On February 22, according to reports from 快科技 (Tech Fast), it's well-known that the biggest characteristic of domestic brands in competition with joint venture brands is high cost-performance ratio, competing for the market with higher configurations and lower prices.
However, the CEO of Beijing Benz has a different perspective on this approach.
Recently, Duan Jianjun, President and CEO of Beijing Mercedes-Benz Sales Service Co., Ltd., expressed at the Yabuli Forum Annual Meeting that some companies compete by piling up materials against commercial rules.
"In today's automotive market, many long-time players find it difficult to make profits. In order to occupy the public mind and tell stories well to attract more investment, some companies often forget the basic rules of business. Irrational competition can bring many negative effects. For investors, a large amount of funds are burned, and the prospect of investment coming ashore is remote."
He further stated:
For suppliers, the prices of complete vehicle products are squeezed, leading to continuous pressure on parts procurement, which may also result in a reduction in quality. At the same time, they may also face the risks of payment delays, cancellation of orders, and various inventory risks due to the closure of the main factories.
Especially for consumers, it seems like they have bought cheap products in the short term, but they may face the problem of whether there is a place for maintenance in the future, as well as the continuous decline in the prices of used cars. After buying a car, they have to keep an eye on whether the company's stock market is doing well every day.
Regarding this statement, netizens generally hold two opinions: Some people think there's nothing wrong with piling up materials. At least consumers can buy better products with less money; others believe that Duan Jianjun's point of view is worth considering. To achieve healthy development, we really cannot rely solely on piling up materials and cost-performance ratio.
