·Select a joint venture or autonomously avoid the necessary options for elimination

With the release of the production and sales data of China's auto industry in December, the market share of domestic independent brands has not unexpectedly declined in 2014. Although from the current development of the self-owned brand camp, there are a few independent auto companies that have achieved contrarian growth with the current sales of several products, but as Changhua Automobile’s president Zhu Huarong once said, “In the next five years, As for the self-owned brand to die half, "the independent brand is still facing tremendous pressure to survive." At present, from the perspective of the automobile enterprise group, the development status of China's automobile industry. If the mature automobile market is compared or standard, there are so many complete vehicle companies in China that it is obviously a kind of immature automobile industry or market. status.
Therefore, as China's auto industry and market are gradually maturing, the situation of so many domestic auto companies coexisting will inevitably change. And this change will inevitably mean that those automakers whose production and sales scales are ranked lower will inevitably be merged and acquired or even die out.
How can self-owned brands whose production and sales scales are relatively backward can avoid the fate of being eliminated by the market? Is it entirely based on your own efforts in the field of independent brands? Let's polish our eyes and see how the top ranked car groups do it!
The number one SAIC Group, in addition to its own brand passenger car business and non-passenger segment, has two joint venture brands, Shanghai GM (including Shanghai GM Wuling) and Shanghai Volkswagen, in the passenger vehicle segment. What is the scale of production and sales of SAIC Group?
The second-ranked Dongfeng Group, in addition to its own brand passenger car business and non-passenger segment, has joint venture brands such as Dongfeng Nissan, Dongfeng Shenlong, Dongfeng Honda and Dongfeng Yueda Kia in the passenger vehicle segment. Enterprises occupy a large share of the production and sales of Dongfeng Group?
The third-ranked FAW Group, in addition to its own brand passenger car business and non-passenger segment, has joint ventures such as FAW-Volkswagen, FAW Toyota and FAW Mazda in the passenger vehicle segment, and these joint ventures occupy FAW Group. What is the large scale of production and sales?
In addition to the top three car groups mentioned above, in the fourth to tenth place in Changan, Beiqi, Guangzhou Automobile, Brilliance, Great Wall, Chery and Jianghuai, the joint ventures of Changan, BAIC, GAC and Brilliance It also occupies most of the market share of its group's production and sales scale, and Chery's joint venture business has also achieved product downline. In the future, with the increase in the scale of production and sales of its joint venture business, it will undoubtedly move forward in the ranking of sub-groups. Relying on, while leaning forward, will undoubtedly encourage it to stay away from the fate of elimination. Therefore, in the top 10 auto enterprise groups in 2014, we can see that only the Great Wall and Jianghuai still have no joint ventures to support the total production and sales of the flag, and still rely on their own business support; thus we can also see At present, China's so-called top-ranking auto groups still rely on their joint ventures to support their production and sales scale, support their income and profits, support their own business and the source of technology.
Let's look at the Great Wall and Jianghuai. At present, it can rank in the top ten. In addition to the commercial vehicle sector, it is undoubtedly relying on the strong demand of the SUV market. It is undoubtedly relying on the market competition in which the SUV market is still insufficient. Imagine that when the market is saturated. After the competition is sufficient, will the two car companies, which are only supported by their own businesses, suffer from losses in the areas of production and sales, income and profits of other car companies because they do not have the support of joint ventures in the future?
At the same time, with the adjustment of the “market-for-technology” policy in the future, the auto groups with joint ventures in the existing joint ventures’ profits from their own businesses In addition to the support of development, it is also possible to feed back its own business in the technical field through joint ventures. Once this happens, it may be difficult for the auto companies in the future, such as the Great Wall and Jianghuai, to have their own business and other auto companies’ independent businesses. Competition, and the resulting most pessimistic ending is the elimination of the market.
Although I would like to suggest that Great Wall and Jianghuai should also make joint ventures, they may be embarrassed by people in the industry or the country. But the reality is such a reality. In China, the development of automobile enterprise groups is still based on the scale of production and sales, income and profit. When measuring its strength and weakness, when it has not reached the point where it can compete with the joint venture brand on the same starting line, the choice of joint venture may be the lower-ranking car companies such as Great Wall and Jianghuai. The inevitable choice.
Take Jianghuai as an example. If it is actively seeking cooperation with a certain overseas brand, and now the market size of the world's largest auto production and sales in China's auto market, the current overseas brands are accelerating the localization process in the Chinese auto market, with JAC in It is not difficult to find a partner in the production qualifications and other resources of the passenger vehicle field. And if it can find an overseas brand (whether it is a mainstream brand or a luxury brand) to cooperate and be able to quickly achieve production and production, its position in the Chinese automotive industry will obviously increase rapidly; at the same time, with the country's "market-for-technology" With the adjustment of policies, Jianghuai will also have the opportunity to obtain more technical support from its partners, so as to realize the back-feeding of its own business through the profit and technology of its joint venture business, and promote the accelerated development of its independent business.
As with the above, will the Jianghuai and other car companies face the risk of being eliminated in the future? The answer is obviously no!

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