Between Industrial Success and Economic Fragility: The Auto Parts Sector and the Limits of Regional Development in Querétaro

The study intended to investigate the factors that affect the total quality management (TQM) process in the 1,800 firm Thai auto parts industry. Automotive parts export shipments from Thailand are ranked 13th globally and are destined for over 100 countries, with Thailand’s combined automotive industry representing 12% of GDP. Therefore, with the authors understanding the importance of this economic sector, a research tool was developed, which contained a five-level scale to investigate 455 auto parts managers, executives, and owners’ opinions. Topics surveyed included the respondents’ opinions on the effects of knowledge management (KNG), product quality (QLY), strategic planning (STY), and technology and innovation (TIN) on the Thai auto part industry TQM process. The study’s eight hypotheses made use LISREL 9.1 software to analyze the final structural equation model (SEM). Results showed that all the model's variables had a positive influence on TQM, which can be combined to explain the variance of the factors affecting TQM (R2) by 78%. Additionally, the variables affecting TQM ranked in importance were STY, KNG, QLY, and TIN. Disruptive change has also arrived within the automotive sector, as Industry 4.0 technologies, the Internet of Things (IoT), and artificial intelligence (AI) are being used in the development of a new generation of autonomous and electric vehicles (EVs), making many current manufacturers' technologies and processes obsolete. Therefore, management and vendors must embrace these changes for their survival. The study's results highlight the necessity for international firms to embrace innovation and technological change to retain a competitive advantage or even their survival. Governments and educational institutions must also go the ‘extra mile' to support their domestic automotive and auto parts sectors.

Business Intelligence (BI) is a vital tool for many different businesses, and the automotive sector, particularly the auto parts industry, reaps significant benefits from it. With an emphasis on product sales, pricing tactics, and improving staff performance, this study explores the revolutionary impact of BI in streamlining operations within the auto parts sector. By integrating BI, businesses can improve their overall sales performance, optimize their product offers, and fine-tune their pricing strategies. By providing employees with enhanced reports that support daily sales operations, better decision-making, and wider performance indicators, the study also emphasizes BI's critical role in enhancing employment statistics. This research illustrates how BI tools may improve decision-making by offering real-time data that enable executives, managers, and staff to react quickly and strategically to market dynamics through a case study of ABC Auto Parts Company. By incorporating BI into routine operations, a more data-driven and responsive environment is created, which enhances store management and sales processes. These insights boost performance indicators like monthly sales, increase operational efficiency, and give businesses a competitive edge. By highlighting the critical connection between BI, well-informed decision-making, and operational excellence, this study positions the auto parts sector for increased productivity and strategic expansion in a changing market. Demonstrating useful BI applications and their advantages, this study offers practical insights that help firms achieve long-term success through the best possible use of BI.

Assessing the impact of the digital economy on sustainable development in the underdeveloped regions of western China

Subject/topic. The article is devoted to the scientific problem of sustainable development of the region. Issues of sustainable development have become acutely discussed in the international community at all levels of government, in connection with environmental pollution, ecosystem depletion, and climate warming. The problems of reducing the quality of life and the economic inexpediency of regional investment projects are added to environmental problems. The subject of the study is a methodological approach to forecasting the sustainable development of the region. Goals/objectives. The purpose of the study is to develop an author's methodological approach to forecasting the sustainable development of the region, taking into account its specific features and taking into account the accumulated experience in this area. Methodology. The research methodology was a systematic approach, which used: a retrospective analysis of significant indicators of regional development, approximation, statistical methods of information processing, correlation and regression analysis. The empirical basis of the study was Rosstat data on the socio-economic development of the regions. Results. The author's methodological approach to forecasting the sustainable development of the region includes methods and techniques for building an economic model and assessing its quality. A universal algorithm for the formation of an economic model for forecasting the sustainable development of the region has been developed. The selection of independent and dependent variables - factors influencing the sustainable development of the region - has been carried out. The presented economic model of forecasting the sustainable development of the region, developed on the basis of correlation and regression analysis, reflects the peculiarities of the development of a particular subject of the Russian Federation. The model is quite reliable from the point of view of statistical estimates, which makes it possible to conclude that it describes the sustainable development of the region with high probability. Conclusions/significance. The novelty of the study lies in the development of the author's methodological approach, which includes an algorithm for the formation of such an economic model, which will identify social, environmental and economic factors affecting the sustainable development of the model region and assess the degree of their influence. As a result, it was possible to identify priority areas of activity of public authorities to achieve sustainable development of the Moscow region. Application. The proposed algorithm for forming an economic forecasting model is universal and can be applied to predict the sustainable development of other regions, taking into account the assessment of the quality of the economic model. The results obtained can be useful for substantiating management decisions of public authorities on the sustainable development of regional systems, forecasting the sustainable development of the region, taking into account its specific features affecting the development of the ecosystem.

