Key Reading on the Auto Industry

Baker, Kevin.  Economic tsunami: China’s car industry will sweep away Western car makers.  Rosenberg, 2007.  360p bibl index; ISBN 9781877058561 pbk, $29.95. Reviewed in 2008apr CHOICE.
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This is a detailed, nuanced, highly interesting book. Baker predicts that Chinese automobile production will exceed 12 million units in 2010 but constraints on domestic demand, e.g., inadequate infrastructure, lack of space in the cities, insufficient sales and service facilities, and a growing market for used cars, will prevent domestic demand from keeping pace with production. Chinese auto producers will turn to exports, as other national auto industries did in the 20th century. Due to low labor costs, modern factories, and a tightly controlled exchange rate, Chinese autos will overwhelm the markets and auto industries of most nations with inexpensive, high-quality, modern automobiles. Meanwhile, legal, organizational, and social factors will effectively close the Chinese markets to imports. Baker proposes that a tariff, based on wage costs, be used to protect markets. An Australian who spent more than 14 years teaching management at various Chinese universities, Baker is extremely knowledgeable about China’s economy, society, and legal and business environment. His book is well documented, supported by empirical studies, and clearly written. It makes a powerful case for this “tsunami” and should be read by anyone concerned about the current direction and future of the world economy. Summing Up: Highly recommended. All collections. — C. H. A. Dassbach, Michigan Technological University 

Barnard, John.  American vanguard: the United Auto Workers during the Reuther years, 1935-1970.  Wayne State, 2004.  607p bibl index afp ISBN 0-8143-2947-0, $34.95. Reviewed in 2005apr CHOICE.
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In October 1935, John Lewis and other labor leaders founded the Congress of Industrial Organizations (CIO) to unionize workers in such basic American industries as steel, rubber, and auto manufacturing. The United Auto Workers (UAW) played a crucial role in the CIO’s rapid growth, primarily through a 1937 sit-down strike at the General Motors plant in Flint, Michigan. This readable history traces the rise of the UAW and its influence on the American employment system from 1935 into the 1980s. Barnard (emer., history, Oakland Univ.) focuses on the career of Walter Reuther, who served as UAW president from 1946 until his death in 1970. Under his leadership, the UAW helped to create a middle class of American industrial workers who enjoyed high wages, generous fringe benefits, and stable employment based on seniority and grievance procedures. Reuther rose to prominence during the 1946 negotiations with General Motors, when he demanded a 30 percent increase in wages with no increases in automobile prices. Although the UAW failed to gain that objective, Reuther dominated the union for the next 25 years. As this study demonstrates, Reuther deserves recognition as an important historical figure in the postwar era. Summing Up: Recommended. Public and academic library collections, upper-division undergraduate and up. — R. L. Hogler, Colorado State University 

Boyle, Kevin.  The UAW and the heyday of American liberalism, 1945-1968.  Cornell, 1995.  338p index afp ISBN 0-8014-3064-X, $35.00.  Outstanding Title! Reviewed in 1996may CHOICE.
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What happened to union activism in the post-WW II era? Boyle argues persuasively that at least one union, the United Automobile Workers, sought more than fatter paychecks, bigger fringe benefits, and job security for its members. Prodded by its president, Walter Reuther, the UAW pressed liberalism leftward, notably with its call for national economic planning and an expanded welfare state. To secure these goals, Reuther had to appeal to a broader audience, most likely drawn from fellow unionists, middle-class liberals, and African Americans. But the UAW’s alliances with the AFL-CIO and the Democratic Party forced painful compromises. Then, in 1968, any hope for a cross-class, biracial coalition evaporated in the waves of protest that gripped the nation. Focusing upon the UAW national political agenda, the author amply refutes the widely held view that the CIO unions failed, and that, sometime in the late `40s or early `50s, they bought into the prevailing Cold War consensus. Committed to an interventionist government, Reuther and the UAW continually pressed for a social democratic state, akin to those achieved in northern Europe. Thoroughly researched, abundantly footnoted, and uncommonly well written, this book belongs alongside Steve Fraser’s Labor Will Rule: Sidney Hillman and the Rise of American Labor (1991). General collections; upper-division undergraduate through professional. — D. Lindstrom, University of
Wisconsin—Madison 

