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Creating the Japanese Electric Vehicle Industry: The Challenges of Uncertainty and Cooperation

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  • J Patchell

    (Division of Social Science, Hong Kong University of Science and Technology, Kowloon, Hong Kong)

Abstract

The author analyzes the creation of the Japanese electric vehicle (EV) industry by focusing on how firms overcome barriers to bilateral collaboration and multilateral cooperation. The key to understanding this emerging industry is the evolution of interfirm relational skills under conditions constrained by uncertainty (for example, market failures compounded by bounded rationality and opportunism), yet which necessitate collaboration. The evolution of interfirm relations takes two forms: core firms and suppliers devise new means of bilateral relations in a situation where neither can invest in a committed relationship; competing auto makers and suppliers create and support multilateral institutions necessary to industry and market development. Evidence from EV auto-maker—supplier bilateral relations and from auto-maker—supplier relations with multilateral institutions are analyzed for motive, mechanisms, and effect, and are categorized.

Suggested Citation

  • J Patchell, 1999. "Creating the Japanese Electric Vehicle Industry: The Challenges of Uncertainty and Cooperation," Environment and Planning A, , vol. 31(6), pages 997-1016, June.
    • Handle: RePEc:sae:envira:v:31:y:1999:i:6:p:997-1016
    DOI: 10.1068/a310997
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    References listed on IDEAS

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    1. A J Scott, 1995. "The Electric Vehicle Industry and Local Economic Development: Prospects and Policies for Southern California," Environment and Planning A, , vol. 27(6), pages 863-875, June.
    2. Banri Asanuma, 1985. "The Contractual Framework for Parts Supply in the Japanese Automotive Industry," Japanese Economy, Taylor & Francis Journals, vol. 13(4), pages 54-78.
    3. Asanuma, Banri & Kikutani, Tatsuya, 1992. "Risk absorption in Japanese subcontracting: A microeconometric study of the automobile industry," Journal of the Japanese and International Economies, Elsevier, vol. 6(1), pages 1-29, March.
    4. Banri Asanuma, 1985. "The Organization of Parts Purchases in the Japanese Automotive Industry," Japanese Economy, Taylor & Francis Journals, vol. 13(4), pages 32-53.
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    Cited by:

    1. Sierzchula, William & Nemet, Gregory, 2015. "Using patents and prototypes for preliminary evaluation of technology-forcing policies: Lessons from California's Zero Emission Vehicle regulations," Technological Forecasting and Social Change, Elsevier, vol. 100(C), pages 213-224.
    2. Sheng-Long Lee & Ping-Chuan Chen & Wu Chiang Chan & Shiu-Wan Hung, 2015. "A three-stage decision-making model for selecting electric vehicle battery technology," Transportation Planning and Technology, Taylor & Francis Journals, vol. 38(7), pages 761-776, October.

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