Interdependence innovation - profitability and productivity performance in the second level automotive suppliers

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The need for total quality as well as the minimisation of costs expressed by automotive final assemblers implied an important process of restructuring, which has involved Modular Components and Systems Suppliers. In this process, innovation has had an essential role. This study aims at verifying to what extent this process affected second level suppliers, and what are the results with regard to profitability and productivity. © 2001 Inderscience Enterprises Ltd.