Carson, Iain. Zoom: the global race to fuel the car of the future, by Iain Carson and Vijay V. Vaitheeswaran.  Twelve, 2007.  336p bibl index ISBN 0-446-58004-X, $27.99; ISBN 9780446580045, $27.99. Reviewed in 2008jul CHOICE.
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This is a highly readable, very timely, general audience book by two experienced Economist magazine writers who argue for US energy independence by weaning cars off oil. Most oil used in the US is for transportation, mostly in cars. The authors convincingly state that “oil is the problem, not cars,” and that increasing supply by more domestic drilling is not the solution. The book contains excellent chapters on US energy politics; the role of big oil and US auto companies in promoting consumer addiction to oil; and the undesirable political, military, and financial consequences the US is currently experiencing because of this dependence on oil. On the other hand, the authors include a chapter describing the race to find oil replacements outside the US in Japan, China, and India. The book ends on a quite hopeful note describing the “grassroots movement sweeping across America … to level the playing field for clean energy and the car of the future.” It includes excellent descriptions of fuel cells, hydrogen, plug-in technology, energy storage devices, etc., their domestic developers, and how US energy politics is changing from the bottom up, rather than the top down. Excellent bibliography. Summing Up: Highly recommended. All levels of readers. — D. Brand, formerly, Harvard University 

Clarke, Sally H.  Trust and power: consumers, the modern corporation, and the making of the United States automobile market.  Cambridge, 2007.  296p index ISBN 0-521-86878-5, $50.00; ISBN 9780521868785, $50.00. Reviewed in 2007oct CHOICE.
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This book is a thoroughly researched and fascinating history of the US auto industry from its beginning through 1965. Clarke, an economic historian (Univ. of Texas at Austin), describes the evolution of consumer trust and industry power through three distinct industry phases: the new market 1890-1915, the mass market 1916-40, and the postwar mature market up to 1965. The book stops before the modern era of serious foreign competition. In the new market, consumers bore the social costs of unsafe and unreliable vehicles but bought them less for transportation and more for entertainment and bravado. In the mass market phase, where buyers wanted trustworthy transportation, there is a tension between producing durable, reliable, and stylish cars, and reducing production costs while rushing innovations to market. In the mature market, product liability laws, easier credit, and other new regulatory and financial devices improved consumer welfare and brought broader access to cars. Clarke describes in detail the development and innovations of the key industry players, especially the big three (Ford, GM, and Chrysler). References and footnotes occupy a third of the book, and the index is excellent. Summing Up: Highly recommended. General readers; students, upper-division undergraduate and up; researchers and practitioners. — D. Brand, formerly, Harvard University 

Klier, Thomas.  Who really made your car?: restructuring and geographic change in the auto industry, by Thomas Klier and James Rubenstein.  W.E. Upjohn Institute for Employment Research, 2008.  425p bibl index afp; ISBN 9780880993340, $40.00; ISBN 9780880993333 pbk, $20.00. Reviewed in 2009jan CHOICE.
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As the subtitle suggests, this book is a study of the recent restructuring and geographic change in the American auto industry. To an informed observer of the industry, none of the book’s observations or conclusions is especially surprising. Klier (Federal Reserve Bank of Chicago) and Rubenstein (geography, Miami Univ., OH) report on developments such as the vertical disintegration of the Big 3 and the growing importance of outsourcing and suppliers; the inability of US companies to emulate the types of supplier relations found in Japanese companies; the rise of just-in-time manufacturing; the generalized movement of auto production from North to South driven by lower wages; the clustering of production in Auto Alley (along north-south Interstates 65 and 75); and the deindustrialization of old northern auto industrial centers. All these changes are the logical consequences of development that first became evident in the US industry approximately 10 to 15 years ago. The book’s merit and strength lie in its documentation of these shifts and changes using quantitative evidence that shows, beyond a doubt, that these developments have occurred. Summing Up: Recommended. Lower-division undergraduate through professional collections. — C. H. A. Dassbach, Michigan Technological University 

