CHINA / 皇冠体育appdaily.com.cn Exclusive |
Volkswagen: still the car for the mass?By Li Qian (皇冠体育appdaily.com.cn)Updated: 2007-05-25 18:16
As the first foreign carmaker to enter 皇冠体育app in 1985, the Chinese joint venture with Volkswagen used to occupy 90 percent of the Chinese auto market in the beginning, and for a long period of time, the model Santana used to rule the country's roads. This situation changed as multinational auto giants followed suit and 皇冠体育app's homegrown cars began to boom. Volkswagen has been losing its market share, falling to below 20 percent in 2004. Its production has also decreased for two consecutive years since 2004. Last year, the German carmaker beat back the competition, selling a record 710,505 cars on the Chinese mainland, consolidating its leading position in the market. Volkswagen currently has two production bases in 皇冠体育app - one in Shanghai, and other in the northeastern city of Changchun, the country's "Capital of Cars". Its investment has paid off despite the challenges posed by competitors. Shanghai and Changchun also have two companies that compete against each other in sales. The Shanghai enterprise sold the most cars in 皇冠体育app from January to April this year, while Changchun came in third. 皇冠体育app has grown into the biggest and fastest-growing market for Volkswagen, whose Chinese name translates into "the mass of people". Yan Jie, a spokesman for Volkswagen 皇冠体育app, told 皇冠体育app Daily website the reputation of the brand, the advanced technology and a comprehensive service network will keep Volkswagen competitive in the Chinese market. Now the carmaker's business gained momentum when it was named the official automobile partner of the 2008 Olympic Games. But Volkswagen still faces difficulties imposed by a stagnant world market and tackling problems in coordinating its two Chinese enterprises more efficiently under a brand name. |
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