Beijing_SAW_Competitor0302.docVIP免费

ASAWDealerinBeijingINTERVIEWDATE:March2,2000INTERVIEWERNAME:BillHeIntervieweeNameMr.TanPositionManagerCompanyandAddressFengtai,BeijingTelephone/FaxN/ABackgroundMr.TanwasintroducedbyMr.Songtao,GeneralmanagerofBeijingWanrongAutomotiveSalesCompnay.Forobviousreason,Mr.TanonlywanttobeidentifiedasMr.Tan.Therefore,wedon’tknowhisfullnameandthenameofhiscompany.ThefollowingistheinformationwegotfromtheinteviewwithMr.Tan.SAWalsowanttopushfor“Four-in-One”dealershipnetwork.Beginninglastyear,SAWtriedtoidentifyonequalified“Four-in-One”dealerinonearea.SAW’ssalesincentivetodealerissimilartoFAW.TheysellDongFengtruckstodealeratadiscount.Theyalsogiveyear-endrebatetodealers.Forexample,therebatefororderslessthan50trucksisRMB600pertruck.ThemoreadealercansellthemoreaggregaterebateandrebatepertruckitcangetfromSAW.However,theirdistributionchannelisconfusing,evenmoreseverethanFAW.AnyonecangetDongFengtrucksfromanywhereatanyprice.Moreover,SAWhasmore“debt”trucksonthemarketthanFAW.Thosetruckscanbedirty-cheapandreallydisruptthemarket.InShiyan,theheadquartersofSAW,therearemorethan2000dealers.ManyDongFengdealers,especiallythebigones,areprivatecompanies.Someofthemarenotprofessionalwhenconductingbusiness.SAWsuffersfromthehugeoutstandingoverdueduepayments.Becauseofthelostinsalesrevenue,theSalesDepartmentofSAWhaschangedpersonneltwiceinthreeyears.SAWproducesabout200,000trucksanditsells2000to3000trucksinBeijingannually.Thereare5SAWdealersinBeijingbutonly2areingoodshape.Mr.Tan’scompanyisoneofthetwoanditusedtosell1,600to1,700DongFengtruckannually.However,hiscompanyonlysoldabout1,000DongFengtruckslastyear.ThepricesofDongFengtrucksvaryalot.Ifcustomerspaycashtopurchaseatruck,theycanget8%discountinstantly.SAWalsoofferssupporttoputinventoryatdealer’swarehouse.Mr.Tan’scompanykeeps60truckasinventoryforSAWasitswarehouse.IfMr.Tancouldn’tsellatruckwithinacertainperiod(threemonthsorsixmonthsdependingonthecontracts),hehastobuythetruckfromSAWandpayforitimmediately.1SAW’ssalesdepartmenthaseightbigareas.TheBeijingareahasbeendowngradetoBeijingsalesdepartmentthisyear.TheBeijingareausedtoincludeBeijing,Tianjin,andHebei.ThenewestablishedBeijingsalesdepartmentisresponsibleforBeijingonly.BaodingbecameabigcityrethesalesofDongFengtrucks.Ronghuacompany,aprivatecompany,sold10,000DongFengtruckslastyear.However,itowessignificantmoneytoSAW,too,becausemanyofitscustomersdidn’tpayafterthetruckshadbeendelivered.BesidestheBeijingSalesDepartment,SAWSalesDepartmenthasanotherrepresentativeofficeinBeijing.Throughasubsidiary,therepresentativeofficesellstrucksinBeijing,too.SAW’sdistributionpolicieschangealotoverthetime.Somechangesresultedinsignificantwasteofinvestmentforthedealers.Unfortunately,itisthedealer,notSAW,tobearthatkindofcost.Forthisreason,Mr.Tanhasbeenlosingmoneyoneverytruckhesoldin2000.AccordingtothenewpollutionlawissuedbytheBeijingmunicipalgovernment,manufacturershavetosellenvironment-friendlytrucksinBeijingin2000.SAW’sresponsetothisgovernmentrequirementwasalittleslowerthanFAW.Fortunately,thereareafewproductsofSAWarequalifiedforthenewlaw.ThequalityofFAWandSAW’sproductsarealmostthesame.FAWhasbettertechnology(justalittle)whileSAW’strucksarestrongerwithgreaterover-capacitycapability.That’swhyDongFengtrucksareverypopularinShanxiwherethemainpurposeoftruckiscoaldelivery.Forthepartssalesonly,therevenuereachedRMB100millionlastyear.TheprofitforsellingaDongFengtruckusedtobeintherangeofRMB5000-6000.IthasbeenreducedsignificantlytoaboutRMB1000inthepastthreeyears.Mr.Tanindicatedthathedidn’tmindtosellJieFangtruckatall.IfhiscompanyhasdifficultyinsellingJieFangtrucks,hewillsuggesthisparentcompany,BeijingAgricultureMechanicCompany,doJieFangtruckbusiness.Currently,hiscompanyonlysellsDongFengtruck.2