Diagnostic Reprot For China Marketing Positioning Of Honeywell Turbo Charger Business Unit

Honeywell turbo technology (HTT) is core parts Honeywell transportation group whichis one of global functional group. HTT is the first global turbo supplier who involves intoChina business and set up the local integrated supplier chain in China. HTT involved intocommercial vehicle segment firstly which had high turbo application rate. Then completedE4E (East for East) localization system in China, include local research, design,manufacture and aftermarket. Nearly five years in the Chinese passenger car market, HTTsignificantly enhanced the market share in China passenger vehicle segment. On the onehand, there are technical challenges from international competition and the integration ofcapital in OEM market. Such as capital joint venture of Cummins and diesel engine OEM.They released the new generation of turbo technology into the Chinese market. On theother hand, there are low cost challenges from China’s private enterprises in aftermarketpart. They had rapid development on the domestic market share after the supercharger, andbegin coveted some domestic OEMs who emphasized on low cost. HTT has a strongtechnical advantage on diesel applications, biggest diesel engine market share andunsurpassable aftermarket reputation in worldwide. In Europe where HTT headquarterlocated, the dieselization of passenger vehicle is very popular. But in China, HTTtemporarily kept No.1in the domestic diesel engine segment and lagged far behind BTWSand IHI, even have no natural advantages on engine calibration if compared with newplayer BMTS. For large China’s passenger vehicle market which focus on gasolineapplication, HTT need to focus on planning and market positioning of gasoline engineapplications. As technology, resource and organization structure can’t be grown up in ashort period, reasonable configuration of resources is an important premise to achieve theexpected development indicators. After the investigation of current situation, the marketpositioning analysis of HTT is very necessary. Based on the current development conditionof China market and the actual sales of OEM, we need analyze the issues in positioning.Based on the knowledge of market competitive positioning and the development trend of China engine, new market positioning strategy need be worked out and the specificimplementation details need be identified. Then carry out with the detailed implementationrules in current operation system and verify the updated market positioning whether canachieve the rational allocation of resource and meet the expected sales target.