Since the second half of 2003, domestic media and related parties have begun to pay sufficient attention to the issue of independent brands of the Chinese auto industry, and have reported extensively and initiated discussions. It is true that the development of independent brands of the Chinese automobile industry is the unanimous voice of the Chinese automobile industry, and it is also the unanimous wish of all parties concerned with the development of the Chinese automobile industry.
However, there are still some problems with the self-owned brands and how to develop the independent brands of the Chinese automobile industry that need to be particularly clear and cause our thinking.
One of the thinking: What is an independent brand?
From previous discussions, all walks of life have elaborated on the necessity and urgency of developing the self-owned brands of the Chinese auto industry. However, they have overlooked the basic question: What is an independent brand? What kind of brand is called? What are the key features of independent brands?
First of all, we need to clarify the definition of the brand. According to the brand definition given by the American Marketing Institute, an authoritative organization in the international marketing community: a brand is a name, term, symbol, symbol, or design, or a combination of these. Its purpose is to identify a certain group or group of sellers. Products and services and distinguish them from competitors' products and services. The ultimate value or meaning of the brand's existence is to promote the customer's actual purchase, and to maintain and consolidate various trading relationships until the customer makes brand loyalty, which is the core meaning of the brand.
So, for auto products, what is an independent brand? Or, what kind of auto brand can be called an independent brand? For this basic issue, the auto industry's answer seems to be not comprehensive and sufficient, and even deliberately avoided. .
Yin Tongyao, General Manager of Chery Automobile Co., Ltd. elaborated their understanding of self-owned brands from the standpoint of independent development. One is to “make decisions for themselves and others to develop†to make full use of global automotive industry resources—automobile design companies, technical personnel, and modular supply platforms— - Serve the most scarce resources (markets) in their hands, and go beyond the "introduction - backward and repeated introduction" cycle.
Guo Konghui, academician of the Chinese Academy of Engineering, analyzed his views on independent brands from a technical point of view: “Having independent core technologies is the only way for the Chinese auto industry to create its own brandâ€. Facing the two major challenges of sustainable development and entry into the WTO, the Chinese auto industry must adhere to the path of introduction-digestion-innovation and strive for a win-win and equal domestic and international cooperation to achieve localization from assembly and manufacturing to localization. With the transformation of "indigenization of knowledge" and the formation of its own core technology, it is possible to create a truly independent brand.
However, Yan Yanfeng, general manager of FAW Group, believes: “Own brands need to be loneliness for 20 years,†and “Our car is more difficult to form in an independent system before 5 million vehiclesâ€. “I personally think that it is in the rear 5 million vehicles. There will be an independent brand development, growth and growth. ""I think it should be 6 million vehicles, this opportunity exists." In other words, after 6 million vehicles, there is only possibility.
From the development history of the global auto industry and the current situation of the Chinese auto industry, “independent brands†need to have two basic elements. The first is autonomy, and the second is brand.
The concept of autonomy means having full control of the brand and decisive rights and owning the brand from the perspective of intellectual property rights. At the same time, we also need to have the ability to effectively continue the brand, that is, we must master the independent core technology, have the ability to determine and lead the future direction of the brand. Otherwise, the so-called "own brands" in our hands will be short-lived short-lived.
The concept of a brand, especially a car brand, is a unique symbol or design. Through it, we can effectively identify the automotive products and services and distinguish them from other competitors' products and services. At the same time, the symbol or the design itself can effectively promote consumers to purchase the automobile product, and maintain and consolidate various trading relationships, so that consumers are satisfied until the production.
Brand loyalty. Therefore, a self-designed national brand can only become a truly independent brand through long-term cultivation of the company and testing by the market.
Therefore, the self-owned brand is a comprehensive summary of brand ownership, brand development, brand history, and brand core value. It means self-development under the premise of owning independent intellectual property rights.
Form unique characteristics in the minds of consumers, and can effectively promote consumers to buy their products, and even produce brand loyalty symbols, images or designs.
