Economic development in the Ingolstadt automotive center

Abstract

Territorial and regional structures are tightly linked to economic development. The example of automotive industry as a driver for economic development, and its distinctive presence in the Central-Eastern European region explains why we should examine the ways in which it affects a given municipality or city region and the system of cooperation that is characteristic for the given region. The aim of this study is to examine the automotive district of Ingolstadt, with special regard to the automotive industry’s (Audi AG) impact on the city’s development, the cooperation model between local authorities, the economic actors of the region and its higher education institutions.

Considering the current economic trends in Central and Eastern Europe, the role of automotive industry can’t be ignored. The development of single automotive centers significantly contributes to the growth and development of municipalities, city regions and even countries. These centers, however, face countless challenges and in order to solve them, cooperation between the participants is a necessity – just like in the case of maintenance and enhancement of economic development. This paper investigates the Ingolstadt automotive district, with a special regard to the impacts of the automotive industry (Audi AG) on urban development and the cooperation model established between the region’s economic actors, higher education institutions and the city’s functional region. We examine in detail Ingolstadt’s infrastructural facilities and the role of the local government in the development of local economy. We will pay particular attention to those local government-operated companies and projects which contributed to the improvement of the city’s business premises (Development Cooperation, logistics park, R&D center, Business Development Company, telecommunications company etc.).

This paper discusses the ongoings, cooperations and the best practice in the Ingolstadt automotive district in order to trace the operational model of the Ingolstadt automotive center. This operational model may serve as a guideline for the future development of other automotive centers, both at the stage of establishment and of those already operating.