FAW-_Chengdu#1_0301.docVIP免费

FAWSouthwestSalesCompanyINTERVIEWDATE:5May2025INTERVIEWERNAME:PaulGaoIntervieweeNameMs.ZhuYingPositionGeneralManagerCompanyandAddressChengduNo.1ServiceStationTelephone/Fax028-5170899BackgroundFAWChengduNo.1ServiceStationisa“3in1”dealerofFAWTrucksinSichuan.ItsparentcompanyisSichuanCoachBusManufacturingCompany,whichhasaJVwithToyotatomakeCoasterbusinChengdu.Butitisrelativelyindependentfromitsparent:itisaindependentlegalentityresponsibleforitsownP&LandhasitsownbankaccountItisanexclusiveFAW-JieFangdealerwithnootherOEMbrandsalesandservice.Itstartedasasmallservicestationin1981,andisnowthebiggestFAW-JieFangdealerinSichuan,andisinvestingtoexpanditssalesspaceinanewrentedlocationacrossthestreetfromitscurrentlocationIn1999,itsold847FAWJieFangtrucks,including50chassis,240ofthetrucksaresoldtothe20servicestationsinSichuanatnoprofit(beforeyearendrebate)TotalvehiclesalesisoverRMB90million.Itperformed3,000warrantyservices,whichgeneratedRMB700-800Kinrevenue,inaddition,itperformed4,000non-warrantyservice,whichgeneratedRMB2millioninrevenue.ItalsohadcomponentsalesofRMB8millionin1999.Overall,ithasclosetoRMB100millionofrevenuein1999Ms.ZhuclaimsthattheyonlymadeRMB300-400Kofnetprofitlastyear.Themajorcostcomponentsare:Landrental:RMB200-300KSalaryexpense:over700KWorkingcapital:over2million(ChengduNo.1’ownmoney)Advertising:50KOfficeadmin:notspecifiedMajorgrossprofitcomesfrom:1%onvehiclesalesrebate,whichisaboutRMB1milliononsalesofoverRMB90million(ChengduNo.1kept800K,andsharedtheother200Kwiththe20servicestations).10%grossprofitonpartssales,whichisabout800KonsalesofRMB8million1Grossprofitonwarrantyservice,@10%grossmarginamountstoRMB270-280KIthasatotalheadcountof72people,1/3isinservice,1/3inparts,1/5-1/6areinsales.Ofthetrucksitsolddirectlytoendusers,morethan85%aresoldtoindividualcustomer.Lightandheavydutytruckhasahigherinstitutionalcustomerbase,whilechassisisonlypurchasedbybodybuildersComparedtotheothertwoFAW-JieFangdealersinChengdu,ChengduNo.1focusesmoreonindividualcustomers,becausetheothertwodealershavestrongerconnectionswithlocalgovernmentastheyarebothstateowneddistributioncompanies.Inadditiontoitsnormalsalesforce,ithasalsoemployed16-17parttimesalespeoplewhoarepaidonacommissionbase.ThesepeoplearepaidRMB200-300foreverytrucktheysell.Ithasestablishedanetworkamorethan10authorisedpartsretailersinSichuanprovince,whoinadditiontopartssales,arealsoresponsibleforprovidingpotentialcustomerinformation.Ms,Zhuhopestoaddsalesfunctionstothesepartsshopsinthefuture.ComplaintsaboutFAW:Slowpaymentforwarrantyservice:ittakes4-5monthsfortheservicestationstoberepaid,andwhenitgetspaid,itisnotincashSlowpaymentinsalesrebate,typicallyquarterlysalesrebateisonlypaidaftersixmonths.Ms.ZhumentionedthatFAW-lighttruckandlightbuspaysrebatemonthlythroughdeductioninnewsalespayment.FAWtradingcompany,whoisresponsibleformediumtrucksales,istheslowestinsalesrebatepayment.Priceistoohigh.FAW’spriceisnotcompetitiveagainstDongFengtrucks.ThisforcesdealertolowerFAWrecommendedretailpriceinordertomoveinventory,hopingtore-capturethelossthroughyearendrebate.FAWshouldpriceitsproductsbasedonmarketandcompetitivesituation.OneexampleisthatinJanuarythisyear,WuXiDieselraisedthepriceofitsenginesbyRMB2,000whichcostseveraltrucksalestoChengDuNo.1Warrantydefinitionneedstobeclearlydefined.FAWoffersRMB10/hourforwa...