As the largest private industrial enterprise in China, and with the two core propaganda positions of Autohome and Weibo, Cao Yang can naturally obtain information on the trend of the automobile market and the dynamics of various car companies.

Autohome brought a special report on "sister cars", and after hearing about some developments of more car companies in this regard, Yu Yu immediately took the initiative to report to Cao Yang.

On the one hand, it is to share the dynamics of the industry with Cao Yang, and on the other hand, to explain the impact of this change on the Huaxia automobile industry.

"Mr. Cao, now all joint venture car companies in the automobile market have the intention of launching more 'sister cars', Volkswagen, Toyota, Honda, Hyundai and other companies are already taking action."

"We organized special personnel to analyze and discuss, and felt that this direction may be an important means for joint venture car companies in the Chinese market in the next five years."

"Due to the policy and market with Chinese characteristics, many joint venture brands have two joint ventures in China!"

"After introducing one model into China, no matter which company produces it, the result will inevitably cause dissatisfaction from another company, and if you develop two completely different models, it will take more time and technology."

"And the emergence of 'sister cars' can solve this problem very well."

"This can not only better balance the relationship and interests of the two joint ventures, achieve win-win and common development for both parties, but most importantly, save costs."

"At the beginning, everyone may have only considered the reduction of development costs, but after some special investigation, we felt that we should not underestimate the effect of the 'sister car' in terms of cost savings."

"For example, with an annual output of 300,000 vehicles, if it is divided into two independent models, then each car can only share the production capacity of 150,000 vehicles, and it can only negotiate prices with parts suppliers on the scale of 150,000 vehicles."

"If we develop a sister model on the same platform, most of the parts can be used universally, and the price can be negotiated with a scale of 300,000 units, and the procurement cost will be reduced a lot."

"Moreover, when different models are derived from the same platform, adjustments can be made in details for different market segments."

"For example, one is more stable and one is younger, one is more scientific and technological and one is warm, so we can occupy more market share in collaboration."

"Of course, as the saying goes, 'there are joys and sorrows', and the 'sister car' has many advantages, but it must also be a double-edged sword, if you use it well, you can maximize your benefits, but if you use it badly, you will 'lift a stone and shoot yourself in the foot', putting yourself in an embarrassing position."

Yu Yu wanted to come over to report to Cao Yang, so naturally he also made full preparations.

So when it comes to this point of view, it is also the first to say.

Cao Yang naturally has a better understanding of the situation of the "sister car", after all, Volkswagen, Toyota, and Honda in later generations can be said to have played this routine perfectly.

But he really hasn't studied the source of this matter.

Now that Yu Yu came to report on this matter, he couldn't help but ask a few more questions.

"Volkswagen should have been the first to start working on 'sister cars', what special background triggered them to do this?"

As soon as Cao Yang's question came out, Yu Yu couldn't help but show a smile on his face.

Obviously, this question was a question she had long anticipated.

Report to the boss, Yu Yu will prepare a Q&A in advance.

As long as the questions are prepared in advance, there must be a very fast and excellent answer.

This is very beneficial for improving the impression score in front of the leader.

"Mr. Cao, when it comes to this topic, there is really a small episode."

"In 1999, Modu Volkswagen introduced the fifth-generation Passat and named it Passat, and when it was time to upgrade the generation, I didn't expect Volkswagen to transfer the production rights of this car to Chuncheng Volkswagen, which made Modu Volkswagen very embarrassed."

"This car was a star model of the magic capital Volkswagen at that time, and it was produced for more than 5 years, and it was basically stable.

"But Volkswagen controls the technology, and the models are all developed by them, and they still have more say in the magic capital Volkswagen, so the magic city Volkswagen is also helpless."

"But it doesn't want to give up on this model, so what should it do?"

"So Modu Volkswagen developed a special Huaxia car on the basis of the Passat, which is the predecessor of Volkswagen Magotan - Passat Lingyu."

"In order to prevent the cars produced by Chuncheng Volkswagen from using the name of the Passat, Modu Volkswagen also protested to the Volkswagen Group, and finally the sixth-generation Passat produced by Chuncheng Volkswagen was renamed 'Maitan'."

"Although the Magotan and Passat are completely different names, the two cars are essentially the same, so they have formed a two-car strategy in the market."

