Gaining Future Competitive Advantage through Corporate Foresight: Role of Local Affiliate Company in Automotive Industry
| Main Authors: | Purwanto, Jaka; School of Business and Management, Institut Teknologi Bandung, Nasution, Reza Ashari; School of Business and Management, Institut Teknologi Bandung, Anggoro, Yudo; School of Business and Management, Institut Teknologi Bandung |
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| Format: | Article info application/pdf eJournal |
| Bahasa: | eng |
| Terbitan: |
Proceedings of International Conference on Management in Emerging Markets (ICMEM) SBM ITB
, 2022
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| Online Access: |
https://journal.sbm.itb.ac.id/index.php/ProceedingSBMITB/article/view/4769 https://journal.sbm.itb.ac.id/index.php/ProceedingSBMITB/article/view/4769/1656 |
Daftar Isi:
- Nowadays, competition in the automotive industry is very tight. Carmakers to increase market share, and the challenge is getting more demanding due to rapid environmental change. Based on Porter’s Five Forces, the challenges are high from threats of new entrants, customers, suppliers, product substitutes, and existing rival competitors. To win the future competition, carmakers must have a future competitive advantage. Referring to Ansoff’s framework, the preferable approach is product development since this is effective and lowers risk [5]. In the manufacturing industry, headquarter takes a role in product development. At the same time, local affiliate companies play an essential part in grasping the movement of environmental change since they understand the local market. Corporate foresight is an essential practice to understand environmental dynamics [18]. This study investigates the practice of corporate foresight to deal with the external environment changes in local affiliate companies in the automotive industry. This study employs qualitative study in the form of interviews with key stakeholders in the car manufacturing industry. The study attempt to answer the research question on how corporate foresight influences organizational capability creating the value to build the firm's future competitive advantage. The study provides insight into anticipating changes in the environment in the car manufacturing industry. This is ongoing research; nevertheless, some early findings and observations will be presented. Keywords: corporate foresight, environment dynamics, future competitive advantage, local affiliate company.