Chinese dragon enters the Land of Diversity: Threat or Opportunity
The topic above has a lot of significance with our automobile industry as China officially enters the automobile industry of our country with Great Wall Motors(GWM) confirming the launch of vehicle line up in 2021. This also marks that now GWM has its presence in 60 countries. GWM announced a 1 billion dollar plan to start in Indian Market.
The vehicles will be traded with the name HAVAL in Indian markets. GWM entered India when China just went through the worst business phase of the automobile industry. This may have been the main reason for them to explore a better market and see India as a good opportunity as well. Apart from that, what struck me most is that the segment they chose to enter in, SUV segment.
Right now most fiercely contested segment in passenger vehicles in India is SUV segment, this segment has its own sub segments , but that doesn't reduce any competition as right now every automobile manufacturer in india is trying to put best possible vehicle with optimum cost in this segment only and rate of failure and scope of error is very less , Seltos from KIA, Creta from Hyundai , MG Hector, Ecosport from Ford, KUV from Mahindra etc list goes on with Compact SUV and other categories of SUV.
We can also see that Each vehicle is a flagship vehicle and has more sales than any other vehicle from that Manufacturer, due to this factor entry of GWM also makes it more interesting as the effect that it will create on this market will surely be worth noticing. Not to forget their EV plan also , recently TATA, MG etc. launching feasible and publicly acceptable EV’s how GWM deals with it as it makes me quite anxious to know how they will utilise their previous EV experience and implement it in India .
I see GWM’s entry as much more significant than any other manufacturer as neighboring countries which took them so long to enter our market, this curiosity makes it even more exciting. Lot of questions pop up like , what strategies will they use for cost, amenities , accessories, engine capacity , features etc. what will be a unique selling factor which will make them stand out? Etc.
We can only wait to know those things, but till then do share your views on this topic as it will be interesting to know What you think about this situation.
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