| Summary: | 碩士 === 輔仁大學 === 國際經營管理碩士學位學程 === 105 === The purpose of this research is to study about the frugal innovation in the automobile industry with a particular attention to Russia and China. To tap into the great potential of emerging markets and squeezed by the fierce competition in this mature industry, some automobile manufacturers have recognized the great potential of frugal innovation in the automobile industry. This research addresses the questions of how they apply frugal innovation to enhance their competitiveness and their differences in the frugal innovation practices. The qualitative research approach and case study strategy were adopted to analyse the questions, by comparing the two automobile manufacturers, Avtovaz’s Lada and Chery Automobile to represent Russia and China, respectively. The findings turn out that the four core attributes: affordability, simplicity, quality and sustainability, are the exactly key points for the automobile industry to apply frugal innovation to enhance their competitiveness, because frugal innovation is seeking to integrate four of these together rather than dealing with them independently. In addition, this research also turns out that there are three aspects may affect the frugal innovation in a country. First, the economic conditions of a country may affects the frugal innovation in a country. Second, a frugal innovator should always be alert to the business environmental forces and turn it into the market opportunities. Last but not least, the government of a country can play an important role in promoting frugal innovation in a country.
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