Will U.S. Auto Parts Suppliers Achieve Success in Japan’s Auto Parts Market?
U.S.auto parts suppliers seeking success in Japan’s auto parts market must look ahead to the new global supply relationships developing in the 21st century. No longer should manufacturer/supplier relationships be measured in terms of corporate nationalities and reciprocal trade flows. Consideration must be given to the dynamics of new competition, technological exchange between companies and the increasing flow of direct investment between nations or risk regressing into the counterproductive rhetoric and “results oriented ” formulas of the mid-1990s. Look at the intensifying competition in Japan’s auto parts aftermarket through the eyes of this issue of Japan Auto Trends (see One Tough Business). This competition arises from a number of factors, including deregulation of Japan’s safety inspection standards, development of new sales channels and entrance of new participants including the Japanese vehicle manufacturers seeking to import parts as well as to sell their own brands directly
