GGR221H1 Lecture Notes - Lecture 6: Connected Car, Sunk Costs, List Of Auto Parts

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10 Oct 2016
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Jobs directy from auto-industry generate more jobs (good, high wage jobs, averaging about /hr) Big three adopted jps, but it took a long time and was very turbulent along 70s-90s: via chrysler, ford, etc, migration towards japanese production systems. Yates (2015): identified factors that make a region attractive to autoindustry: a) proximity to major markets. Canada is right beside the greatest automobile industry in the world, usa (different from australia, as it is not close to any automobile industry in the world: b) availability skilled labour force. Japanese found training costs much greater in usa than in canada; they find we have a by and large eductated work force unlike usa: c) labour costs. We have lower labour costs partly due to free health system we have: d) logistics, e) trade relations. If no tariffs, gives manufacturers more freedom to decide where to locate: production quality. Rate and quality of production higher in canada than in usa: g) government incentives.

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