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GM dominates the Chinese automobile Industry

May 15, 2015

There are hundreds of different automakers spread around the world. Each one offers some kind of unparalleled benefit to its target market in order to beat the competition. While some focus on elite comfort, others aim for sheer performance. There are many who make mid-ranged and low-priced automobiles so you can afford more for less.

General Motors is one of the elite names in the global market that we know of. While they cater to almost all types of consumers, dominating the generic market of some country still needs a great amount of persistence and a product that outmatches local production. As it stands, GM knows best about such stuff: it dominates the Chinese automobile market!

Let us dive into why exactly Chinese companies fail to enjoy a major share of their own automobile industry, and what GM does to enjoy the lot.

The Overview

It was about ten months back that GM-revealed figures that showed that the American giant has had a 16.9% increase in its sales in the Chinese auto industry. What staggers most people is that General Motors already enjoys the major share, and still continues to penetrate the market with almost the same efficiency.

By the end of the first decade of this millennium, China was on the forefront of automakers in terms of units produced in the global market. The China Association of Automobile Manufacturers (CAAM) also revealed that China enjoyed the top spot in automobile manufacturing by 2012.

GM Takes Over

The Chinese automobile market is very dense. The great amount of competition led the local auto manufacturers to fight for the price ranges. To maintain a feasible amount, it was observed that the local manufacturers somewhat sacrificed the quality of their automobiles. This was quite astonishing as the numbers still revealed great figures. The country had exported a staggering one million vehicles in 2015, and the Chinese consumers also purchased a separate 15.5 million passenger cars at home.

The Key Player

Despite the sales, the market share of the Chinese manufacturers continued on a downhill path. Greg Anderson revealed that the prime reason for the declining share is the notion among Chinese consumers that international automobiles—with the market being already owned by GM—are of a far better quality. GM excels in making low-budget top quality cars. This, in addition to the notion of Chinese consumers, gave the American automaker a massive benefit.  General Motors made the most of the opportunity to conquer the Chinese automobile market. Today, it enjoys the major share in the Chinese market, far higher than any local auto manufacturer.

 

Are you looking forward to refurbishing your GM automobile? Get a replacement engine from EngineWorld. We import used engines from Japan and ensure that they are USDM compatible. In other words, we offer top-notch used engines for your car. To order, all you have to do is dial (800) 903-4430, and let us guide you through the simple procedure. You can also contact us for any inquiries you may have.

 

Sources

http://www.ibtimes.com/gm-ford-vw-dominate-chinas-auto-industry-why-cant-chinese-companies-saic-dongfeng-1130893

http://en.yibada.com/articles/143103/20160719/gm-china-dominate-basic-cars-market.htm

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