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Policy of its own brand again Qi Cheng pressure facing extinction crisis

Policy of its own brand again Qi Cheng pressure facing extinction crisis

  • Categories:News Center
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  • Time of issue:2011-08-05
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(Summary description)Abstract:In the past two years, a number of stimulus catalyst, the domestic brand car prices ushered in the revelry, but with a few bad policy after the shock, they fall into a full position. China's

Policy of its own brand again Qi Cheng pressure facing extinction crisis

(Summary description)Abstract:In the past two years, a number of stimulus catalyst, the domestic brand car prices ushered in the revelry, but with a few bad policy after the shock, they fall into a full position. China's

  • Categories:News Center
  • Author:
  • Origin:
  • Time of issue:2011-08-05
  • Views:0
Information

Abstract:In the past two years, a number of stimulus catalyst, the domestic brand car prices ushered in the revelry, but with a few bad policy after the shock, they fall into a full position. China's auto industry stands to grow stronger in the overall tone of the nodes, yet was weak own-brand car prices how to break through to become a problem to be solved.

Again put pressure on policy

In early trade policies and policies purchased after the withdrawal of tax relief, subject to the drastic slump in sales of micro-tired face, China's own-brand car companies began to lose market share. At the same time, Beijing and other places have been introduced governing blocking policy for their own-brand car companies once again dealt a heavy blow.

Secretary-General of China Association of Automobile Manufacturers Dong Yang called more than once, hoping to stop the introduction of the automobile industry is not conducive to the development of policy. Even though there have been rumors recently, based on the overall decline in domestic auto market unfavorable situation, the Government is considering the introduction of policies to boost the auto market.

But the voice I hear, the Ministry of sound, said the automobile, steel, cement and machinery manufacturing industries such as the eight focus to promote the advantages of business combination, cross-regional mergers and acquisitions, foreign acquisitions and investment cooperation, increased industrial concentration. This time, the automobile industry was in first place, which shows the importance of promoting the policy.

Against this background, the domestic brand car prices once again facing the choice between life and death.

"First Financial Daily" and the K-car gateway to an independent brand development prospects of the joint survey, in 2818 the industry to participate in the vote, more than 70% think that there is an independent brand of the threat of extinction.

Of these, 20% believe that there is an independent brand "routed" a great possibility, and the other 52% of people will determine the part of independent brands will gradually withdraw from the stage of history, but it will not all die. In contrast, the independent brand remain completely optimistic expectations of the people account for only 23%, which some people believe that there is an independent brand completely "wiped out" the possibility, and the bright prospects for the development of independent brands.

According to the current model of development, the domestic brands basically divided into three categories, one based on SAIC "Roewe (microblogging)," FAW "Pentium," Dongfeng "Aeolus" and represented a large group under its own brand; the other is under the Government's intention to promote the breeding out of SAIC-GM-Wuling "Po Jun", Dongfeng Nissan, "Kai Chen," and Guangzhou Honda "philosophy" and other joint-venture brands; third category is based Chery, Geely, BYD, Great Wall and other private enterprises as the representative of an independent brand.

For the definition of independent brands, the National Development and Reform Commission Chen Jianguo, deputy director of Industry in an interview that, what brands do not identify the complex, to see the body affixed to LOGO, LOGO is who, which owned all the capital .

In fact, whatever the properties of its own brand, with the joint venture product lines have been dropping, brands are faced with the lack of government support under the problem of how to self-relief.

In the survey that is currently being experienced by the largest independent brand development dilemma is the "joint venture's overall competitive advantage is becoming increasingly apparent," the turnout reached 33%; Secondly, 24% of people think that because a large group and foreign car Government policy on the huge influence, so some of the industrial policy is difficult to tilt to the independent brand, and thus can not really enjoy the policy has brought positive stimulus.

In addition, the adverse environmental and consumer demographic dividend gradually disappear leading to rising costs of business is absolutely the plight of respectively 22% and 14% turnout.

In fact, still remain an independent business brands in the camp, in addition to Chery, Brilliance, and a few state-owned enterprises, the majority of private enterprises, such as the completion of the annexation of the lucky 100% of Volvo cars, battery-started in the automotive field after progress has been made of the BYD Auto (microblogging), in addition to Great Wall, Lifan cars, etc., are the vehicle of private capital, holding companies, and most of these companies are involved in the automotive industry in recent decades, compared to some of the In the eighties and nineties to enter the Chinese market, or more deep roots, such as SAIC, FAW and Dongfeng Group and other large central enterprises, the level of discourse in policy-making power and influence has been weak.

With the joint venture's market share in China continue to be consolidated, the brand and quality products more deeply, and after-sales service, etc. has been further improved, overall performance of the best competitive advantage. Independent brand to not only block the advance in high-end market, but also the desire to own cars through joint ventures and small cars dropping to the low-end market, further squeezing an independent brand of living space.

Focus on breakthrough

Concern that the Government is leading the automotive industry to promote mergers and acquisitions of independent survival of the brand to bring some challenges. In our joint investigation, 27% fear an independent brand in the process of mergers and acquisitions by large state-owned-by annexation, and 53% of the people is certainly a possibility, but that is expected to avoid the strong comprehensive strength.

Objectively speaking, an independent brand of the first camp of several companies already have a very competitive market is also increasing year by year. Such as Chery achieved in March last year, the 200 million cars off the assembly line, and form from the vehicle powertrain, the development of key components, to test a more complete product trial planning system, with completely independent intellectual property rights of car R & D system was basically completed; lucky in the DSI and Volvo in the bag after its own brand of R & D system and the influence has been effectively consolidated, end-market with the successful launch of Imperial cars have begun to open a new situation; Similarly, in favor of access to Buffett, after Daimler hand cooperation, the development of BYD Auto also won a good market share.

There is also a firm foothold in overseas markets gradually, the strong profitability of Great Wall Motor, etc., it seems that these brands are no independent signs of disappearing.

But the need for government support is still the largest independent brand car prices are the voices. Guangzhou Automobile car Xie Zhihong, deputy general manager, said in an interview over the past 30 years, reducing their joint venture by Guangzhou Automobile car to do the time, but did not completely take the market in exchange for technology, particularly regrettable is the passenger areas of high-end products have been occupied by multinational companies, virtually all the domestic car prices are wage earners, earn a little hard-earned money.

"R & D, standard, technology and other aspects of the electrical gap between us and others is not the slightest bit, I hope the Government to give policy support." Xie Zhihong respect.

Survey shows that 81% of people think that brand is worth the Government's strong support for independence.

In fact, the independent brand holds the core of the self-developed technology, the development of the brand extension has the ability to effectively and can lead to the future development of the brand, but brands can generate economic benefits for self-control and decision-making. Not only help to prevent large-scale profit grab by foreign investors, more importantly, the entire domestic auto industry can enhance the core competitiveness, and this is truly a national basis and stronger automotive industry is the only way out.

State Information Center, Xu Changming, director of resources development in an interview earlier pointed out, had to be subversive of its own brand of low-cost stereotypes, "such as Toyota in the use of common parts ratio is very high, a component in the various models are in use, in which case, the scale of the expansion of its cost reduction is very obvious, and we do not have their own brands have cost advantages. "

With the maturity of China's auto market, the upgrading of the industry concentration is increasing trend. Which belong to free competition from the market level of mergers and acquisitions, but also the executive power of intervention and intervention. In the foreseeable future, some non-competitive automobile business is the acquisition and integration will be inevitable.

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