Marketing Strategy Research Of Chinese-brand Automobile In First-Tier Cities

China’s vehicle products and sa les surpassed the United States, ranking first in the world in 2009. When the State Council issued the “Top Ten Industry Promotion Plan”, pointing out that the automobile industry is one of the pillar industries in C hina at the same time. CPC Central Committee, the State Council and the Shanghai municipal government attaches great importance to our capacity for independent innovation and developing our own brands. We currently already have a number of independent brands, only when those independent automobile brands become bigger and stronger, will C hina gradually change from the “auto big” to “auto power”. When it comes to Chinese-brand vehicles marketing in domestic market, they are mainly in the second and third tier cities. In the first-tier cities, vehicle markets are dominated by joint venture brands, American brands, European brands, Japanese and Korean brands. C hinese-brand vehicles should do something in the first-tier cities, a tempting market. Based on this, the article study marketing strategies o f Chinese-brand vehicle in first-tier cities, hoping it can provide methodological guidance for occupying first-tier cities successfully.Study has shown that: Firstly, vehicle sale has a relationship with vehicle production, GDP and housing price through combination of multiple linear regression analysis and PEST model, which have a positive impact. Secondly, advantages of Chinese-brand vehicle in first-tier cities outweigh disadvantages and opportunities outweigh the threats. Advantages of Chinese-brand vehicle are mainly reflected in price and market positioning and disadvantages are mainly reflected in lack of core technology and poor brand image. Opportunities are mainly reflected in promoting a new round of urban construction in Shanghai and the establishment of the Shanghai Free Trade zone, the construction of “two centers” and threats are mainly reflected in lack of a stable product quality, inexpensive product image. Thirdly, the research forecasts vehicle sale in China and Shanghai from 2014 to 2018 through use of gray prediction model.Fourthly, C hinese-brand vehicle should enter the target market such as small town mini vehicle, suburbs mini vehicle, small town economy vehicle and suburbs economy vehicle.Fifthly, 61.1% of respondents haven’t a car currently and 60% of them want to buy a car. 59.1% of those who have a car currently want to buy a new car from 409 questionnaires. As a result,the market has great market potential. Sixthly, the research studies the relationship between demographic characteristic and vehicle owning/vehicle buying/brand preference and does probability evaluation of brand preference through use of Logistic model.Seventhly, there are four main components affecting the importance of vehicles. They are vehicle performance factor, vehicle appearance and reputation factor, enterprise management capability factor and enterprise technical level factor. Vehicle performance factor as the first principal component affects the importance of Chinese brands most, followed by vehicle appearance and reputation factor, enterprise management capability factor, enterprise technical level factor. Eighthly, there are three main components affecting competitive advantage of Chinese-brand vehicle.They are vehicle basic attribute factor, enterprise basic capability and external environmental factor and price factor. N inthly, there are five factors that affect whether respondents have a vehicle.They are personal monthly income, driver’s license, marital status, personal permanent residence and gender. Personal monthly income and marital status have a positive impact. Driver’s license, permanent residence and gender have a negative impact. At last, the research puts forward marketing strategy. Chinese-brand vehicle should abandon price war and they sho uld unite together to compete with joint venture brand and imported brand. They should use multi-brand development strategy and develop high-end vehicle brand. C hinese-brand vehicle should develop marketing network, mainly 4S shop, using supply chain finance business. C hinese-brand vehicle enterprise should establish high-quality sale team using ten PR skill training.