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Objective: The aim of this work is to highlight the losses that impact the logistics operations sector of an auto parts industry by analyzing its quality indicators and the different types of non-quality costs related to its processes. Theoretical framework: Logistics is essential to organizational processes, integrating resources, technologies and strategies for the efficient delivery of goods and information. Barbosa and Peruchi (2024) define logistics quality as the ability to meet customer expectations through well-planned processes, guaranteeing punctual deliveries, precision in specifications and product integrity. Non-quality, on the other hand, refers to failures such as delays, damaged products or products out of specification, which generate additional costs, damage the company's image and impact organizational performance. Understanding these concepts is essential to identifying opportunities for improvement and implementing effective solutions, promoting competitiveness and long-term sustainability. Method: The study, characterized as a descriptive case with a quantitative approach, was carried out in the logistics operations area of a multinational auto parts company located in the state of São Paulo, which has been operating in the Brazilian market for almost 15 years and serves major automakers in the automotive sector. The analysis focused on the logistics quality indicators considered most relevant by managers and included in the company's strategic planning. The indicators selected were: Customer Satisfaction, Stock Level, Inventory Accuracy, Extra Freight, Debit Notes and Issuance of Security Alerts. Final Considerations: The case study showed the central relevance of logistics in the supply chain, highlighting its strategic role in reducing waste, increasing productivity and mitigating process failures, especially in the auto parts industry, where efficiency and reliability are crucial for competitiveness. The work highlighted the importance of a systemic approach to logistics, treating it as a strategic element for optimizing resources and strengthening relationships with stakeholders. Implications of the research: The research carried out showed significant implications for logistics quality management, highlighting the importance of a strategic and systemic approach to optimizing resources and reducing non-quality costs. Originality/value: The originality and value of this study lies in the conceptual and practical approach applied to logistics quality management in an auto parts industry, highlighting the analysis of specific indicators. By integrating theoretical concepts and management practices, the work offers a strategic and applied vision of how logistics can be used as a competitive differentiator. In addition, the study contributes to the academic and business field by providing concrete actions for cost mitigation and continuous improvement, reinforcing the importance of innovation and training in the organizational culture.

Uruguay has much to gain from further integration with the global marketplace. Increased trade allows economies of scale and increases exposure to technological and knowledge spillovers, resulting in greater productivity. Participating in global and regional value chains is an important launch-pad for international integration. Uruguay requires a multipronged strategy that targets increased sophistication of Uruguay’s productive structure and diversification into specialized, high-value, modern services exports unconstrained by lack of economies of scale or distance. This report analyzes the dairy and Information & Communications Technology (ICT) and ICT Enabled Services (ICTES) value chains in Uruguay to identify opportunities for industry-specificupgrading and integration with global value chains (GVCs). By taking the dairy and ICT/ICTES value chains as concrete cases, the analysis piloted here illustrates how a traditional industry, locked in low value added exports, such as dairy, and a new export service industry, such as ICT/ICTES, can tackle the remoteness and ‘smallness’ challenges of Uruguay, and pursue economic upgrading andbetter international integration. The analytical approach targets opportunities to both enter new international production networks and participate in higher-value-added business segments. These objectives align with the Government of Uruguay’s priority to determine how the country can integrate better with global markets through GVCs. GVCs have four key features that set them apart from traditional production and trade: (1) customization of production—with intensive contracting between parties, often subject to distinct legal systems, (2) sequential production decisions going from the buyer to the suppliers, (3) high contracting costs, and (4) global matching not onlyof goods and services, but also of production teams. These distinct features of GVCs have implications for the overall business environment conducive to fertile grounds for GVCs to prosper, as well as for the types of trade facilitation efforts, infrastructure, skills, and trade and investment policies that are best suited for this reality.

The main purpose of the article is to identify the main threats to demographic security and sustainable development of the region in the context of military actions. The methodology implies modern methods of hierarchical analysis and analysis methods. The reason for choosing this topic is accompanied by the fact that, because demographic factors significantly affect the stability and security of the development of the region, the problem of ensuring demographic security, in particular in terms of identifying and tracking changes in key threats, is relevant and important for the further restoration of human resources. According to the results of the study, the features of the transformation of the main threats to demographic security and sustainable development of a particular region were determined. A response level matrix was proposed for each of the identified threats in order to counteract the most impact and further reduce the pace of implementation of activities. Research has limitations. The fact that as a result of hostilities, a small number of regions can be the object of research. In the future, we should consider the demographic security and sustainable development of regions that do not have the influence of military actions and compare them with our research results.

