Guangxi_FAW_0315.docVIP免费

FAWGuangxiBranchINTERVIEWDATE:5May2025INTERVIEWERNAME:JaneXuIntervieweeNameMr.BaiYujunPositionGeneralManagerCompanyandAddressFAWGuangxiTelephone/Fax0-13507710715BackgroundMr.Li’sexperience:JiefangShanghaiBranchfor3yearsasmanagerTherearethreemajorJiefangdealers(1sttier)inGuangxi,allofthemarelocatedinNanninGuangxiJiefangTruckTradingCo.Ltd—It’sa“YouxingMarket”dealer,onlysellJiefangtruck.It’s2ndtiernetworkismainlylocatedinNannin.Salesvolumelastyearis743units.Itprovidespaymentinstallmentservicetowardsend-usersGuangxiAutoLianheCompany—a100%SOEwithheavyeconomyburden.Jiefangsalesvolumein1999isaround60units;FAWdidn’tstopitsdealershipforitoweslargeamountofdebttoFAW.(RMB4milliontoFAWandRMB2milliontoFAWGuangzhouComponentcenter).DealershipstopwillbringnothingbackGuangxiJidianEquipmentCompany—Itsellallkindsofcars(passengercarsmainly)andhasawell-developednetwork,butthenetworkarenotusedfortrucksales.Basically,itislackofbrandloyaltyandwillrefocusitsinvestmenttoanyoftheotherbrandwhereverthereismoreinterests.Salesvolumein1999is100units(QindaoandLiutetruck)CompetitionCompetitioninGuangximarketisactuallythecompetitionbetweenFAWandSAWLiuqi(LQ).Liuqi’sadvantageincompetition1.‘Chenglong’truckgetprivilegeinpatentapplicationLiuqiChenglong9Tontruckcouldapplyfor4Tonpatent,2--5tontruckcouldapplyfor1.95tonpatent.SmallerpatentcapacitycouldatleastsaveRMB30,000to40,000tollsperyear.1FAW’sproductcouldn’tgetthesametreatmentunlessweestablisha“good”relationshipwithlocalAutoAdministrationBureau.2.Pricingof“Chenglong”productsismoreattractive:“Chenglong’ssalesdiscountcouldatmostreachto5%whileFAW’sis3%.Rebateperunitof‘Chenglong”isRMB2,000withnoadditionalrequest,FAW’sis0.8%to1%.More,itissaidthatSAWLiuqiwillsignconfidentialrebatecontactwitheachofitsmaindealersin2000,thisis‘superattractive’fordealers“Chenglong”istransportationfeefree,weneedtopayRMB2,691perunit(transportationfeewilldirectlyreflectinretailprice)3.MoreflexiblesalesmeansLiuqiprovideinstallmentpaymentservicetowardsdealerswhileFAWdoesn’tallow4.BetterassemblycomponentselectionForexample,“Chenglong”productareequippedwith16-tiertyrewhilemostofFAWtruckuse14-tiertyre,forthosetrucksusedforlong-distancetransportation,customerwillchangetyresbythemselveslaterandthecostisaroundRMB3,000SuggestiontowardsCompetitionFAWshouldhelpLiutetocompeteagainstLiuqibecauseofLiutecouldjoinsamefavoringlocalpolicyasLiuqididLiutehasmoreproductadvantageincomparisonwithFAWChangchun’sMarketTrendNowtheaveragenewtruckdemandinGuangxiisaround2,500to3,000.Withoutlocalgovernmentlimitation(trucklifecircleextendforanother2to4years),newtruckdemandinGuangxicouldreachto5,000peryearGuangxi’struckdemandwillnothaveabigleapintheseyearssinceitmissedthe“WestDevelopment”opportunitythistime(GuangxiisnotintheWestDevelopmentprovincelist)ServiceTherearealtogether10servicestationsinGuangxi(another2stationswillbesoonbuilt),accordingtoMr.Bai,ServicelevelinGuangxiisprettylowincomparisonwiththoseinJiangsuandShanghai,majorproblemsare:NotsufficientcomponentinventoryWeakcapitalcapabilities2Techniqueskillsstillneedstobeimproved3