"Coincidentally, the Lavida of the Magic City Volkswagen and the Bora of the Spring City Volkswagen also belong to the 'sister cars', and Volkswagen is obviously in this strategy, trying the sweetness and becoming more active."

As soon as Yu Yu explained this, Cao Yang immediately understood this background.

To put it bluntly, this is caused by Huaxia's special policy.

An auto giant has two joint ventures in Huaxia, and everyone will naturally grab models.

In order to balance the needs of the two joint venture car companies, the "sister car" came into being.

"According to the rules of doing business, when launching a product, you should try to avoid hedging with the existing products in the market, otherwise it will have a negative impact on the sales of the existing products."

"If you want to launch a new product, you should open up a gap with the existing product in terms of positioning and other aspects, so that there will be no internal strife."

"But why do Volkswagen joint venture brands do the opposite?"

Cao Yang couldn't help but think about the school entrance examination, wanting to see how Yu Yu answered this question.

"Actually, fundamentally, it's because of profits."

"The fundamental purpose of doing business is actually to reduce costs and increase profits."

"On the surface, the two-car strategy is indeed engaged in 'internal competition', but from another point of view, in fact, they occupy more market share in this way and allow themselves to gain pricing power in the market."

"And the north and south Volkswagen are Volkswagen's joint ventures in China, in essence, they develop a model, and then through the platform of another company for production, in the appearance of the design style to make a slight adjustment, you can create two styles of models, in the subdivision can attract more different consumers, the market share is higher."

"Huaxia's market share is so large, it is difficult for a single car company to operate both the north and south markets well, and the two car companies in the north and south operate together, and make adjustments for different markets in terms of style, so as to achieve a situation where one car and two eat."

"This can reduce both R&D costs and production costs, which is the best of both worlds for car companies."

"Part of the reason for even launching a sister version of a popular car is to promote healthy competition between the two joint ventures and avoid inertia caused by one having its own popular car."

The question Cao Yang asked was also in the list of questions prepared by Yu in advance.

So she answered it very easily.

Regarding Yu Yu's answer, Cao Yang also agreed.

This basically clarifies the increasing number of "sister cars" in the Chinese market.

At this time, it is natural to consider what impact such an approach will have on Nanshan Group.

"You say that we will launch some sister cars on Jaguar Land Rover and Xingchen Motors, is it also feasible?"

Since the strategy of the "sister car" has been proven successful by history, Cao Yang naturally will not refuse.

Nanshan Group now has three luxury brands, Xingchen Automobile and Jaguar Land Rover, so how to fully utilize and integrate resources is a problem that needs to be considered.

Otherwise, when the time comes, other car companies will take the lead, and the competitive pressure will be even greater.

"Mr. Cao, I think it's completely feasible!"

"Xingchen Automobile's look up and Xingtu can be considered for launch on the Land Rover brand."

"And Ziweixing and Starry Sky can be considered for launch on the Jaguar brand."

"Even now that the SUV market in China is so hot, we can consider letting Jaguar Motors, which has never produced SUV models, also launch one or two SUV models to test the water."

"If successful, it can greatly increase the sales of Jaguar cars in China and even the global automobile market in a very short period of time."

Yu Yu boldly put forward his own plan.

I have to say that her plan is still very desirable.

In particular, it is proposed that Jaguar Motors launch its own SUV model, which is unthinkable to ordinary people.

After all, the two brands of Jaguar Land Rover have always been positioned as a sedan and an off-road vehicle.

Now let those who make cars also make SUVs, and a group of people will really subconsciously ignore such a possibility.

"I'll ask Zeng Tingting and them to plan well and start Jaguar's SUV model first."

"In the future, the next-generation models of Land Rover and Xingchen Motors will also be produced on the same platform as much as possible."

"This not only greatly reduces development costs, but also makes our supply chain more competitive."

Taking the opportunity of the same platform, Cao Yang is ready to do something to successfully kick out a large number of European and American parts companies in the original Jaguar Land Rover supply system.

Obviously, Nanshan Group can produce itself, or can find more suitable suppliers in China, so there is naturally no need to hand over orders to parts giants.

Even taking this opportunity, in the future, more Jaguar Land Rover products will be produced in the Modu factory, and then exported to the world, and the power of Jaguar Land Rover headquarters will be slowly hollowed out, which is also a strategy of Cao Yang.

