Exogenous Factors in the Development of Flexible Fuel Cars as a Local Dominant Technology

Paulo Tromboni de Souza Nascimento, Abraham Sin Oih Yu, Robson Quinello, Rosária de Fátima S. Macri Russo, Francisco Nigro, Nilton Cesar Lima
2009 Journal of Technology Management & Innovation  
With flexible fuel technology, customers can choose gasoline, ethanol, or any mix thereof at the fuel station pump. This paper presents the endogenous and exogenous factors that influnced the development of a flexible fuel electronic injection system by Magneti Marelli Automotive Systems Brazil -the first to the market. This software-based architecture, launched commercially in 2003, is now the dominant flexfuel design in the Brazilian market. This article documents the emergence of a local
more » ... ence of a local dominant technology (design) in a specific car sub-system. It is shown how exogenous institutional factors played the major role in this process. The paper also shows that this local dominant technological design emerged through the sharing of capabilities and interaction among the key market players, in the absence of a strong appropriability regime. All the main market pioneers were multinational affiliates, inviting questions concerning this technology diffusion outside Brazil.
doi:10.4067/s0718-27242009000400009 fatcat:evwhissogzbjrdws4kog6bv7mi