THE EFFECT OF TECHNOLOGICAL DEVELOPMENTS ON COMPETITION IN THE AUTOMOTIVE SECTOR

Abstract

The automotive sector is one of the most important sectors that directly affects many sectors. The most prominent in the automotive sector are automobiles. In addition to the invention of the wheel, German engineer Karl Benz, who produced the first automobile with a gasoline engine in the 1800s, initiated an irreversible process in human history.

Countries that are pioneers in technological development in the automobile sector gain a great advantage in competition. Innovations that emerged in the automobile sector, especially in exterior and interior design, increase the competitive pressure day by day. In this context, the competitive advantage that was held by US and European companies until the 1990s has gradually begun to evolve towards the Far East. In this process, Japanese companies and then South Korean companies have made significant progress. The recent involvement of Chinese companies in the process with modern technologies has led to the reconsideration of all competition arguments.

This study analyzes the effects of technological developments on the automotive sector. In this context, the development of technological developments in the automotive sector over time as well as the effect of design on competition in the automotive sector is discussed.