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Alternative models for the development of auto parts industry

Publish Date: 2021.08.26


  Alternative models for the development of auto parts industry  

  tips  

  When the vehicle is used for a period of time, or after the air conditioner has been idle for a long time, the air output of the air conditioner often becomes smaller. The reason for this situation is that the fan, motor, capacitor are abnormal or the filter element inside the air conditioner is blocked. , And to solve this problem, we only need to replace the corresponding parts or clean it.

  

  PART01

  

  At present, my country's auto parts industry is generally based on the development model of complete vehicles. This structure is based on vehicle companies as the core and subsidiary companies of spare parts. This model is mainly formed due to the development relationship between local protection policies and group management. After my country's accession to the WTO, multinational automobile and spare parts manufacturers have accelerated their entry, which has greatly challenged the original development model, and has to consider implementing a new model that is more suitable for domestic enterprises.

  

  PART02

  

  joint venture model

  

  The joint venture model mentioned here mainly refers to the equity-based cooperation method established by the Chinese and foreign parties for the common benefit. With the implementation of my country's opening-up policy, as an important means of utilizing foreign capital, Sino-foreign joint ventures have become one of the main methods of my country's foreign economic cooperation.

  

  1. Sincerity of cooperation Shanghai Volkswagen, as a successful model of cooperation between China's car industry and foreign capital, is very worthy of our reference. More than 20 years ago, China and Germany signed a cooperation agreement on the principle of mutual assistance and mutual benefit. From then on, Shanghai Volkswagen ushered in a new era of joint venture model in China's auto industry. Since the joint venture model of automobile manufacturers provides a successful precedent, we have reason to be confident in the prospects of joint ventures for spare parts companies.

  

  2. The advantages of both parties determine that any cooperation is based on ensuring the interests of both parties. We must recognize the strengths and weaknesses of both parties, and be clear about the benefits and prospects of cooperation. With this awareness, the Sino-foreign joint venture can grasp the focus of cooperation, find the right direction, and ultimately achieve mutually beneficial results. The Pan-Asian Automotive Technology Center jointly established by SAIC and General Motors is a typical example. For multinational companies, this model can make use of China’s lower-cost technical power to directly face the Chinese consumer market and increase multinational companies’ presence in China. Competitiveness. For domestic enterprises, they can use the joint venture R&D center to improve their R&D level and industrial technology level to achieve a win-win result.

  

  3. Strengthening of own advantages Through years of joint venture experience, the management of auto companies has gradually realized that only with independent brands and independent innovation capabilities can the company remain invincible for a long time. The birth of the completely independent brand car "Roewe" marks SAIC's confidence and determination to strengthen its own advantages. In recent years, Delphi (China) Investment Co., Ltd. and Johnson Controls (China) Co., Ltd. of the United States have successively established in China, which shows that multinational companies are very interested in the Chinese auto market and have great determination to invest. Huge joint venture opportunity.

  

  PART03

  

  Strategic Alliance Model

  

  The cooperative relationship established by two or more companies to achieve a certain strategic goal is the strategic alliance model. This kind of cooperative relationship can be established by parts companies and vehicle companies, because parts companies must rely on vehicle companies to participate in simultaneous development. At the same time, vehicle companies also need modular supply of parts companies, through complementary resource advantages, Establish a relatively long-term and stable partnership, and at the same time strengthen the market competitiveness of both parties.

  

  In addition, this model can also be applied to parts companies in different regions of the country. Because domestic companies are generally small in scale and poor in comprehensive competitiveness, they cannot fight together with foreign giants. In response to this unfavorable situation, domestic small and medium-sized enterprises can unite to set up commercial organizations such as the spare parts industry chamber of commerce, and use their local advantages and alliance strength to resist outsiders to carve up China's "market cake."

  

  In short, my country’s auto parts manufacturers should regard strategic alliances as a viable strategic choice for their future development plans. The development of technology and the trend of globalization require them to further consider cooperation with other partners.

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