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Relocation strategy of Audi R & D activities: The case of San José Chiapa in Puebla.
Submitted by Reyes Juan, Benemérita Universidad Autónoma de Puebla on 31 mars 2016 - 18:53
Type de publication:Conference Paper
Source:Gerpisa colloquium, Puebla (2016)
Global production dynamics of the automotive industry in recent years is characterized by the relocation of production activities in countries outside the headquarters of businesses, investments have mainly come to developing countries. However, the relocation of R & D does not always emerge with productive activities. Production relocation is not an easy decision, involves significant costs and needs in receiving locations, relocation of R & D is not exempt from this. In that sense, the relocation of both is subject to an international strategy of the company.
An example of relocation of production activities is the luxury automaker Audi car, which belongs to Volkswagen corporate, and will be the first in it´s type installed in Mexico. Audi will produce its biggest global car sales, the Q5 SUV. In that sense, will the installation bring R & D? In this regard, local governments have already made investments with money allocated to science and technology in Mexico, this money supports the installation of the company with the creation of The Training Centres for the human resources of the firm. In that sense, it is worth to asking, Does the Audi company strategy includes a relocation of R & D activities? and if so what degree such relocation occurs?
To answer this, the paper presents the analysis of the strategy of relocation of both, productive and R & D activities of Audi, considering it´s needs in three areas: market, production and technology (knowledge). Thus, the work aims to analyze strategies Audi in terms of R & D, focusing on the criteria on which to perform their R & D in a context of global production activities. For this, the document is divided into four sections: the first is a review of studies on strategies and criteria for the location of R & D by transnational corporations, with special emphasis on those that are part of the automotive industry ; In the second, productive, commercial and research Audi structure in a global environment is analyzed; In the third, the conditions under which Audi is installed in Mexico, and the country's position to the automotive industry are exposed; Finally, considerations are presented.