2004 China's Car Industry Concentration Of Empirical Research

Someone describes the performance of Chinese sedan market in the past four years as "blowout for three years, snowslide at one night". How visual, lifelike and exact it is! The development speed of Chinese auto market, especially sedan market, absorbed the attention from all over the world during 2001 and 2003. No matter what joint ventures, civilian companies, one-up leaders or new entrants, all try their best to invest more and enlarge scale. It seems that Chinese auto market will continue to keep the higher speed. However nobody can forecast that the high-running wheel of Chinese auto market will break down in 2004. Although most of companies try to push customer demand by cutting price, there is no obvious indication of resuscitation. The drastic fluctuation forces everyone to revalue Chinese auto market. Was Chinese sedan market performance really so pessimistic? Which stage does Chinese sedan industry belong to on earth? Is there any driving power for further development?Demonstration is the main method to construct this paper. The paper calculates industry scale, yearly output, yearly sale, increasing rate, concentration ratio about Chinese sedan industry, through collecting, filtrating, sorting and summarizing thedata about domestic and overseas auto industry. Then the paper indicates the character of Chinese sedan industrial structure, especially, concentration ratio. CR_n,H index and E index are main indexes based on the output and sale. The paper will validate whether H index and E index are applied or not. It concludes present stage and future development trend of our sedan industry through comparing concentration ratio with other main manufacturers in the world.The research discovers that Chinese auto industry did not still keep the rapid development speed (only 15%), but both output and sale broke through 5 million vehicles. In this case both sedan output and sedan sale reach nearly 2.2 million units, and rank eighth all over the world. Although the development speed is obviously more sluggish than before, Chinese auto market with 13% increasing rate still became one of the main drivers of world auto industry in 2004.Chinese sedan industry locates initiatory stage from every aspect, such as development history, technique level, market structure and industrial scale. Overmuch manufacturers and lower concentration ratio are main characters, and...