PurposeThe purpose of this paper is to discuss how the incentive from transaction cost can be beneficial due to the selection and implementation of the purchasing strategy under different scenarios in the value chain, including the automotive assembly sector and auto parts sector. Furthermore, it aims to investigate how to reach break even point between transaction cost and agency cost and to further achieve the goal of cost minimization.Design/methodology/approachThis is empirical analysis of variables constructed from transaction cost theory and data obtained from two famous motor companies in Taiwan automotive industry. This study adopts the probit model and tobit regression model to test and discuss the parameters in the model to deeply realize the influence of transaction cost variables towards purchasing strategy.FindingsThe findings prove the situation of multiple sourcing in supplying auto parts and demonstrate that the dimensions in transaction cost are truly important factors to affect the purchasing strategies. In addition, the empirical results show the explanatory capabilities of variables are very significant in monopoly power, steering system, electro mechanism, and other parts systems.Practical implicationsThe awareness on transaction cost are beneficial to partner selection of automotive companies in Taiwan. These findings also improve the quality of purchasing strategy in Taiwan automotive industry.Originality/valueThis study explores the variables of transaction cost influencing purchasing strategies. In addition, the knowledge on transaction cost towards purchasing strategy helps companies enhance the quality in future purchasing strategy and select their suppliers.

Purpose - Korea and China have a very competitive structure in the automobile market. Therefore, this study examines the current status of the automobile market in Korea and China and the size of trade, and analyzes the international competitiveness of the auto parts industry. This is not an automobile itself but a comparative analysis of the automobile parts industry that can bring about various ripple effects. Research design, data, and methodology - The statistical data were used by Korea and China Automobile Industry Association. The statistical data related to automobile parts were extracted from the data of UN comtrade s trade statistics from 2006 to 2015 for 10 years considering the consistency of statistics. This data was extracted by the HS 2002 version because it was extracted from the 2005 statistical data. From the extracted trade statistics data, Korea s and China s Revealed Comparative Advantage (RCA) and Trade Specialization Index (TSI) were calculated and analyzed for international competitiveness and suggested implications. Results - The gist of research result is as follows. Conclusions - China s auto parts industry shows that technology-intensive and high value-added items are not competitive, exports are considered to be less profitable. Therefore, Chinese parts companies need to enhance the competitiveness of automobile parts by strengthening their own development capability, cultivating their own technology development talents, and establishing a technical standard system for the auto parts industry. On the other hand, the Korean auto parts industry should keep in mind that competitiveness index is gradually improving little by little. As a result, the Korean auto parts industry needs to concentrate on developing high value-added automotive parts. The main requirement for exports to China is not price competitiveness, but technology through differentiation. In order to enter the Chinese auto parts market in a short period of time, it is effective to cooperate with local auto parts companies of different kinds. In addition, Korean auto parts makers are experiencing difficulties in overseas car parts makers, such as lack of full-time overseas workforce and manpower management, and it is necessary to acquire and cultivate global talent to solve this problem. Also, it is necessary to support the government to invest in basic research and development related to automobile parts and to provide policy support to enhance R & D capability

The article highlights the main approaches and their potential in the formation and implementation of project-oriented policy of environmental development of the regions of Ukraine. It is proved that ensuring sustainable balanced regional development in Ukraine is one of the most important prerequisites for its sustainable (balanced) economic growth in social, economic and environmental aspects, and the management of environmental development of the region is implemented through the formation and implementation of both the strategy of state (national) policy and regional environmental policy. Sustainable or balanced development of regions involves the development of all its components, and especially — environmental. Greening of state and regional development is a natural process of further improvement of economic relations and the achieved level of development of productive forces, based on ecologically oriented innovation policy of the state and regions to ensure environmental security of the state and its territories. It is determined that the regional ecological policy acts as a component of the national ecological policy, which is based on the ecological national and international legislation, standards and norms and contributes to the sustainable development of the region as a socio-ecological and economic system. The basis of regional environmental policy are the following principles: priorities of national interests; legislative provision of rights and powers of regional policy subjects; taking into account the peculiarities of the regions; partnership, which provides for the need to establish cooperation between public authorities at all levels and local self-government and to ensure political stability and social harmony in the implementation of national policy. The managerial possibilities of such approaches to the formation of project-oriented policy of ecological development of regions as project management (project management), marketing of territories or ecological marketing in the context of sustainable development of regions, benchmarking in ecological development are singled out and defined regions as strengthening the competitiveness of the region, a cluster approach in the ecological development of regions. An environmental project (or a project in the field of environmental protection) means a complex system of interconnected structured tasks and measures for environmental protection, which have a stage-by-stage nature of implementation aimed at solving the problems of ecological development of the region.

