China’s automobile industry: development, policies, internationalization
China’s automobile industry: development, policies, internationalization

Summary/Abstract: The automotive industry in China seems to be bound for success taking into consideration huge domestic market and the support provided by the government. The policies introduced by the Chinese authorities show their understanding of the importance of the automotive industry for the growth of the whole economy. Weshould expect from Chinese authorities and companies intensified efforts aiming to improve quality and safety of the domestically produced cars as well as increased works towards brand building. The latter is significant barrier to sales domestically where Chinese firms compete with well-established global brands that are favored by Chinese consumers but also in developed markets and higher market segments.Chinese automobile companies in their internationalization mainly search for technology they lack to become competitive on both domestic and international markets. The analysis of their website shows their dedication to research and development, for example Great Wall states “we have kept to a strategy of “excessive investment in technical R&D”. Majority of companies engage in development of new energy cars which seems to be primarily result of the government’s policy on fostering emerging industries.Although Chinese automakers face many challenges but we should prepare ourselves that in the near future we will be driving Chinese cars.

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