Study On New Business Development Strategy Of Qihang Automobile Company

The new business is becoming more and more important to the development of the automotive industry.In the face of the new revolutionary technology,the new trend and the national policies that have a strong policy guidance,commercial vehicles,car companies worldwide have become aware of the need to transform from developing traditional business to the new business,which has been put to a strategic height.In the future,the heavy-duty truck market will become saturated.For commercial vehicle manufacturers,they should develop new business by extending from the automobile industry to other industries in order to achieve sustainable development.With the development of new technologies such as big data,Internet of Things and cloud computing etc.,and large-scale coverage of modern logistics capacity networks,China’s modern logistics industry has entered into a new period of growth.It is an important trend to building a digital business ecosystem for the industry.At present,companies from different industries have come together,which achieves the cross-industry integration from another dimension.Business models have brought about earth-shaking changes.Qihang Automobile Co.,Ltd.is a commercial vehicle manufacturer directly under central government.It is the only one independent truck brand in China with the domestic and overseas top competitors such Scania and domestic joint ventures like Dongfeng,Shanqi and China Heavy Truck.In addition,it has a powerful self-owned R&D strength and is well received because of the excellent quality such as energy saving and reliability.Qihang enjoys a leading position in domestic commercial vehicle companies.The emergence of new technologies helps reshaping the value curve of the automobile industry continuously,and the profit core of Qihang —— traditional vehicle manufacturing and sales will shrink.Various car companies has embarked on the road of strategic transformation from commercial vehicle manufacturers to transportation solution providers.Qihang will gradually lose its dominant position and will be surpassed.All the car companies are all beginners in the field of new business at the same time.This is an excellent opportunity for the Qihang to maintain the position in the industry.Qihang is facing both new challenges and opportunities at the same time.How to find the entry point of the new business based on its advantages,gradually transform to the transportation solution provider and finally realize the continuous development is a tough question for Qihang.This paper will take Qihang Automobile Co.,Ltd.as the research object and analyze the environment of commercial vehicles by utilizing strategic management theories and methods.I focus on the problems and causes of the development environment of the new business in Qihang.I analyze the internal and external environment of the ecosystem of the commercial vehicle industry and formulating its new business development strategy based on these factors.It is wise for Qihang to develop five business groups through differentiation strategy,gradually radiate into the logistics industry and transform to a transportation solution provider.Finally,after analyzing the organization and mechanism of Qihang,I focus on the safeguard measures of differentiation strategy,with the help of which the new business operations can be rightly implemented.I sincerely hope that my research could make a contribution to the strategy transformation of Qihang Automobile Co.,Ltd.and help the company achieve sustainable development in the commercial vehicle industry.