Developmental State, Industrial Policy, Technological Development(Evaluation of effective factors on different performance of Auto Industry in Iran, China and Mexico)

Indentifying the main factors of Irian’s Auto Industry faliure in competiion at global markets is the main aim of this paper. Evolutionary Institutional Theory and Historical Comparative Method are the theoretical framework and research method of this study. Statistical society includes all of the late comer automobile producers and statistical sample includes Iran, China and Mexico. The resulted data and comparative comparison shows that the conventional hypothesis (rent of oil incomes, lacking of comparative advantage at the time of establishing the industry, high tariff on Auto imprtaion at the first stage of industry and state ownership of the firms) are rejected and the hypothesis of inability of state in getting to sustainable high economic growth, re engineering the economic products through industrial policy and national/sectoral innovation system is confirmed. The last part of paper provides the conclusion and policy implications at three level of national, industry and firm.