The second consideration: Why to develop the independent brand of China's auto industry
Brand creation value
From the definition of the above brands, it is not difficult to see that the core value of a brand lies in its ability to promote product sales, maintain and consolidate customer relationships, and allow consumers to create brand loyalty. Looking back at the development history of successful foreign auto companies such as Mercedes-Benz and BMW, we can find that through the long-term shaping and nurturing of its brand, displaying its unique personality and charisma, and effectively distinguishing itself from competitors, foreign auto giants promote the use of brands effectively. The sales of the product and the acquisition of more than the average added value, but also cultivated a group of consumers who have been extremely loyal to their brand.
A brand has the right to speak
After entering the 1990s, domestic automobile companies and industrial groups have established joint ventures with well-known foreign car companies. It is true that establishing a joint venture with a foreign auto giant under the relatively backward Chinese automotive industry is undoubtedly a shortcut to rapid development. It is undeniable that China's automobile joint ventures have made great contributions to increasing population employment, training skilled workers, delivering management experience, spreading marketing concepts, promoting the growth of China's spare parts companies, and driving the upstream and downstream development of the automotive industry. However, due to the lack of independent brands, we lack the strength to negotiate with the joint ventures. We must not only pay for expensive brand use fees, technology transfer fees, industrial property rights fees, and design improvement fees, but also gradually increase the production, management, and sales fields. Loss of control. Under the protection of the strict access policy of the Chinese automobile industry, joint ventures can even obtain direct profits by directly assembling imported spare parts. This in turn leads to further deterioration of our product development capabilities, which leads us to fall further on the joint venture road. The deeper.
Companies that have their own auto brands in China have the right to speak and decide. Having a self-owned brand means that the Chinese can develop their own auto industry on their own, which means that a successful sense of achievement means a manifestation of the value of life. It means that you can stand up and be a national pride.
Lack of self-owned brands will lead to industrial hollowing
Through the current prosperous prosperity of China's auto production and sales, it can be seen that the mainstream auto products active in the domestic market, except for Liberation, Dongfeng, Yutong, Jinlong, Futian, Hongqi, Chery, Geely, and China, have few local autonomy. Outside the brand, more is the figure of the world's auto giants. According to statistics, the vast majority of the 30 new models that were listed in 2003 were imported or slightly changed models. The cars designed and developed by China were not only of small quantity but also of weak competitiveness. China's auto market is changing to being led by multinational corporations. Chinese auto companies are changing from market leaders to followers of the market. The Chinese auto industry is facing a danger of hollowing out.
The automobile industry is the pillar industry of the national economy. The developed countries are all firmly grasping the control rights of the automobile industry. However, if there is no strong independent brand as a support, under the conditions of market opening, in the face of global economic integration and the wave of domestic competition in the internationalization, the Chinese auto industry's continued dependence on the joint venture model will only lead to its complete loss of independence.
The third consideration: whether the time has come to develop the independent brand of China's auto industry
Judging from the external factors, the rapid growth of residents' auto consumption demand caused by the rapid development of China's national economy has brought about an excellent opportunity for the development of independent brands of the Chinese auto industry.
According to the international prevailing statement, the per capita GDP reached 1,000 US dollars, which indicates that this economy will enter the initial stage of the automobile consumption era. The per capita GDP reaches 3,000 US dollars, which marks the mature period for entering automobile consumption. In 2003, the per capita GDP of China exceeded 1,000 US dollars for the first time. The per capita GDP of Shanghai has approached 5,000 U.S. dollars. The per capita GDP of many large and medium-sized cities has approached or exceeded 3,000 U.S. dollars, so the upgrading of China’s consumption structure will inevitably bring about an industrial structure. The upgrading, especially the expansion of automobile consumption, will provide historic opportunities for the development of independent brands of China's auto industry.
From the perspective of internal factors, the rapid increase in the manufacturing level of China's auto parts and the continuous improvement of its supporting systems have laid the foundation for the development of independent brands of the Chinese auto industry.
View related topics: independent brands, where to go?
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