An Analysis On The Internationalization Development Strategy Of The Domestic Automobile Enterprises

The automobile industry plays an important role in the economic development of the entire country.China's automobile industry started late,but the entire automobile industry and related industrial chains have developed rapidly.In 2009,China produced a total of13.791 million cars,making it the world's largest automobile producer.The automobile industry is a highly technology-intensive and comprehensive assembly industry.In the era of globalization of the industrial chain,the rapid development of domestic independent automobile brands is difficult to achieve through a single domestic market.Expanding overseas markets is a necessary choice for all automobile companies.Compared with world-famous automobile brands,the international development of China's domestic independent brands is still at a relatively preliminary stage,and its technical strength and brand awareness still lag behind.Chery Automobile was established in 1997.It is an early internationalized enterprise among independent domestic brands.It started its globalization development process from 2001.As of 2019,Chery Automobile has exported more than 1.6million vehicles.With the further opening of the auto industry policy,the competitive pressure faced by China's auto companies in the domestic market will be further increased.With the growth of major global auto markets stagnation,China's auto companies must further participate in global competition if they want to survive.This paper summarizes the difficulties faced by China's independent car brands in overseas markets by studying Chery's overseas development process,and proposes solutions.This article mainly uses the case analysis method to analyze Chery's entry into the Russian and Brazilian markets,analyze Chery's entry motives and development strategies in overseas markets,and study its overseas model selection and international marketing methods.When Chery entered the Russian market,due to the higher tariffs on vehicle exports,it adopted domestic production and exported a whole set of CKD,assembled in Russia,and established a joint venture company with local distributors for assembly,sales and after-sales service.When entering the Brazilian market,in order to reduce costs and make full use of Brazil's rich natural and human resources,it adopted a direct investment to build factories and produce local sales locally.Through case analysis,it can be concluded that when China's independent car brands develop overseas,they often first choose countries or regions where the auto industry foundation is weak and the economic development level is low.When participating inoverseas market competition,although it has a certain degree of low price advantage,it still faces many problems.There are certain backward disadvantages in key R & D technology and brand influence;and it is vulnerable to political and economic risks in foreign markets.The impact of such factors as the lack of internationalized talents and the highlight of cross-cultural conflicts;the lack of proactive and effective marketing methods;the after-sales service network is not perfect after the after-sales marketing.The difficulties faced by Chery represent the common problems in the process of China's independent auto companies entering the overseas market.Characteristics,it is proposed that China's independent car brands should enhance brand value and increase investment in scientific research in the international development;pay attention to cultural differences and focus on marketing skills;be cautious in overseas expansion and use their own advantages reasonably;Vigorously develop new energy vehicles and other suggestions.