Changan Ford is going to launch a new brand
- In order to better establish themselves in the Chinese market Ford and its Chinese partner Changan have planned to launch a new common brand in 2016. This new brand could be called « Jiayue » but no official announcement has been made. The first model may be based on the Ford Focus Classic and manufactured in Chongqing by September 2016 (70 000 units per year).
- It is interesting to analyse the different strategies implemented by independent Chinese carmakers and the strategies implemented by joint venture partnerships between Chinese and foreign carmakers. The volume of sales is what defines if a new brand should be launched or not.
- In the first scenario, independent Chinese carmakers that account for 30% of the Chinese market are turning toward a multi-brand strategy instead of a mono-brand strategy. In the second scenario JV carmakers that hold 70% of the Chinese market are creating more and more brands.
- The Volkswagen group has three brands (VW, Audi, Skoda), GM Group has four brands (Chevrolet, Buick, Cadillac, Wuling), PSA has added a third brand to its catalogue (DS has been added to Peugeot and Citroën). GM (and SAIC) created the Baojun brand in 2013 and Kia will soon create a brand dedicated to China in order to boost sales.
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