Closed-open innovation strategy for autonomous vehicle development

Marlous Blankesteijn, Frank De Jong and Bart Bossink

International Journal of Automotive Technology and Management, 2019, vol. 19, issue 1/2, 74-103

Abstract: The automobile industry is faced with societal and market pressures to develop radically innovative cars for the future. The development of the autonomous vehicle (AV) is a strategic innovation in this area. This paper studies whether and how AV-innovation strategies at Tesla, BMW and Toyota are developed by using an open and/or closed innovation paradigm. More than ever, it appears that R%D departments of car manufacturers employ a combination of a closed and an open innovation strategy. In order to nurture their AV innovation strategy, they strategically decide which innovations to adopt from outside, and which parts of the R%D process to keep in-house. This paper presents and discusses the combined closed-open AV-innovation strategies used by three dominant car producers. It provides an insight in how they aim to gain a first-to-market position and sustainable competitive advantage in a new market segment of a highly saturated market.

Keywords: autonomous vehicles; AV; open innovation; R%D management; automotive industry. (search for similar items in EconPapers)
Date: 2019
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