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Marketing Strategy 2009 2010 2011 2013 2014 2017 2019 2020 2008 2018 Target units :1.25 million New 5types Vehicles Expand distributors by 100 of Shanghai VW as Well as 100 of FAW Standardization of 4S Stores by professional Training and redecoration Maintain the 3new Products per year to China ( VW, Audi, Skoda) Expand distributors by 200of Shanghai VW As well as 150 of FAW Lower cost by 10% of its Passenger cars Lower the fuel consumption By 18% Leading brands of ( VW, Audi, Skoda) in each Target market Expand distributors by 300of Shanghai VW As well as 250 of FAW Lower the fuel consumption By 27% Target units :1.78 million Target units :2.4 million Target units for sale Brand value Major risks of auto industry in China The industrial policy’s risks - The major policy of auto industry from 2007-2009 in China End of Year of 2007 The central government encouraged the government’s purchase: energy-saving carbon emission-reducing cars. Also protected the domestic brand cars to expand. Volkswagen should develop the car model of oil efficient in China market and keep the cars’ sales at high level. 2008.7 Required all the car makers to add the uniform fuel consumption identification code. A great challenge for car companies’ technology and capital. 2008.7 Required all the car makers to add the uniform fuel consumption identification code Implementation of the carbon emission criteria – Europe Ⅲ in China The new car’s entry standard raised. 2008.9 The central government adjusted the car consumption tax to minimize the burden of emission Volkswagen must adjust the product structure 2009.1 Oil tax started and it will boost the new energy car’s sales Volkswagen should use its brand and technology advantages to explore new models Major risks of auto industry in China ·The economic risk The risk of global economic downturn: leads to the sales growth rate and yield rate both declined
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