, vol. 25(3), pages 509-535, September.

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