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The Japanese and Chinese Models of Industrial Organisation: Fighting for Supremacy in the Vietnamese Motorcycle Industry

Discussion Papers

No.420

June 2013

ABSTRACT

This paper explores the consequences of the emerging rivalry between Japanese and Chinese manufacturers. It focuses specifically on industrial organisation, one of the key factors that underlie the competitiveness of manufacturing industries. The question to be asked is what happens when distinctive models of industrial organisation, coming from Japan and China, clash in a developing country. An in-depth longitudinal analysis of the Vietnamese motorcycle industry adopting a modified version of the global value chain governance theory shows that a decade-long industrial transformation resulted in organisational diversity. The implications of the analysis for the literature on industrial organisation are discussed.



Keywords: industrial organisation, Vietnam, China, Japan, motorcycle industry
JEL classification: L10, L22, L62

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