Heft36 1 - SFB 580 - Friedrich-Schiller-Universität Jena
Heft36 1 - SFB 580 - Friedrich-Schiller-Universität Jena
Heft36 1 - SFB 580 - Friedrich-Schiller-Universität Jena
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KATHRIN REFERENCES LITERATUR LOER<br />
these countries are also to a certain degree<br />
internationalized. As the case studies will<br />
explain, there are very different concepts<br />
followed by the contract manufacturers<br />
grounded in different ratings of opportunities<br />
and economic risks but also dependent on their<br />
relation to the OEM. Central and Eastern<br />
Europe attracts investments from all kinds of<br />
automobile industries, contract manufacturers<br />
are not excluded. As far as the interdependencies<br />
between OEM and contract manufacturers are<br />
concerned, there is strong evidence suggesting<br />
less balance and more power of the OEM with<br />
the result that the dependency gains weight in<br />
one direction. It shall not be forgotten that the<br />
automobile industry started with a high degree<br />
of manufacturing in its early years (at the end of<br />
the 19 th century / beginning of the 20 th century);<br />
in the market for “premium cars”, individualized<br />
products, skilled workers, manpower and<br />
engineering capabilities are still important. If<br />
OEMs decide to outsource production, it is<br />
presumably this part of the product portfolio.<br />
The role of Central and Eastern European<br />
countries for this production will be explained<br />
with regard to the case studies.<br />
4.3 Case Study 1.<br />
This case study takes a closer look at the<br />
Wilhelm Karmann GmbH, which was<br />
founded in 1901 (Knust 1996). Until recently,<br />
Karmann employed around 8.000 persons<br />
spread at six locations worldwide (Karmann<br />
2006, Handelsblatt.com 2009a). The company<br />
specialized historically in manufacturing<br />
cabriolets as well as modules necessary to build<br />
cabriolets such as retractable tops. During the<br />
last years, several rounds of layoffs needed<br />
to be executed (still some layoffs could be<br />
prevented). Overall, the situation for the<br />
company staff has worsened since 2006. At<br />
the moment, the insolvency proceedings<br />
are short of being concluded (Handelsblatt.<br />
com 2009b, neue-oz.de 2009). Excluding the<br />
current and ongoing events, the Karmann case<br />
shows interesting aspects for the purpose of<br />
this paper. With regard to different categories,<br />
serious changes can be observed. As a family<br />
business, the company grew steadily and<br />
employed around almost 10.000 people at<br />
the company’s climax. Over time, Karmann<br />
emerged to an established regional company that<br />
was well known nationally and internationally<br />
for its niche production of cabriolets. Long time<br />
tradition and strong regional roots are main<br />
characteristics that can also be identified by the<br />
embeddedness of the principal of the company in<br />
social and political networks. This might be seen<br />
as typical for German family owned business,<br />
but also for the industrial sector and specificly<br />
the metal sector. Especially the grandson of the<br />
founder and also the first successor beyond the<br />
family were very much involved in “old-boysnetworks”,<br />
the traditional, informal German<br />
management-networks used to negotiate and<br />
complete deals, for example at the automotive<br />
fair. As such, Karmann mostly cooperated<br />
with German OEMs for the manufacturing of<br />
automobiles in the 1970s and 1980s. Rooted<br />
in trust, long-time relationships and business à<br />
la “you scratch my back and I’ll scratch yours”<br />
characterized most of the deals.<br />
Trusting in the apparent assurance<br />
to be and stay market leader in the Seite page 71<br />
special niche segment of cabriolet<br />
production, the company was not<br />
bothered with fear for its existence during a<br />
long period, although the production of cabriolets<br />
always had to deal with fluctuations. In former