How the introduction of new regulatory forms shapes firm self-regulation in the US automobile industry

Abstract

Purpose

The current research aims to explore how the implementation of new regulatory forms contributes to firm self-regulation.

Design/methodology/approach

Longitudinal analysis of firm-initiated product recalls for 15 manufacturers in the US automobile industry from 1966–2012.

Findings

Examining firm-initiated product recalls for 15 manufacturers in the US automobile industry from 1966–2012 has several important findings regarding how the introduction of specific regulatory forms contributes to firm-initiated vehicle recalls. Firms are not likely to self-regulate in response to surveillance or standards-based regulation while information-based regulation results in a greater likelihood of firm self-regulation.

Originality/value

This result suggests that even at the product level; firms become increasingly motivated to self-regulate as regulators introduce information-based regulations.

Citation

Cavazos, D. (2022), "How the introduction of new regulatory forms shapes firm self-regulation in the US automobile industry", American Journal of Business, Vol. 37 No. 3, pp. 139-151. https://doi.org/10.1108/AJB-08-2021-0101