In the 1990s, Hyundai Kia Motors, which is still ridiculous in the United States, has become a model for Chinese auto companies to learn. Learn how they have achieved the top five sales and profit margins in just 20 years.
On November 25, 2014, the second China-Korea Automotive Industry Development Seminar, jointly organized by the Information Resource Development Department of the National Information Center, Hyundai Motor (China) Investment Co., Ltd. and the Korea Automotive Industry Research Institute, was held in Beijing to participate in the forum. Chinese experts and entrepreneurs believe that insisting on the quality of the key is the key to the success of modern cars.
However, Liu Jiqian, director of the Hyundai Motor China Business Research Institute, said in an interview with the reporter of the "First Financial Daily": "The real winners can only be selected from the most intense competition." He does not believe that Chinese auto companies can become bigger and stronger in the short term. "At least so far, I have always felt that there is still a final room for China's own brands."
Zhao Fuquan, dean of the Institute of Automotive Industry and Technology Strategy at Tsinghua University, said that in the past ten years, China’s independent brand companies have won a good market space by relying on “price/performance ratioâ€, but he believes that this advantage At present, it has basically disappeared. "The quality gap has caused a hard short version of the self-owned brand's brand capacity to be weak and overcome."
In an interview with this reporter, he said that quality control should be the number one project, and it needs to be done with perseverance, and it must be done. Otherwise, "10 years later, we are still talking about the truth. At that time, China, let alone the local brands of cars, I don't think there is any drama in the entire Chinese manufacturing industry."
Yin Tongyue, Chairman and General Manager of Chery Automobile Co., Ltd., is the only Chinese entrepreneur to attend the China-Korea Automotive Industry Development Seminar. He said in an interview with this reporter that “modern†and “quality†are his attendance. The main reason for this seminar.
Yin Tongyue said that at this stage, China's domestic car brand development is very difficult, and the market share is 12 consecutive declines. However, when China's own brand has a point (advantage), Hyundai Kia has made its way to the main stage of the world car. The key to the success of Korean companies is to do a good job of product quality.
“The way out for China's auto industry must be to build a brand.†Yin Tongyue believes: “Brand is a way of life. Now people's consumption upgrade is actually a lifestyle change, and the foundation of the brand is quality.†However, it is very long in the past. For a period of time, Chinese auto companies have really attached importance to the quality of their cars. The attitude towards quality is in the words of Yin Tongyue, "Ye Gong Hao Long".
Quality is the verification of the whole process, and to be "rely on the system", Yin Tongyue emphasizes that enterprises must establish their own system and quality culture. The key is how the "top leader" or "top layer" can position the development of the enterprise. He suggested that the eyes of the top of these companies should not only stare at the distance of three feet, but look far.
Yin Tongyue said that in the past, the development of Chinese cars was low quality and low price, and the threshold was very low. Marketing relied on price and advertising. However, with the change of people's lifestyles and the improvement of the quality of life, it is now relying on users and selling cars by word of mouth.
For the current decline in market sales, Yin Tongyue suggested that local auto companies must be “tolerant of lonelinessâ€. He said: “No company in China does not pay attention to quality, but which companies really put quality first. Position? If the quality is a standard, it can be qualitative and quantitative judgment, then when it comes to sales and profit conflict, the first thing that is abandoned is the quality!†Therefore, he also suggested that the self-owned brand should have a good quality system. .
Yin Tongyue's Chinese Dream Chery Automobile has been transforming since 2010 to build Chery's quality system, which has gradually achieved results, despite the decline in sales for three consecutive years. However, thanks to the continuous improvement of product quality, Chery achieved sales growth in 2014, the most difficult development of its own brand. In the first ten months of this year, sales volume increased by 7.1% year-on-year, higher than the industry average.
"If you don't sell your car to the United States, you will die in this life." Yin Tongyue expressed his strong demand for "going out" in an interview with this reporter. He said: "We hope to be the first Chinese to enter the United States. Enterprise, this is Chery's Chinese dream, and it is my own Chinese dream." But Chery's current product quality can not enter the European and American markets.
Yin Tongyue said that the Korean market is too small, and its development requires that it must enter the above-mentioned developed automobile market, but the Chinese market is large enough, at least so far has enough space to support it.
In the 1980s, Hyundai Motor paid a huge price in the United States because of quality problems, and almost caused the entire modern car to close down. Today, the regulations in the US market are more complete and stricter. The current quality of China's own brand cars does not meet the regulatory requirements of the European and American markets. Yin Tongyue hopes that Chery will try to reduce the tuition fees when going to (US). cost."
However, Liu Jiqian said in an interview with reporters: "The true winners can only be selected from the most intense competition." China's self-owned brands have not really realized the truth of death without development. "At least so far, I have always felt that there is still a final room for China's own brands."
The “last room†that Yan Jiqian said refers to local government protection and state protection. He even pointed out that the current development of multinational companies in China must establish joint ventures with Chinese companies. The government also gives the local enterprises a way out, "because this always guarantees (Chinese companies) will not be eliminated."
Korean industry researcher Li Yujiu holds the same view. In an interview with this reporter, he pointed out that in the history of Korea, the automobile industry was also protected and there was a planned economy period, but the quality of Korean Hyundai cars at that time was also very poor. In the US market, consumers have been cast aside and conducted a large-scale recall. Until 2008, South Korea had to fully open the automobile market because of cooperation with Europe, the United States, and Japan, and Hyundai Kia also quickly occupied the global market from this time.
Li Yujiu pointed out that Chinese automakers always envy Koreans who like to buy Korean brands. In fact, with the opening of the market, the market share of Korean automakers is also declining year by year, and the trend is becoming more and more obvious. But this also stimulates modern Kia to invest huge amounts of money in R&D, design and quality control.
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