Volkswagen Toyota materialistic two strong impulse in China, his "life and death struggle"

Posted on 6/21/2016 10:34:37 AM

Relations in the automotive circle, Toyota and Volkswagen also a bit of how much this means, both of which related to competition in recent years has entered the white-hot stage. Although the Chinese market among the public than the Toyota flies moist, but last year's global sales performance, Toyota, Volkswagen has been losing streak to five years.
In January this year, the Volkswagen Group CEO Muller public statement said: "In my opinion, to focus on sales and record sales almost no sense of history." But in essence, in 2016 global sales from the first title fight quarter entered the white-hot stage. 1 quarter of this year reported a Volkswagen narrowly win the Toyota to become the world's first quarter sales champion. The main reason for the public to win over Toyota in the first quarter, Toyota often subject to earthquakes and other disasters affect productivity related. In fact, Volkswagen and Toyota both are in decline.
For now, Toyota this year will still be able to keep its global sales champion throne, since Toyota has begun continue to increase investment in the Chinese market, while Volkswagen Group earlier due to emissions and suffered tickets will be honored later this year.
On the other hand, although the Chinese market will not make much change, but the public after the exhaust gas crisis will further betting China, which will make it with Toyota, GM and even competition between the more intense.
Toyota still conserved
When China's auto market to enter the slow growth, the global auto companies should think about a new problem, and that is how such a "Red Sea" market them, hoping to grab more market share.
According to Volkswagen sales and financial data released in the first quarter of this year, Volkswagen Group 2,508,000 score win over Toyota, temporarily become the world champion, an increase of 0.8%. Toyota Group (including Daihatsu and Hino Motors, including the) global sales in the first quarter of this year compared to 2.46 million, down 2.3%.
Although Toyota has been for five consecutive years to dominate global sales, but in the Chinese market, Toyota is still known as a mainstream brand is difficult, at least in terms of volume performance with VW, GM still has a large gap. For the world's first performance, comprehensive judgment that the Chinese auto industry is too conservative Toyota, need to make decisions in the face of opportunity, Toyota habitually "look to say."
With technical inputs, for example, Volkswagen developed and just released DSG dual-clutch technology, will officially enter the Chinese market in the same year, localization of production, although in later repeatedly fault making the technology a failure of the public, but but at the time to market and consumers left a "Volkswagen technology leader" subjective impression. In contrast, at the time still use 4AT gearbox Toyota, sales terminals to be known as competing products sales "technological backwardness" tag from without rebuttal.
Also includes Toyota's Lexus brand in the Chinese market, the localization process is dragging its feet. After the Chinese media repeated questioning Lexus Chinese officials when domestic issues, Lexus officials asked more than once, "Domestic really okay? What is the quality guarantee?" And other words to imply Lexus localization is still suspended and is pending.
In fact, Toyota's philosophy is not a conservative, but the pursuit of steady high growth, high profit margins especially for the pursuit, which is very common among the Japanese car brand. Therefore, Toyota does not want to blindly betting on the Chinese market.
Insiders commented that the Chinese market is a grass is always greener in the market, consumers are more heat Chong sought a new car, so the product update frequency is higher than in other markets, including the public for the Chinese market has changed in the past seven years, a new generation of models, advance 4 years updating. Toyota's growth in recent years, mainly from for their own products and technology updates.
Far this year, Toyota for the Chinese market remains extra cautious, Toyota early this year China is expected to release the target, only slight increase of 2.4%, is expected to achieve sales of 1.15 million this year. Toyota China spokesman Niu Yu Die Zeit, he told reporters that compared with the figure, safe and high-quality automotive products, better customer service and a solid foundation, stable development of the "ring management" strategy is always more Toyota seriously. "Toyota never put sales, ranking as the goal."
A Toyota joint venture who declined to be named, Die Zeit correspondent, said on behalf of Toyota, the Japanese side has always maintained an optimistic and cautious approach this year, Toyota will new introduction to the market feedback adjustments, such as the introduction facelift new impetus Wait.
Although the first quarter of this year, Toyota has given the public the opportunity to overtake, but for this year's global sales champion public, it is powerless.
The plight of the masses
As China's auto market sales champion brand, Volkswagen in recent years, more and more dependence on the Chinese market seriously. Nearly half of the Group's sales from the Chinese market, and by the continuing impact of exhaust scandal, the subsequent development of the Volkswagen Group, there are still many uncertainties.
According to foreign media reports, Volkswagen CEO Mueller announced that plans to launch a comprehensive restructuring plan, it will be several decades, the company's most extensive reforms, aims to push into electric cars, autonomous vehicles and mobile digital services market etc., trying to shake off the impact of the crisis exhaust emissions.
Muller to streamline the performance of Volkswagen, already among the industry's expectations related to Volkswagen's profitability has been criticized for a long time, far less than Toyota or General Motors and other rivals competing products. Data show that in 2015, Toyota's net profit up to $ 20.54 billion, GM was $ 9.7 billion, and the public is the emergence of 1.361 billion euros (about 1.55 billion US dollars) in losses.
According to Muller design, Volkswagen new plan named "Strategy 2025", the group plans to adjust its few weak development of the project, the group hopes to reduce costs through effective use of the company's size and product span.
In addition to the Group restructuring, diesel engine emissions and properly handle issues related to the event will be this year, the Volkswagen Group's core mission. Mullen told the media: "Under the current circumstances, the Volkswagen Group remains the top priority for affected customers with compelling solutions."
National Securities analyst Cao Crane Die Zeit, he told reporters that the public later this year or face heavy fines floor, it must be action to deal with fine floor, but also to enhance investor confidence.
Last year, the emissions event, the Volkswagen Group generated additional expenses of 16.2 billion euros in fiscal year 2015, while it faces lawsuits from national civil claims has not yet been fulfilled.
Cao Crane expressed, or the public will also have to pay tens of billions of dollars in damages, which will directly affect the actual public investment in the coming years. "The situation does not rule out the occurrence of the mass sale of assets to cash." As for whether this year will face the issue of compensation, Volkswagen China did not respond.
Thus, although in the first quarter, Volkswagen win a Toyota, but Toyota can eventually adjustment of the main factors will be completely defeated, but also in public this year will face higher damages claims occur. "Volkswagen Group and will not be defeated, but the delay affected the pace of development can be expected." Cao Crane expressed. "A lot of Chinese enterprises highly anticipated, waiting for the public to acquire high-quality assets."

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