Automotive industry: development vision for the future

Time：2014.05.03 Come：Yuhuan Qifeng Machinery Co., LTD View：

Development Models and strategic vision

Today, the rapid development of China's automobile industry is bigger and stronger and parts enterprises to achieve leapfrog development, has brought unprecedented market opportunities and development space. In recent years, China's automobile industry with an annual average of more than 25% of the rate of rapid growth, in 2003 China's automobile production exceeded 4.4 million, the yield jumped to three in the world in 2004 will exceed 5 million in 2005, total demand will reach 5.93 million by 2010 will reach 9.94 million. According to an annual output of about 300 billion yuan and car parts vehicle output accounted for about 60% of the calculated proportion, domestic auto parts market in the coming years will be about 180 billion yuan output value of more than a year. Thus, the domestic large and medium parts enterprises should seize the opportunity to strive to achieve by 2015, large-scale enterprises to enter the top 50 global parts enterprises, medium-sized enterprises to enter the top 200, becoming the world-class parts industry's international competitiveness Auto Parts (Group) Company.

The opportunities and challenges of today, according to the development experience of foreign auto parts enterprises, the domestic parts enterprises in the choice of development model and development strategy on, refer to the following ideas.

Choose a development model of

The first is by leaps and bounds. Rapid expansion and the rapid development of private enterprises and the rapid development of cross-country vehicle parts group, requiring domestic parts enterprises have to break the routine of the development of ideas, choose the model of development by leaps and bounds, so that the enterprise's core competitiveness and overall strength in There is a larger increase in the short term with a leap.

The second is the market-oriented organizational model. Establish market-oriented institutions and mechanisms is a prerequisite to achieve leapfrog development. With the development of enterprises to international joint venture opportunities, accelerate to build institutions and mechanisms, to create their own trademark and own brand, making strategic decisions, resource coordination and coordinated development of the three major functions of capital operation, improve decision-making efficiency and adapt to rapid market expansion market, the ability of rapid development.

The third is a large-scale production mode. Large parts enterprises to play the mother of modern mass production car companies, "large group" advantage, according to specialization, scale development direction, adjust the "small" product structure, to achieve economic specialization and mass production in the product , production and operation of the overall scale.

The fourth is the capital of the business model. To operate in the capital of each parts enterprises as an important means to achieve leapfrog development. Accordance with the "product management support capital management, capital management expansion of product management" model of development, the rapid expansion of the company's business areas and scale of operations through capital operation.

Finally, neutral enterprise model. Parts companies take the neutral path is the direction of future development, the domestic parts enterprises to accelerate the pace of restructuring of the joint venture and the pace of the company's international components, stronger and bigger. Through international joint ventures and restructuring, and gradually enable the enterprise to achieve neutral development, opening up a good two markets, namely the domestic vehicle market and the international market, making large-scale production operations.

Second, the choice of development strategy

The first is a joint strategy with the industry. With the intensification of competitive pressures automobile companies, competitive pressures must be passed to the parts business, which requires parts enterprises to reduce costs, making large-scale, and the most effective way is to implement the industry association, as far as possible to achieve market maximize, maximize efficiency and cost minimization. Domestic parts enterprises should have an open mind and look to the international vision, abandoned alone, fragmented style of competition, extensive cooperation, complementary advantages, resource sharing, strength and size by leaps and bounds.

May 2004, SAIC president Hu Maoyuan visit Dongfeng, when the two leaders affirmed the Group's Yanfeng Visteon and Dongfeng Visteon results of cooperation in the talks, and offered to cooperate in a wide range of parts and components. The two sides proposed mutual opening aftermarket and parts business is broadly divided into three categories, one is they do not have competition, it combined development, sharing SAIC and Dongfeng vehicle matching the two markets; second is the existence of competition , and for the time being their own development; third category is neither of joint cooperation, joint development. The two sides also proposed that joint under the conditions ripe FAW, expand cooperation in terms of components, standardization work together to improve the industry, breaking technological barriers, to achieve market and resource sharing.

The second is the implementation of mergers and acquisitions strategy. Take full advantage of the enterprise and other products, technology and market advantages to product attributes as a link to expand the market as a precondition to capital operation as a means for the industry and society as a whole integration of advantageous resources, mergers and acquisitions and powerful combination. Through resource integration and mergers and acquisitions effectively leverage existing assets of the enterprise, access to social resources effectively to achieve the expansion of capital formation and capital strength.

The third is the implementation of international cooperation strategy. To quickly enhance competitiveness and gain competitive advantage through international cooperation; obtained through international cooperation, the business capital, technology, products and management support in the future development; into matching system partners through international cooperation, integration into the global system; through international Development cooperation reversing parts behind the passive situation of vehicle development.