JOURNAL OF APPLIED BUSINESS AND ECONOMICS
Innovation in the Automobile Industry: How the Changing Face of Global Competition Affects Motor Vehicle Patenting
Author(s): Gerald P. W. Simons, Paul N. Isely
Citation: Gerald P. W. Simons, Paul N. Isely, (2014) "Innovation in the Automobile Industry: How the Changing Face of Global Competition Affects Motor Vehicle Patenting," Journal of Applied Business and Economics, Vol. 16, Iss. 5, pp.82-85
Article Type: Research paper
Publisher: North American Business Press
Abstract:
There is much interest in how the increase in high valued added manufacturing in emerging economies is
affecting established manufacturers in high income economies. One area of analysis is industry innovation. We analyze how innovation in the automobile industry has been impacted by competition in a
North-South setting. North-South innovation models indicate that greater production by the South will
encourage North companies to engage in more innovation to stay ahead of the new competition. In
contrast, our analysis suggests that greater competition from auto manufacturers in the South results in
less innovative output by manufacturers in the North.