Lichtenstein, Nelson.  The most dangerous man in Detroit: Walter Reuther and the fate of American labor.  Basic Books, 1995.  575p index ISBN 0-465-09080-X, $35.00.  Outstanding Title! Reviewed in 1996apr CHOICE.
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Walter Reuther was relentlessly ambitious. He came to Detroit as a tool and die man, helped build and became president (from 1946 to 1970) of the nation’s most powerful union (the United Auto Workers), and eventually walked the world stage with prominent politicians. In this volume, noted labor historian Lichtenstein (Univ. of Virginia) gives a detailed, well-documented account of Reuther’s life and his attempt to reengineer American society by creating a social democratic economic system (a la Sweden). Lichtenstein details the strategies and compromises that Reuther made to gain and wield power. At the book’s heart is the “Treaty of Detroit,” the “deal” struck between the UAW and the big automakers, which granted industrial peace and productivity growth in exchange for rising living standards and company-based welfare initiatives (such as pensions and health insurance). In the end Reuther became part of the liberal establishment and felt trapped by the failing institutions that he had helped create. The book is heavy on analysis of union politics, coalition building, and infighting, but somewhat weak in its presentation of economics. However, it is a must read for all interested in labor history. All libraries. — R. M. Whaples, Wake Forest University 

Magee, David.  How Toyota became #1: leadership lessons from the world’s greatest car company.  Portfolio, 2007.  239p index ISBN 1-59184-179-8, $25.95; ISBN 9781591841791, $25.95. Reviewed in 2008jun CHOICE.
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In 2007 Toyota sold more automobiles in the US than any other supplier save GM, thus replacing Ford, which had been number two domestically for 75 years. Worldwide, Toyota is number one. Magee, a journalist, has interviewed Toyota executives, employees, and others about the reasons for Toyota’s remarkable growth: attention to quality; embracing long-term goals; listening to the customers (about the product) and to employees (about improvements in the production process); anticipating necessary changes (Prius versus domestic SUVs); and seeking continuous improvement in the product and in manufacturing. All this encompasses the Toyota Production System, i.e., reliance on creative customer and employee contributions, and lean production (the just-in-time delivery of parts) to reduce waste and cost. Magee reveals how this business philosophy pervades the company. This book contains no economic analysis and little data. Nevertheless, it should be studied by every businessperson (“just-in-time” has been widely adopted) and business student for its messages on how to run a good and profitable company. (Detroit, are you listening?) Summing Up: Highly recommended. General readers, all levels of business students, and practitioners. — R. A. Miller, emeritus, Wesleyan University 

Maxton, Graeme P.  Time for a model change: re-engineering the global automobile industry, by Graeme P. Maxton and John Wormald.  Cambridge, 2005 (c2004).  276p index ISBN 0-521-83715-4, $40.00. Reviewed in 2006jan CHOICE.
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This important, highly readable, and authoritative book on the global auto industry is a must read for all those interested in this society-transforming industry. Maxton and Wormald, experts on the topic, describe the industry’s huge problems: stalling growth; manufacturing overcapacity; loss of control and unstable relationships with suppliers; low and negative profit margins; and such value-destroying business practices as too much product proliferation and manufacturing complexity. They prescribe a wholesale reorganization and unbundling of the industry, with each company concentrating on what each does best. Both industry problems and prospects are clearly described, car company by car company, in terms the general reader can relate to. There are excellent chapters on car manufacturing; supplier, sales, and repair networks; and possible futures. Short chapters on the social problems of the automobile (air pollution, accidents, congestion) caused by the increasing worldwide “auto-mobility” are also useful. The discussion of new engine technologies and fuel sources is particularly timely. There is no comparable book. Excellent index; numerous graphs, tables, and figures. Summing Up: Highly recommended. General readers; students, upper-division undergraduate and up; faculty and professionals. — D. Brand, formerly, Harvard University 

Milkman, Ruth.  Farewell to the factory: auto workers in the late twentieth century.  California, 1997.  234p index afp ISBN 0-520-20677-0, $45.00; ISBN 0-520-20678-9  pbk, $14.95. Reviewed in 1997oct CHOICE.
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Perhaps no industry has been as profoundly affected by the transformation of the US economy over the last 25 years as the US auto industry. While much has been written about these changes, relatively little attention has been paid to their impact on auto workers themselves. Farewell to the Factory helps fill this gap. Milkman examines the experiences of workers at General Motors’ Linden, NJ, assembly plant during the 1980s. Using multiple methodologies, the author provides an unusually insightful look into the lives of these auto workers. In the best of times assembly line work can be mind-numbing and physically exhausting. However, during the 1980s these workers also faced employee buyouts and layoffs, the introduction to robotics technology, the reorganization of work, and an unsuccessful effort to change the traditionally adversarial relationship between labor and management. Milkman explores each of these in some detail. As society moves forward to shape the workplace of the 21st century, it is critical that we understand this process of change. This book makes it painfully clear why change is necessary. Recommended for general readers and lower-division undergraduate students through professionals. — P. F. Clark, Pennsylvania State University, University Park Campus 

