GEOGRAPHICAL DISPERSION OF INTERNATIONAL PRODUCTION OF AUTOMOTIVE TNCs OF GERMANY

Anastasiia Glushchevska

Аннотация


This article is devoted to the study of qualitative and quantitative parameters of the reconfiguration of the international system of transnational corporations of automotive industry in Germany during the last twenty years. It shows that deep structural changes in the automotive industry are positively correlated with sustainable economic growth of the national economy of Germany. Conducted structural analysis of the automotive industry in Germany proved the fact of its logical and well organized architecture and a high level of competitiveness of each element in the international context. The author refers the internationalization of TNCs as one of the major factors that lead to the increase of intra-corporate functional relationships and international production. Economic globalization has contributed to the establishment of the configuration of global value chain. In 2010 production of the vehicles in the host country surpassed the level of national production. The trend to move production facilities abroad facilitated the geographic dispersion of German automotive multinationals. Thus, the key areas of direct investment of transnational corporation's automotive industry in Germany were the European Union, members of the Free Trade NAFTA and China. The analysis has shown rapid growth capacities in countries such as India, Mexico and China.

Keywords: transnational corporations, international production, global value chain, foreign direct investment, host country, automotive industry, Germany.


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