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At the end of recent years, after passing through the “blowout†market for two consecutive years, how will the Chinese auto market trend next year? According to the prediction of experts from the China Imported Automobile Trade Center, the following eight changes may occur in China's auto market in 2004:
With the rapid growth of domestic cars, the overall supply and demand relationship may turn a corner. After the ultra-high speed development period of the automotive industry will enter a period of rapid development, internal management will be refined and more extensive, investment will tend to be rational, manufacturers in the development of strategy, we must pay attention to the changes in the competitive situation; domestic market location of some cars There will be structural oversupply and excess capacity. In some location markets, due to the growth of effective demand can not keep up with the growth rate of production capacity, there will be inventory and some excess capacity; the differentiation between domestic manufacturers and brands will be greatly aggravated. Due to the differences in the overall strategy, vehicle model competitiveness, production scale, brand management and marketing strategies, quality assurance and after-sale protection of each manufacturer, the competitiveness among various manufacturers and vehicle models will be rapidly differentiated. Some models continue to sell well, most of them are sold flat, some may be unsalable, and the rapid growth of all manufacturers in the industry will be broken. New models continue to be launched, and old models are under pressure to reduce prices, and the model update cycle is further shortened. Some vehicles that are inaccurately positioned and not relatively competitive will not be large-scale models. They will be “short-livedâ€; the competition among manufacturers, brands, and models will become more brutal. Scale competition, cost competition, and brand competition will become more intense. Competition, the mainstream of the regional model will gradually form, the market will be further subdivided; the overall average profitability of the auto industry will gradually reduce with the price cuts, some dominant manufacturers and superior products will still achieve high returns; cars more and more like a " "Fashion products," more and more varieties, updated faster and faster, lower and lower prices, more and more fierce competition; auto marketing model will become more realistic and more rational with changes in supply and demand. The era of huge profits from car dealers is coming to an end.