Abstract

Previous studies of corporate foresight in the automotive industry mainly focused on principal companies (PCs), while studies focusing on local affiliate companies (LACs) are limited, even though LACs play an essential role in dealing with local environmental dynamism. Therefore, this study aims to investigate corporate foresight in automotive LACs by analyzing the effect of corporate foresight on the creation of organizational value. The authors employed a quantitative method to analyze the theoretical hypotheses by involving nine LACs in ASEAN. The findings of this study indicate that corporate foresight activities in LACs have a significant positive effect on organizational learning capability, where they have an essential mediating role in enhancing the creation of organizational value in terms of ambidexterity and agility capability, which is a foundation for organizations to achieve a competitive advantage. The novelty of this study is the use of corporate foresight value creation framework in automotive LACs. The results of this study could assist managers and practitioners in automotive industry to better understand the benefit derived from the practice of implementing corporate foresight in LACs, and it is expected that this value creation could motivate these people further to enhance the practice of corporate foresight in LACs.

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.