China’s Engine-Makers Calls for Build-Up of Post-Sale Consortium Abroad
2009-07-01 Source：english.chinabuses.com
Summarize：English.chinabuses.com: recently, a sales manager who took our interview on condition of anonymity from one of China’s engine makers revealed that he was still wavering on accepting an order of ...
English.chinabuses.com: recently, a sales manager who took our interview on condition of anonymity from one of China’s engine makers revealed that he was still wavering on accepting an order of 300 diesel engines placed by a customer from Kazakhstan. According to the deal, the engine maker is held responsible for providing post-sale services for the products sold to the country. However, it is obviously not quite worthwhile to set up a new post-sale service station in the Central Asian country just for the not-quite-large business deal.
The sales manager’s case, however, is not a rare one in China. Along with the increased export volume of China’s complete vehicles and engine products, many Chinese enterprises have failed to keep pace with the fast growing overseas market in terms of their post-sale service. Some domestic engine makers, such as Yuchai and Shangchai, have gradually set up their post-market service networks in their respective large overseas markets Vietnam and Thailand. However, as to those other foreign markets with not-quite-clear market prospects, these cash-strapped enterprises have a lot of concerns before spending their money in the local market.
To solve the predicament, the sales manager proposed that engine makers from China should be go united while exploring the overseas markets. In this way, the costs incurred on each company will be relatively small. Once the post-sale service level being upgraded by Chinese enterprises, there is every reason to believe that Chinese enterprises will enjoy even more overseas orders.
Another veteran expert involved in China’s engine industry also echoed his opinion. The expert pointed out that most of China’s truck and engine makers are of relatively small size and they have been formed long-term cooperative ties in providing post-sale services in the domestic market. While marching abroad, these businesses should continue to cooperate with each other to sharpen the overall competitiveness of China’s auto parts industry in the international market.
In our interview, we found that many enterprises involved in manufacturing auto parts & accessories are going single-handedly while exploring the overseas market, which usually are both energy- and time-consuming. To further expand the influence of auto parts & accessories from China, it is hoped that indigenous auto parts & accessories manufacturers should get united and extend their domestic post-sale networks to the international market.
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