"Black May" is not necessarily a bad thing


Almost all of a sudden, the Chinese automobile market fell into a "darkness." Turn over the newspapers and open the webpage. The “Black May” report is full of stories. If people say that car sales have fallen in April, people can still be stunned. When the sales volume of car sales in May increased to 20%, many people couldn't stand it. However, I believe that the emergence of "black May" is not entirely a bad thing. First of all, it helps to find superior companies. In a market environment with rapid development or even in short supply, it is difficult to have competitive enterprises. This is a simple economic principle. The Chinese auto industry was not competitive enough in the past, and it is as it is now. This point, we can see from the phenomenon of so many car prices increase. The appearance of “Black May” tells people: The time of competing for a car project and getting a 4S dealership to make steady profits will probably no longer be a thing of the past. In this way, on the one hand, enterprises do not practice "internal strength"; on the other hand, truly competitive companies have the opportunity to come to the fore. Recently, from the perspective of auto companies actively recalling defective products and adjusting product prices in a timely manner, competition awareness and service awareness are being strengthened. This is the positive meaning brought by "Black May". Second, it helps change some distortions. The problem of increasing the price of cars and 4S shops with “unfamiliar faces and harsh words” has always been a strange phenomenon in the Chinese auto market. With the changes in the relationship between supply and demand for automobiles, these distorted phenomena will surely ease and eventually disappear, and consumer rights will also return. To put it more broadly, China's auto prices are higher than the international level, and the lack of autonomous models is also a "distorted" phenomenon. The intensification of competition will inevitably accelerate the process of China’s automobile prices in line with international standards. In the same way, competition will inevitably inspire greater autonomy among Chinese automakers and consumers, and it will be more conducive to the development of locally-priced models with moderate prices. It can be predicted that in the future, the price system and the competition subject pattern of the Chinese auto market will be rebuilt in the midst of breaking. The above is mainly "good" from the enterprise level. At the national level, the deceleration of the auto market (or rather the slower growth rate) is conducive to squeezing out the “bubble” of automobiles and defusing people’s concerns about “overheating” the auto industry. Judging from domestic and international auto investors, China is definitely a "hot spot." The market is a bit cold, which helps people to make more sober decisions. At the same time, in this round of auto boom, the Chinese auto market has been developing rapidly for five consecutive years. The spending power has been greatly relieved, and a host of related issues have also accumulated, such as unbalanced urban development, road traffic congestion, and energy shortages. All these problems require time to solve them. Of course, some people have to say: If it weren’t for the country’s macro-control, the auto market would not fall so suddenly. From now on, it is of little significance to debate the causes of the "Black May", let alone the Chinese auto market as a whole is still a high-growth market. The “consecutive decline” in vehicle sales is said to be “on a month-on-month basis”, which means that it fell from April to March, and in May it fell from April, and it still rose compared to the same period of last year, and car sales rose in May from a year earlier. Nearly 20%, a cumulative increase of 37.68%. Therefore, at this time, companies must be clear-headed and calm, refrain from impetuous emotions, abandon their illusions, and be prepared to fight and fight hard. It is impossible for any market to have ultra-high speed development for many years. The "hearted" enterprises should make use of this rare time, adjust their strategies, integrate networks, improve management, cultivate their competitiveness in accordance with the concept of sustainable development, and meet the arrival of the next development boom. Jianjun Jian, China Automotive News (2nd Edition, June 29, 2004)

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