Endangering Social and Economic Sustainability: Supply-Chain-Management in the Automobile Industry

Research output: Contribution to journalResearch articleContributedpeer-review

Abstract

During the last ten years, the automobile industry compensated its economic deficiencies by outsourcing costs towards suppliers. A case study on a German automotive supplier illustrates to what extent the focus on low costs limits the supplier’s corporate autonomy, in particular its ability to run its business according to its own rules, and reveals how an increasing loss of independency in buyer-supplier-relationships endangers the suppliers’ contribution to social and economic sustainability. Current layoffs and bankruptcy in the automotive supply industry are not only caused by world economic crisis but also a direct result of unsustainable sourcing policy of the big car manufacturers employing problematic and illegitimate practices.

Details

Original languageEnglish
Number of pages18
JournalInternational Journal of Sustainable Strategic Management
Volume2
Issue number3
Publication statusPublished - 2010
Peer-reviewedYes

External IDs

Ieee 10.1504/IJSSM.2010.038300

Keywords

Keywords

  • Business Ethics, Automotive, Sustainability