Posted by Ragnar on Saturday, September 24, 2005 at 9:42PM :
In Reply to: Interesting posted by Paul (in NY) on Saturday, September 24, 2005 at 9:22PM :
Yes. The trend has increasingly been to just assemble the provided parts and parts assemblies. For example, Johnson Controls will do seats, as well as headliners and/or complete interiors. While there is still some vertical integration for the big three, it must be more cost effective to have outside sources make these component assemblies. I can only think it is because of labor costs as the auto companies would have to deal with the unions while the other companies might not have to. I read a while back that the auto companies were going to have companies like Delphi do the assembly also.
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