Research On Pricing Strategy Of Spare Part For DM Motor Corporation

With development of after-sales service of company, the company was researchedand discovered that the formal spare parts market share was decreasing, increment ofaccessory sales amount had not kept the pace of increment of automobile possession, onthe contrary it was decreasing. This thesis was started from pricing strategy of company’sspare parts, researched the problem and improving methods of pricing strategy, hoping tofind problems of pricing strategy and find methods to increase competitiveness and salesamount ofcompany’s self-made automobile spare parts.By using documentary methods, this thesis collect and conclude documents ofpricing strategy. It collects and concludes documents of automobile spare parts pricingstrategy from DM automobile company and its competitors. By using comparinganalyzing methods, it compares and analyze similarity, difference, problems andimproving methods of DM’s automobile spare parts pricing strategy and it’s competingitems. Research shows that DM automobile’s stragety aims at sales amount, figuring outprices of spare parts back from anticipated sales amount and sales amount. Whether this isscientific and accurate enough is worth discussing. What is more, whether it comply withthe principle ofdifferent parts’pricing byapplying same cost addition methods to all spareparts is also under discussion. After comparison, this thesis points out that: pricing thataims at sales amount should be altered with which aims at market share; different pricingmethods shall be applied to different parts based on their properties. On considering theunique route and competition environment of automobile spare parts products, this thesisconclude that the pricing strategy of DM automobile company shall only be available forautomobile parts products, while different pricing strategy shall be made for other type ofproducts according to analysis of their properties, competition environment and district.