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Multinational component manufacturers have settled in the Chinese market Advantages and Disadvantages

Currently, both the auto parts industry insiders and small and medium enterprises or multinational component parts business executives, are forecasting tremendous development potential of China's auto parts industry and the current good momentum of development. Even if the media are competing parts industry reported good news. There are indeed a large part of the international components brands began to keep a close eye Chinese auto parts market, there are a large enterprise is now the focus of their business to China, especially before China's main foreign trade of parts and components enterprises are now replaced by "both inside and outside "the. According to our thinking, but parts of the market is limited, but the Chinese auto parts market all of a sudden so many powerful injection of fresh blood, so we have concerns for the local parts supplier. Everything has its two sides, at the time of the arrival of a number of powerful opponents, local parts makers is still able to ensure that their market share will not be preempted others?

Drawbacks:

    However, this fear is not unfounded. The following reasons:

    Since a large number of input multinational technology and brand, tight control of the high-margin industrial chain and products, resulting in the local parts enterprises to reduce profits.

    Chinese parts supplier slightly better than the local parts supplier in terms of brand power of a chip. Therefore, control of the sales of spare parts supporting the field of Chinese parts and aftermarket share of the vast majority of high-class car line.

    Local parts supplier in terms of technology or products currently available with respect to multinational parts supplier still some gaps, and this will inevitably lead to local parts supplier's market share lost out part of it.

    In other kinds of ideas in terms of ownership in China's automobile industry continued to increase in recent years, the car has become a very common means of transport for the family, at present China's urban households almost around seventy percent or more have a private car, after It will be more widespread. With the rising car ownership, aftermarket share will gradually increase, so that space every parts enterprises in China have development.

   Positive:

    The multinational parts supplier settled in China, it would also put their cutting-edge technology and advanced equipment to China parts market, it will also improve the overall level of China's overall auto parts industry, pulled into between international distance. The advantages can be summarized in four aspects:

    First, the multinational component suppliers stay, you can enhance production capacity and technological innovation awareness of Chinese auto parts enterprises, including generic parts products.

    Second, since the cross-border parts enterprise brand management and motor skills are very standardized, and settled in the Chinese market will also enhance China's auto parts company's brand awareness and management concepts, received a more advanced management experience and brand management capabilities.

    Third, in the face of powerful opponents, themselves tend to be more fighting, and would in many ways to improve themselves. Since multinational parts supplier settled in, allowing more Chinese auto parts enterprises to participate in international competition, the ability to quickly upgrade the quality control and quality Chinese auto parts products.

    Fourth, in addition, the local parts supplier in the OEM is concerned, although much criticized, but investment in production equipment, to receive more industrial workers, increase employment rate and GDP income generation will make a great contribution to society.

   More attention: Dongfeng Dongfeng Hercules parts accessories after four previous Dongfeng front four rear eight four parts Dongfeng truck parts accessories


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