Studies On The Development Strategy Of Chinese Businesses Of Automobile Finance

The Automobile Financial Service(AFS) began with the automobile marketing installment provided by automobile produces to consumers in around 1920s.The first AFS institution is the GMAC(通用汽车票据公司) founded by GMAC in 1919.The emergence of such institutions has brought the unprecedented spiraling of automobile marketing. After 100 years of development nowadays in the global automobile market financial service has become the most valuable and dynamic segment of the whole automobile industry in western countries while AFS an ever-increasing noticeable focus. In terms of the development of automobile industry in western countries. It is the financial service that gradually popularizes automobiles to a large number of ordinary families not as a luxury, thus gives impetus to the great development of the whole automobile industry.AFS is an institution that depends on and promotes the development of the automobile industry as well. Generally speaking, it is indispensable to the harmonious developing process of the modernization of automobile industry and financial service institutions in an industrialized country. The development of which, in the meantime, marks the maturity and integrity of market economy. Thus it is of realistic significance to research and develop AFS institutions in china. This paper offer a tentative analysis of the two main groups of participants–commercial banks and AFS firms and their status quos, then identify the external threats and opportunities in industry environment, as well as the internal strength and weakness utilizing the analysis of industry cycle, five forces model and SWOT, thus to find out the suitable development strategy and furthermore, to offer an example and reference to the new-born AFS in china.