Implications of Supplier Proximity in the French Automotive Industry

Gorgeu, Armelle

Implications of Supplier Proximity in the French Automotive Industry - 2009.


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Carmakers increasingly source globally, but when close coordination between workers is required, it is preferable for plants to be geographically close to each other. French carmakers have encouraged their suppliers to set up plants near their assembly lines for just-in-time delivery. This trend has taken on a new dimension with the recent creation of supplier parks inside carmakers' assembly plants. Daily contact increases the pressure on suppliers' employees, and the relationship between the client and the supplier is more akin to subcontracting than partnership.

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