The Research On Multinational Operation Of Anhui Automobile Enterprises

Since the founding of the initial stage, the development of automobile industry in China has experienced the start, growth, opening up and cooperation, independent research and development stage. According to the ministry, the cumulative production reaches 23.7229 million in 2014, with year-on-year growth of 7.3%, sales 23.4919 million cars totally, with year-on-year growth of 6.9%, the production and sales remain in the world. Auto output is one of the most valuable standard to evaluate one country’s development in automobile industry. As early as 2012, China’s auto exports reached more than one million vehicles. But the automobile exports in most developed countries will account for more than 50% of production,3.5% of China’s proportion is minimal. Of course, we can also see huge potential consumption and market prospect of the international automobile market, which provides objective possibility and favorable conditions for the Chinese automobile enterprises to enter the international market, conduct international business.Anhui automobile industry has begun to take shape after years of development,. Hefei customs data shows that, Anhui province exported 132000 cars, value 9.44 billion RMB in 2015, which continue to be China’s first place. In 2015, Anhui independent auto brand monopolized the top two of China’s auto exports, Chery automobile export 73000, accounts for 10% of China’s total exports, at the top of China’s first place; Jianghuai-auto export 57000, the second largest in China. Anhui province has the independent brand of car companies such as Chery, Jianghuai, the total production is more than 1 million cars in 2015, for many years to keep China’s first place of auto exports. However, behind this result, we should be rational to see some of Anhui auto enterprise’s multinational business still have a long way to go. For instance, competition from foreign high-end car makers, technology of manufacturing defects caused by the automobile quality problems, invest overseas operations in the insufficiency, the overseas marketing strategy needs to be improved, vehicle parts overseas profit space is compressed, the restrictions of developed countries and so on.This dissertation first discussed the research significance, research methods, research content, the innovations and shortcomings. The dissertation shows the meaning, types of multinational operation on the basis of research from domestic and overseas combined with the actual situation in Anhui province. This dissertation first analyze the environment of multinational operation for Anhui province from the macroscopic and microscopic aspects. It use PEST (policy and law environment, economic environment, social culture environment, technology environment) model for macro environment, while using porter’s five models from competitors, potential entrants, suppliers, the buyer, the nature of the industry, such as method for micro environment. Then take Chery auto and Jianghuai auto an example to narrate overseas export, overseas investment, the present situation of the overseas marketing, etc. Through the overview of the status quo, using the method of comparative analysis, summarizes the problems and deficiencies by comparing the Chery and Jianghuai automobile with successful multinational automobile enterprises from the other countries. These problems mainly displays:The target market remains to be centralized, the market share in developed countries is not big enough; lack of brand effect; the lack of autonomous core technology, the international competitiveness is not strong; the product technology is so low that the brand image design still need to be improve; scale effect is weak, the ability of overseas investment need to strengthen; lack of brand value; lack of the support and guidance of government. Finally, this dissertation-gives countermeasures-and-suggestions based on the above analysis, combining with the actual economic and social development situation, also learn the experience from the outstanding multinational automobile enterprises abroad. First of all, enterprise should find clear target market according to itself, try to improve product quality and service to build a good international brand image, use different management; Secondly, pay attention to scientific research, increasing investment in research and development ability, realize the importance of the cultivation of talents, build international talent team, gradually formed independent intellectual property core technology; Thirdly, enterprises have to pay attention to the importance of product after-sales service, through the cooperation with overseas distributors, agents to improve auto after-sales service scope and quality, to build professional service outlets step by step, overseas form international service system, carry out characteristic management, enhance the customer loyalty; Fourthly is to advance industrial clusters of Anhui auto enterprise, clear intra-industry division of professional, form the benign competition within the industry, at the same time, through horizontal integration layout optimization of automobile enterprises, to promote the economy of scale benefits of the Anhui automobile industry; Finally, the government and relevant departments should based on the situation of Anhui province economic society, use more flexible and more targeted policy laws and regulations to support and guide of automobile enterprises in Anhui province, at the same time intensify the provincial car purchase.