September 09, 2015

Domestic auto parts still rely on oversea market

Recently, China's auto parts industry proceed biggest research and evaluation activities, the report has shown that the auto parts company which has foreign capital in the Chinese market occupies an absolute advantage in the field of high technology. China has become the world's largest auto market so that the world's multinational auto parts companies are increasing investment in China. With its advantages of technology, management and existing customer relationships, the performance of foreign auto parts companies is very outstanding in the Chinese car market, especially in the high-tech field, they have the absolute dominant position.
For a long time, the foreign capital enterprise not only mastered the core technology of some key components, also monopolized the market to provide oems supporting parts. At the same time, the whole process established in china of the development, training, production and sale has been formed, and began to work in accordance with the best division and layout and integrate their enterprises which they invested in China.



In the face of the current market situation, parts enterprises are also trying to change this situation, but the overall situation is still controlled by foreign investment, some experts pointed out that how to solve the problem of enterprise key parts, the core competitiveness of enterprises is mainly reflected in several aspects:

1, Ductility

The core competitiveness can provide enterprises a potential way to enter the market of various products. That is to say, a core technical ability can make the company gain the competitive advantage in many core products.

2, Practicality

The core competitiveness can bring greater end user value to the customer. In a word, all the competition is to better meet the needs of customers and the product must have practical value recognized by the customer.

3, Uniqueness

The core competitiveness should not be easily imitated by competitors. Generally speaking, the core competitiveness of the enterprise has a high barriers for competitors, the greater the proportion of intelligent components is in its structure, the enterprise can be obtained long-term competitive advantage.

4, Low cost

Low labor costs are the advantages of China's auto parts enterprises, but low cost does not mean low profit, it is still high profit as long as the full use of the price margin.

5, high service

Relative brand image and business reputation, service ability belongs to the latter part of the value. No matter before and after, the enterprise's service ability determines whether the enterprise can be sustained development, which includes the pre-sale, after-sales support, etc..

6, High quality

There is no doubt that the product quality is the lifeblood of enterprise. If there is no good products, good enterprises will also be put in a quandary.

7, integrity

The integrity of an enterprise product line doesn’t mean that every product should be used as a flagship product to promote, it should cover all the bases, but it do not follow the same pattern.

China's auto parts industry has occupied certain areas in the world, but there is no core technology in China's huge auto market. No matter is in the automotive industry or auto parts industry, the key parts are still occupied by foreigners, and the key parts’ problem has almost become the industry consensus, however, how to solve this difficult problem, auto parts suppliers are still trying.

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Posted by: miaoyu at 02:07 AM | No Comments | Add Comment
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