Only by transferring the power of R&D and production to Huaxia can Xingchen Automobile complete the complete control of Jaguar Land Rover.

At that time, even if the new president is disobedient, Cao Yang is not worried that Jaguar Land Rover will be able to get out of his control.

The big deal is to break the net, and let those people who want to fight the idea of the Nanshan Group end up with chickens and eggs.

……

Cao Yang will pay attention to the "sister car" phenomenon of various joint venture car companies, and other independent brands in China will naturally think about the impact of this phenomenon on themselves.

Among them, Chery is undergoing a change within itself.

As a leading enterprise of its own brand, Chery Automobile is naturally considering how to maintain its dominant position in the face of an expanding market.

"Lao Zhang, your research institute needs to move a little faster."

"Now Volkswagen and Toyota are engaged in 'sister cars' in Huaxia, and even more other car companies are also doing this."

"In this case, if our actions are slow, it is estimated that competitors such as Geely and Great Wall will take advantage of it."

"Therefore, our 'Riich' brand high-end models should become bigger and stronger as soon as possible, so that everyone can begin to accept our multi-brand strategy."

"Having more children is good for fighting, we have to enrich Chery's product line as much as possible, but how to control development costs is also a more important issue."

Yin Chuan began to think about the future development path of Chery Automobile.

However, if Cao Yang sees Chery's layout here, he will definitely have some ideas and suggestions.

It's not impossible to engage in dual brands, but high-end models are not so good.

The most important thing is that if you are really engaged in high-end brands, then do it well.

Don't say it's a high-end brand and be ready to launch some models with a very low starting price.

How can it be possible to successfully do a good job of the new brand in this way?

Do you really think that consumers are so easy to fool?

With the same price and similar configuration, most Chinese consumers will still choose models of joint venture brands such as Volkswagen and Toyota.

There is no way to deny this objective fact.

It won't be so easy to change that for at least the next decade.

Unless Ling's model is positioned higher and uses dimensionality reduction to compete with others, there is still hope for equal sharing.

The international auto giants have accumulated so many years of technology and brand advantages, and if you want to surpass, it is not impossible, but it will definitely take a certain amount of time to accumulate.

Chery Automobile's multi-brand strategy is not inherently wrong.

However, the positioning is not clear enough, the market layout is relatively chaotic, and it will definitely be difficult to succeed in the end.

Even because of these reasons, Chery Automobile's position as the No. 1 sales brand of its own brand will not be able to be maintained.

"No problem, we will soon launch two SUV models and two sedans based on the Riich brand."

"When the time comes, consumers will have more choices when buying Chery automobiles."

As the president of Chery Automobile Research Institute, Zhang Wuchao naturally supports the company's multi-brand strategy.

Because it means that the institute has access to more resources.

That's a good thing.

"In the future, our Riich brand can continue to use Nanshan engine products, and Chery brand models should try our own engine technology first."

"At the same time, the Riich brand logo should also be distinguished from the Chery brand, so that everyone can feel the influence of independent brands."

Yin Chuan obviously attaches great importance to the multi-brand strategy of "having more children and fighting".

At the same time, Chery Automobile has never given up on developing its own engines.

Even if it is now Chery Automobile's own engine, the overall cost is not particularly advantageous, and there is no advantage in technology, and he is willing to continue to try.

Because he felt that if everyone was using Nanshan engine products, it would be difficult for Chery Automobile to highlight its advantages.

When the market growth slows down, the competition will become very fierce.

"We strive to develop an SUV model of the same level on the basis of Tiggo, and then we can quickly mass produce it by the end of next year to see how the market reacts."

"At the same time, we will also cooperate with the sales department to do a good job of relevant publicity plans, so that we can occupy more share of the automobile market next year."

With Chery Automobile's actions, various brands are also ready to move.

Even on the side of Nanshan Hongqi, Zhu Zhengfeng personally called to communicate with Cao Yang.

"Mr. Cao, our Hongqi is now focusing on HS5 and H5 products, and some other original models have either low sales or have stopped production."

"In the face of fierce market competition, this is definitely not enough."

"Although we still have two new models in development, even if these two new models are launched next year, we will only have four main products."

"I'm wondering, can Nanshan Hongqi also consider dividing into two sub-brands for development, one is the Hongqi brand for mid-to-high-end products, and the other is an independent new brand for entering the low-end brand?"

