Automotive FDI in Emerging Europe

Shifting Locales in the Motor Vehicle Industry

Business & Finance, Economics, International Economics, Industries & Professions, Industries
Cover of the book Automotive FDI in Emerging Europe by A. J. Jacobs, Palgrave Macmillan UK
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Author: A. J. Jacobs ISBN: 9781137407863
Publisher: Palgrave Macmillan UK Publication: June 19, 2017
Imprint: Palgrave Macmillan Language: English
Author: A. J. Jacobs
ISBN: 9781137407863
Publisher: Palgrave Macmillan UK
Publication: June 19, 2017
Imprint: Palgrave Macmillan
Language: English

This book examines the dramatic increase in automotive assembly plants in the former Socialist Central European (CE) nations of Czechia, East Germany, Hungary, Poland, and Slovakia from 1989 onwards. Enticed by relatively lower-wage labour and significant government incentives, the world’s largest automakers have launched more than 20 passenger car assembly complexes in CE nations, with production accelerating dramatically since 2001. As a result, the annual passenger car production in Western Europe declined by more than 20% between 2001 and 2015, and alternatively in the CEE it increased by nearly 170% during this period. Drawing on case studies of 25 current and former foreign-run assembly plants, the author presents a rare historical account of automotive foreign assembly plants in the CE following this dramatic geographic shift. This book will expand the knowledge of policy-makers in Europe in relation to their pursuits of FDI and will be of great interest to scholars and students of business, economic history, political science, and development.

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This book examines the dramatic increase in automotive assembly plants in the former Socialist Central European (CE) nations of Czechia, East Germany, Hungary, Poland, and Slovakia from 1989 onwards. Enticed by relatively lower-wage labour and significant government incentives, the world’s largest automakers have launched more than 20 passenger car assembly complexes in CE nations, with production accelerating dramatically since 2001. As a result, the annual passenger car production in Western Europe declined by more than 20% between 2001 and 2015, and alternatively in the CEE it increased by nearly 170% during this period. Drawing on case studies of 25 current and former foreign-run assembly plants, the author presents a rare historical account of automotive foreign assembly plants in the CE following this dramatic geographic shift. This book will expand the knowledge of policy-makers in Europe in relation to their pursuits of FDI and will be of great interest to scholars and students of business, economic history, political science, and development.

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