First Lady Michelle Obama Carpooling Karaoke
No. Even Chinese state TV can make people buy local cars.
Photographer Yves Chan You for Bloomberg Businessweek.
What you have to do to sell cars here.
Every March 15 public broadcaster China Central Television celebrates World Day of consumer rights by nominating and corporate shaming, he says take advantage of innocent people Name and shame are usually quick to respond last year, Nikon has stopped selling a model of its digital cameras China and offered a free repair after the CCTV show, 315 Gala, reported defects the previous year, Tim Cook apologized after the show targeted Apple.
foreign automakers lead contrition this year Jaguar Land Rover, the British carmaker owned by Tata Motors of India has already apologized after CCTV reported Sunday that it had been slow to correct problems with its Evoque SUV's network also alleged that dealers support of foreign brands such as Mercedes, Nissan and Volkswagen have exaggerated the seriousness of the recommended repairs and too heavy for them.
This prompted a joint venture of Nissan and Dongfeng Motor local partner to tell Bloomberg, he had formed working groups to investigate Daimler in a statement it was investigating the complaints against Volkswagen Mercedes apologized and said that he also launch a survey to find the spotlight again this week.
But even the most powerful television network in China has its limits The spectacle of shame targeting foreign manufacturers probably won t be enough to help local brands regain popularity among consumers People have shown that they're happy to embrace local tech brands such as Lenovo and Xiaomi as for cars, however, the Chinese are stubbornly loyal to foreigners.
The Chinese automotive market is divided into three segments purely foreign brands like Tesla dependent on imports; joint ventures between foreigners such as General Motors, Toyota and Hyundai and their Chinese partners who produce locally; and purely local brands such as Geely and BYD According to Bloomberg Intelligence data, Chinese automakers had 41 percent of the market in early 2010 at the end of last year, their share had fallen to 28 percent.
Ironically, a government attempt to crack down against foreigners last year may have contributed to the decline by making foreign brands more affordable Jaguar Land Rover, BMW and Mercedes were among the foreign brands announced price cuts after fixing investigations of alleged price by Chinese regulators Antimonopoly dealers for some automakers paid fines, but a group of Japanese auto parts suppliers suffered the biggest hit, fined 200 million the largest fine ever imposed by the Chinese antitrust regulators, according to the China Daily.
China supports the automotive industry more substantially taxing imports, for example, that one of the reasons foreign manufacturers form partnerships with Chinese companies, the production of cars through their local joint ventures, even if they aren t allowed majority stakes in these companies last year, after an official government launched the idea of relaxing this rule, the China Association of automobile manufacturers warned that wipe out Chinese brands.
To many Chinese, foreign brands are simply better.
Some domestic manufacturers do not meet the standards of global competition, said Steve Man analyst in Hong Kong with Bloomberg Intelligence On the crowded Chinese market, even those that produce better cars n not have the brand awareness, should residents need stronger marketing and a better reputation, the man said that takes time.
The Chinese who do not buy on their first purchase local car aren t likely to stick with the brand when they're a little older and wealthier Chinese A brand is something they see as a boot drive, said James Roy a senior partner at China Market Research Group in Shanghai The vast majority aspire to move to a foreign brand car with a better reputation CCTV The show won t change that, said Roy.
It's an understanding more and more that these claims should be taken at face value, he said, between a national brand and brand joint venture, the joint venture will win every time.
Not even Chinese state TV can make people buy local cars, Chinese state to.