In the entire Chuncheng Automobile Group, Zhu Zhengfeng cares most about Nanshan Hongqi.

In particular, the performance of HS5 is very good, although H5 has just been launched, but the market performance is still passable.

In this case, he very much hopes that Nanshan Hongqi can go to the next level.

"For Nanshan Hongqi, the Hongqi brand is the thing that impresses everyone the most."

"At this time, if a new independent brand is launched, I am afraid it may not have any special effect."

"In the past month, the practice of 'sister cars' has become a bit popular in the industry, and Volkswagen has tried the sweetness very early."

"But there are prerequisites for this kind of play, so you must have a strong enough foundation to support the development of the platform and the launch of sister models, otherwise you will drag yourself to death before you get good results."

"There are three kinds of games in economics, positive sum, negative sum, and zero-sum game."

"Which kind of sister model does it belong to?"

"Take Mr. Zhu's Magotan and Passat as examples, normally there are three possible outcomes."

"The first is a zero-sum game. Magotan and Passat are in competition, and if you buy a Passat, you must abandon Magotan . ”

"The second is the negative-sum game. Magotan and Passat competed viciously, and in the end, they fought hard and lost both, and sales were not good. ”

"Finally, it's the Zhenghe game. The Passat sold well and opened the market early, while the Magotan as a sister model, once launched, gained good market recognition, and finally the sales of both the Passat and Magotan increased. ”

"Zhenghe Games is the ideal state of every manufacturer, and Magotan and Passat have basically achieved this state."

"But that's based on the brand heritage that North and South Volkswagen has accumulated in China for many years, and the sisters are basically Zhenghe games for them, so they are very active in launching more sister cars."

"But the situation of Nanshan Hongqi is different, our influence in China is relatively weak, and the market share is very low."

"If two brands come out at this time, it is equivalent to making a 'sister car' version that is different from Volkswagen."

"In this case, it is absolutely very difficult for this sister car to succeed."

"I don't think it's necessarily suitable for the current Nanshan Red Flag."

Regarding Zhu Zhengfeng's proposal, Cao Yang did not express support this time.

Don't look at what others are doing, just think that following the trend will definitely be successful.

This is not the case at all.

It is enough for Nanshan Hongqi to manage the Hongqi brand well, and don't have other ideas.

For Nanshan Hongqi, the dual brand or sister car is completely giving up its own advantages, and the disadvantages outweigh the advantages.

Feeling Cao Yang's resolute opposition, Zhu Zhengfeng was a little disappointed.

However, he also knew that what Cao Yang said was not unreasonable.

If you keep going, you won't get any better results.

It's better to pull the Nanshan Group to do a good job of the Nanshan Red Flag.

Other independent brands are impacting the goal of annual sales of 500,000, but Nanshan Hongqi is still working hard for the goal of annual sales of 200,000.

Such a gap is definitely not what Zhu Zhengfeng wants to see.

"Mr. Cao, your analysis is also correct, there is a saying on the Internet, which is called that the ideal is very plump, but the reality is very skinny."

"Maybe the sister car, dual brand and other strategies are a good thing for the international auto giants, but for us Nanshan Hongqi, what kind of situation still needs to be observed."

"When the situation becomes clearer, we will discuss the next plan."

Zhu Zhengfeng found a step for himself and went down the steps.

The situation of Nanshan Red Flag is indeed different from that of Nanshan public after all.

If you insist on following the pace of others, maybe there will be real problems at that time.

This is certainly not what Zhu Zhengfeng hopes to achieve.

"Well, in a few years, when we look at the promotion effect of the sister cars or dual-brand strategies of various joint venture car companies and independent brands, it will be better to review the development path of Nanshan Hongqi."

"We still have some time to wait, so we don't have to rush so much."

Seeing that Zhu Zhengfeng did not insist on his opinion, Cao Yang was also relieved.

He is not afraid of the Chuncheng Automobile Group, but he also does not want to have a stalemate with the Chuncheng Automobile Group.

In the business field, many friends have many paths.

And when various domestic car companies are busy reviewing the dual brand and sister cars, for Nanshan Group, or for Yangcheng Automobile Group, an unexpected and reasonable thing happened.

(End of chapter)