A Comparative Study On The Export Of China And Korea 's Automobile Industry

With the industrial revolution began in UK in the 18th century, several new fuels and powers, such as coal, steam, oil and the internal combustion engine, were widely used. The automobile industry derived from the influence of the industrial revolution. It is well known that car industry is a kind of complicated industry involved with more than 20000 parts and requires huge accumulation of capital and technology. Moreover, there are obvious correlation effects and with other industries. Thus, the automobile industry is deemed as "the flower of the machine industry" and "the core of the industry". Nearly all the countries attach great importance to the cultivation and development of the automobile industry during the process of economic development. However, only a few countries are able to produce the vehicle, namely around 20 countries which can command this technology, such as United States, Germany, Japan and other advanced countries, including China and South Korea. Through continuous development, South Korea remains the world’s fifth producers in this field. The annual export of about 3 million vehicles attracts the world attention. In contrast, since 2009, China occupies the first place worldwide in the field of automobile production. Nonetheless, the performance of export cannot be satisfying. Although China has the world’s largest domestic market, the export market should not be neglected with the trend of globalization. Consequently, in this case, the research which specializes in comparing the development as well as the export performance of the automobile industry between China and South Korea will be significant and valuable. Based on the above understanding, this paper aims to find the problems and related reasons about China’s automobile industry and sum up the successful experiences of South Korea’s automobile industry and put forward the countermeasures and suggestions in order to promote the export of Chinese automobile industry with the help of the comparative study.This thesis consists of seven chapters. In the first place, an overview about the current studies in the field of China’s and South Korea’ s automobile industry exports will be elaborated. Besides, a systematic comparison about the development of the China’s and South Korea’s automobile industry will be expounded. Moreover, a further comparative analysis will be fulfilled in auto industry export scale, the export market, the structure of export commodities and export prices of two countries. According to the above analysis, we can conclude the problems in techniques, service, price, export structure fields of China’s automobile industry, and then come up the reasons from the regional production dispersion and legislative chaos, technology and certification barriers, intellectual property rights, weak sense of service, immature after-sales service system etc. Finally, based on the previous successful experience in Korean automobile industry, this thesis tends to define the strategies in China’s mobile industry export and development through the implementation technology development strategy, improving sales service and in the overseas market to avoid price competition and cultivation of shipping and logistics market in order to reduce transportation costs, through and foreign technical cooperation and technical assistance to achieve independent development and implementation of market segmentation and differentiation strategy, strengthening the policy support of the government, putting forward countermeasures and suggestions of promoting the exports of auto industry and development in China.