SWOT Analysis
• Opportunity:
Entry into WTO Bonus of Globalization->MNCs move production facilities to China Emergence of global R&D centers in China Competitive workforce Opportunity for global alliance --e.g, US-China relation (large trade deficit, political and diplomatic concern, access to up-scale market)
Dividend from old planned economy Large number of small-medium enterprises(SMEs)
Entrepreneurship
SWOT Analysis
• Weakness:
Lack of key process knowledge base and technical know-how & know-why Lack of key equipment design, manufacturing and integration capability Behind in advanced process technology Most products are low value-added Weak in high-technical product innovation and development
Low level of R&D capacity is characterized by the following respects:
• (1) lack of experienced talents that master advanced technology • (2) insufficient basic researches、information and expericence
Measures
• 1.introducing advanced technology and improving R&D capacity • 2.standardizing the management mode and improving the production level of auto parts • 3.coordinating the export order
Problems Facing the Development
of Chinese Automobile Manufacturing
SWOT Analysis
• Strength:
Large number of highly trained workforce Resources
Market
Problem Three----Disorderly export
• After entering WTO,more and more automobile manufacturing enterprises appear in the domestic market. • However, owing to lack of correct guide of polices and fixed export regulations,order confusion of car export and excessive concentration of markets also arises, which is certain to cause competition in price and hinder the developement of Chinese automobile production at last.
The Trend of Development
1.developing new energy vehicles
2.widely use of small-displacement vehicles
3.improving environment-friendly technology
Future cars
SWOT Analysis
• Threat:
When trade barrier are taken down, business/investment environment could change like water falls. Without China's own IP&key technical know-how and know-why, production facility could be moved easily to somewhere else. Complacency. Manufacturing rise and fall can occur relatively quickly(exchange rateቤተ መጻሕፍቲ ባይዱDFI,new technology invention, social instability,etc) .
Problem One----Low R&D Capacity
• Compared with developed countries, the general level of Chinese automobiles still lags behind. • Minicars、middle-sized trucks and parts of light tucks and cars have advantagegs in the domestic market, but there are still some shortages in their quality and performance.
• (3) backward production equipments
Problem Two----Low production capacity
of auto parts
• Apart from some joint ventures,the production level and R&D Capacity of Chinese auto parts is lower than that of the whole cars,thus directly leading to the slow development of automobile manufacturing. • Besides,it also affects the formation of scale economy of auto parts.