North American auto unions in crisis: lean production as contested terrain, ed. by William C. Green and Ernest J. Yanarella.  State University of New York, 1996.  246p bibl index afp ISBN 0-7914-2823-0, $59.50. Reviewed in 1996sep CHOICE.
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The North American auto industry experienced rapid change on many fronts in the 1980s. During this decade Japanese companies constructed six assembly plants in the US and Canada, the “big three” North American automakers entered into joint ventures with Japanese companies to manufacture vehicles, and General Motors attempted to respond to Japanese competition by building a “revolutionary” new auto-making facility. Each of these ventures employed new lean production techniques and cooperative labor-management relationships. Both approaches differed substantially from the traditional Fordist mass production approach and the adversarial system of labor-management relations that had grown up with it. The essays in this collection critically analyze the impact of these changes on workers, unions, union-management relations, and public policy. Particular attention is paid to the differing responses of the US and Canadian autoworkers unions to these developments. The essays are thoughtful, well reasoned, and bring a much needed critical voice to the debate over the short- and long-term implications of the ongoing changes in the North American auto industry. A valuable addition to academic libraries serving upper-division undergraduates and up. — P. F. Clark, Pennsylvania State University, University Park Campus 

Paterson, Matthew.  Automobile politics: ecology and cultural political economy.  Cambridge, 2007.  271p bibl index; ISBN 9780521870801, $85.00; ISBN 9780521691307  pbk, $29.99. Reviewed in 2008apr CHOICE.
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Paterson (Univ. of Ottawa) posits that the automobile has a significant role in environmental problems and that advancing projects toward sustainability requires an understanding of how the automobile has become so dominant. From a political economy perspective, he shows that the car has been central to the organization of modern capitalism. From a cultural perspective, he argues that the car has become central to individual identities. Paterson’s comprehensive review and critique of the literature is impressive, although his line of argument would be clearer if he resisted meandering through much tangential work. What may frustrate some readers is that, although the book offers a good description of the problem, its causes (the car lobby is powerful and people associate car ownership with freedom), and ecological consequences, it includes few ideas about how to build an economic strategy without the car and how to convince people that cycling and mass transit should be their normal daily practices. Still, the book is excellent scholarship and creative synthesis. Unlike many essays in cultural and environmental theory, Paterson’s work avoids jargon and, although dense, is accessible to readers who are not trained as political theorists. Summing Up: Recommended. General readers, upper-division undergraduates, graduate students, and research faculty. — R. E. O’Connor, National Science Foundation 

Zetka, James R.  Militancy, market dynamics, and workplace authority: the struggle over labor process outcomes in the U.S. automobile industry, 1946-1973.  State University of New York, 1995.  293p bibl index ISBN 0-7914-2065-5, $57.50. Reviewed in 1995jun CHOICE.
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During the post-WW II period, management and workers in American manufacturing industries often clashed over the nature of workers’ employment terms, with many of these tensions emerging via the collective bargaining process between corporate management and the workers’ unions. In this volume, Zetka (sociologist) closely examines the postwar struggles between management and workers in the auto industry over the definition of an appropriate day’s work. He pays close attention to the auto workers’ use of wildcat (or unauthorized) strikes as a method to challenge management’s imposition of workloads that workers regarded as unfair. In particular, he analyzes why the use of wildcat strikes declined significantly in this industry during the 1960s compared to their frequent use during the 1940s and 1950s. This book contains an insightful account of the origin and resolution of union-management disputes over how much auto worker effort is required in a “fair day’s work.” As such, this book will be of considerable value to labor historians, industrial sociologists, and industrial relations scholars interested in how management and workers have tried to regulate work effort levels. Upper-division undergraduate through faculty. — P. Feuille, University of Illinois at Urbana-Champaign