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2021 | OriginalPaper | Buchkapitel

7. Management of the Relationship with User Firms: A Comparative Case Study of Bosch and Denso

verfasst von : Prof. Hirofumi Tatsumoto

Erschienen in: Platform Strategy for Global Markets

Verlag: Springer Singapore

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Abstract

In Chap. 6, we discussed the relationship between platform firms and symbiont firms from the microscopic point of view (inter-firm relations). This chapter continues our microscopic analysis by exploring the relationship between platform firms and user firms.

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Fußnoten
1
The expression platform firm refers to “a firm with monopolistic market share and strong bargaining power”. In the auto industry, it is automobile manufacturers that have strong bargaining power, so it is hard to apply the definition to component suppliers. However, if we carefully observe corporate behaviors, some component suppliers do appear to act like platform firms.
 
2
The content of this chapter is mostly based on interviews conducted between 2009 and 2016. Note that the Chinese automobile and ECU markets were going through a transition period at that time, as touched upon in Sect. 7.4, and they might experience further drastic changes in industrial structures.
 
3
On 18 Sep 2015, the US Environmental Protection Agency (EPA) announced that Volkswagen, a major German auto manufacturer, was suspected of not complying with gas emissions standards (Wall Street Journal 2015). The engine ECU is the component that controls the exhaust gas purifier.
 
4
As of 2016, China followed a EURO 4-equivalent regulation (EURO 5 in some areas).
 
5
A recall incident resulting from the increased complexity of electronic control systems involved Toyota Motor Corporation. Managing this complexity has been recognized as an industrywide issue in the automobile industry (MacDuffie and Fujimoto 2010).
 
6
Android is an OS for smartphones.
 
7
In reality, the EURO 2 regulation was first implemented in urban areas only and it was extended to all parts of China after 2004.
 
8
As of 2016, in case of a component supplier for environmentally friendly (new energy) automobiles, the establishment of a joint venture is required.
 
9
These models are largely dependent on technology transfer from the joint ventures’ parent companies in developed countries.
 
10
The sales figures and other data were derived and summarized based on the financial database SPEEDA.
 
11
The sales figure for Bosch was derived by converting euro into yen using an annual average of exchange rates.
 
12
Powertrain refers to the whole set of devices that deliver the driving force produced by the engine to the wheels. The engine EUC is a core component of the powertrain.
 
13
Bosch planned to integrate its platform roadmap at the global level with its new engine ECU platform (MDG1) to be launched in 2015.
 
14
Scalable microcontrollers are a family of microcontroller products that can be switched to higher performance when the processing capability needed goes up. The development efficiency is higher, as no change needs to be made to the software.
 
15
API stands for application programming interface and it is the interface between hardware and software.
 
16
ETAS is a wholly-owned subsidiary of the Bosch Group, established in 1994 as a solution provider for the development of embedded systems.
 
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Metadaten
Titel
Management of the Relationship with User Firms: A Comparative Case Study of Bosch and Denso
verfasst von
Prof. Hirofumi Tatsumoto
Copyright-Jahr
2021
Verlag
Springer Singapore
DOI
https://doi.org/10.1007/978-981-33-6789-0_7

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