The Study Of FAW Independent Brand Passenger Car Development Strategy

After the reform and opening up, through the introduction of technology, joint ventures, auto industry in China has been formed from design, production to sales and service operations, sales support integration of complete industrial chain. China’s accession to the WTO, the auto industry has realized the explosive growth. By 2. 08 million sales growth in 2000 to 2014 in 23. 49 million, 15 years, sales grows for more than 10 times. Although our country automobile industry scale expands unceasingly, the high-end car market has been dominated by foreign brands, China’s independent brand only in the low-end market, in a weak position in the domestic car market. As industry leading China FAW(full name of China first automobile co., LTD.), the overall growth in passenger car sales, but the independent brand passenger car market performance is not so good, in 2011 FAW passenger car models sold about 400000, about 300000 vehicles in 2014(FAW group commercial vehicles, passenger vehicles sales 3. 08 million vehicles, including passenger cars, 2. 83 million), and other independent car companies(represented by the Great Wall and changan) is catching up, and catch up, independent in the passenger car market more attractive. China automobile independent brand passenger car industry status deteriorated. Objectively speaking, FAW passenger car of independent brand lost five years of development opportunity, the gap with joint ventures is more and more big, and the same with other independent brand companies.Decline of GDP growth, China’s economy is gradually out of the golden age of rapid development, overall speaking, the auto industry development tends to slow growth has become a consensus. Outside under the joint brand constantly shrinking, there were other independent automakers grab market, together with the deterioration of environment lead to the white-hot competition in the industry, how to break through becomes an issue that managers must consider, the independent brand passenger car sales and performance is directly related to the industry position of the FAW group and operating conditions, which is effect on the overall development of FAW, is the key point of the ascending FAW overall strength.This paper with survey research, qualitative and quantitative binding method, comparative analysis, SWOT analysis and literature reading, conducted macro environment and auto industry situation analysis and prediction, pointing out the opportunity and challenge for FAW, mean while analyses the condition and problems of FAW itself to achieve the advantages and disadvantages. Combining the opportunity and challenge outside with the advantages and disadvantages of FAW inside,it makes out FAW –independent-brand passenger car’s development strategy goals, the policy of realizing goals and the supporting measure to strategy goals. The policy is consist of structural reform policy, management policy, brand policy, product and technology policy and personnel training policy. To enaure strategy goals, institution, organization and human resource should make some difference to be adjusted to company development. This paper makes a more suitable development strategy for FAW based on its operation condition, problems, advantages and disadvantages with SWOT analysis method, hoping to provide some advisory opinion for company’s operation and management.