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Table 10.2
Selected firms in the motor industry
Date of
Turnover
Number of
City headquarter
incorporation
millions US$
employees
Toyota MC
Japan, Toyota city
1937
186,177
285,977
Peugeot SA
France, Paris
1890
83,193
211,700
Fiat S.p.A
Italy, Torino
1899
57,965
173,695
10.2.1.2
Motor Industry
On the economic scene, the motor industry is a tightening oligopoly, increasingly
prone to fusions/acquisitions (F&A) with repurchases and alliances, and comprises
only 14 main manufacturers (up to one billion sales per year,
OICA
,
2010
). The
industry is characterized by an extremely competitive climate at the international
level, though there can be strong cooperation in local markets (Co-opetition model)
where joint ventures are frequent (Toyota/Peugeot Citroen Automobile (TPCA),
PSA/FIAT SevelNord, etc.).
We have chosen three multinational groups from the motor industry that have
clearly differentiated strategies (Table
10.2
). Toyota, PSA and FIAT have completely
different modes of governance, based on their own histories and corporate cultures
as well as their strategic choice of investments and localizations throughout their
development.
Toyota Motor Corporation
Toyota Motor Corporation is now the world's leading car manufacturer, ahead of
General Motors, in terms of sales (
OICA
,
2010
). However, the group has only
recently become the world's leading producer in terms of produced car units.
Toyota is a very diversified group, whose activities range far beyond the sale
of automobiles. Toyota produces automobile parts, components and accessories
for its own needs and for other manufacturers. The strategy of Toyota is unique
compared to its competitors in terms of production and locations. The group was
first internationalized in the United States and then in China and other countries of
Southeast Asia. Toyota has 52 assembly plants in 27 countries.
PSA Peugeot-Citroën
Peugeot-Citroen Group PSA is the second largest European car manufacturer. PSA
is the result of the fusion of two French brands, which occurred in 1976. PSA's
governance is characterized by its strong centralization in terms of locations and in
terms of distribution of capacity to subsidiary companies. The group is engaged in
the design, development, production and sale of private cars, commercial vehicles,
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