Trade-off between carbon emissions and employment embodied in global value chains: A study based on enterprise heterogeneity in China

Currently, at the end of the programming period 2014–2020 and in the view of the new programming exercise, 2021–2027, knowing where South-Muntenia is positioned on the path to sustainable regional development and how the main determinants can be integrated in regional development policies in order to continuously support the development of the Romanian regions becomes even more important. In this context, the paper aims to evaluate the progress made by the South-Muntenia region towards sustainable regional development for the period 2010–2017 highlighting the main implications for regional development strategies and revealing local initiatives promoting broader sustainable regional development. Thus, more in depth, the paper aims to identify the main determinants of sustainable regional development at the level of South-Muntenia counties using multiple principal component analysis (MPCA), to build an advancement sustainable development index based on panel data for the period 2010–2017 and to reveal the main sustainable development poles at the county level for the year 2017 using hierarchical clustering technique. The empirical results revealed the importance of business environment, public services infrastructure, education, and social protection as main determinants of South-Muntenia sustainable regional development. The advancement composite index pointed out that South-Muntenia recorded a slow but continuous advancement in terms of sustainable regional development, almost doubling its performance in these seven years. At the county level, if Prahova, Argeș, and Dâmbovița exhibited a so-called stagnation, Ialomița and Teleorman were still behind, registering an advancement over the period but remained only halfway on the path to sustainable development, while Calarasi and Giurgiu tried to recover the huge gap, registering very low rates of sustainable development index. On the path to regional economic development, the relevance of two main sustainable regional development drivers can be highlighted—a better allocation for active measures with the reduction of unemployment as a target together with a better infrastructure of public services. National, regional, and local administrations play an important role in promoting sustainability in the economic, social, and environmental activities, in a coherent manner. Regardless of the level at which development policies are designed, local, county, or regional, they must take into account and monitor the sustainable development determinants if the ultimate goal is the overall regional development of South-Muntenia.

The purpose of the paper is to substantiate antientropic tools for managing processes of balanced sustainable development of regions. It is shown that one of the most complicated and important contradictions in the system of territorial administration is the contradiction between the development and sustainability of such a complex multidimensional system as a region. And, obviously, relevant scientific task arises as regards to the development of modern approaches to the justification of instruments of dialectical “removal” of the specified contradiction. It is revealed that an optimal methodological step will be the introduction of antientropic approach in the processes of realization of balanced sustainable regional development. Methodology. The survey is based on the actual methodological complex that is characterised by integrity and, including classical postulates which provide its verification, it has innovative aspects. The mentioned approach is based on systems theory that is characterised today by worldwide-recognized universal cognitive tools and antientropic approach, which is in focus of contemporary interdisciplinary studies. Results. Modern approaches to phenomena of entropy are generalized; antientropic paradigm of management of processes of introducing modern model of balanced development at the regional level are substantiated; on the basis of antientropic paradigm, there is proposed a set of approaches to managing organizational processes in the system of local self-government, which provides for permanent dynamic multi-vector interaction of systems (organizations) of different levels and different environments, also it is used for ensuring coherent dissipative activity. Based on the concept of adaptive management, a complex of tools for managing organizational processes in the system of subjects of providing sustainable balanced regional development is elaborated. Practical implications. Proposals on the application of antientropic tools for providing sustainable balanced development of regions can be used by executive authorities and local self-government bodies in the process of formation and implementation of state regional policy, first of all, the Ministry of Regional Development, Construction, Housing and Communal Services of Ukraine during the formation of the State Sustainable Development Strategy and action plan for its implementation, as well as regional administration bodies when designing regional development strategies and implementing appropriate measures, selecting programs (projects) of regional development. Key scientific achievements of this paper also can be used in the process of drafting legal acts, elaborating the Administrative Reform Concept, and implementing other state program documents. Value/originality. Tools that are proposed in this research for introducing the model of balanced sustainable regional development on the basis of antientropic paradigm include the following: maintenance of an open state of the system; use of the principle of feed-forward control; realization of the principle of diversity. The presented complex of approaches ensures continuous dynamic multi-vector interaction of systems (organizations) of different levels and different environments.

This report uses the Global Value Chain (GVC) data framework to provide scoping review and analysis of Mexico's current position and potential for using and harvesting GVC data in the automotive and electronics sectors. By conducting the study on GVCs data, we hope to broaden the understanding of the importance of data transfers for GVCs, production, and trade, underlining that data are critical to all companies and not only to the so-called "high-tech companies." Data protection, sharing, and security are also central to manufacturers in the automotive and electronics sectors. This report will review how datafication, data protection, sharing, and security impact Mexico's automotive and electronics industry. This information is analyzed from a global perspective and the viewpoint of Mexico to provide a holistic picture of the situation when identifying trajectories for entry, growth, and upgrading along GVCs that rely on datafication and digital transformation. It will also offer recommendations for regulators and policymakers on how to facilitate successful GVCs' data functioning and guidance for businesses on how to harvest data for growth and digital transformation.