On January 27th, the reporter learned from the National Federation of Industry and Commerce Automobile Dealers Chamber of Commerce (hereinafter referred to as the "Commerce Chamber") that although the passenger car market in 2014 increased by nearly 10% compared with 2013, the majority of dealers did not enjoy the market. The bonus brought by the expansion, the inventory pressure is huge. According to the dealer survey on supplier satisfaction, in 2014, the monthly inventory of passenger car dealers has been more than twice that of passenger car suppliers, and some months are nearly four times.
It is reported that in 2014, the proportion of profitable dealers dropped from 70% in 2009 to nearly 30% in 2014. The average dealer inventory exceeded the industry inventory warning line for an average of 8 months. In November, the unreasonable inventory of dealers was close. 100 billion yuan. According to a sample survey conducted by the Chamber of Commerce, 55% of dealers are unable to make a profit in the new car sales. Zhu Kongyuan, secretary-general of the National Federation of Industry and Commerce Automobile Dealers Chamber of Commerce, said that there were many cases of vendor conflicts in 2014. The main reason was that dealers had high inventory pressure and weak profits. At present, the automobile distribution industry has not fully exerted the positive role of the market in resource allocation, and many market signals are distorted. The automobile distribution industry should be reformed to build a fair, just and open market competition environment. Accordingly, the Chamber of Commerce strongly recommends that the revision and implementation of the “Automobile Sales Management Measures†be completed as soon as possible; the automobile suppliers can formulate the 2015 business policy in accordance with the current spirit of the “Automobile Sales Management Measures†(Draft for Comment); Look, the automobile dealership industry should refer to the US experience and formulate the "China Automobile Distribution Industry Franchise Law."
Zhu Kongyuan believes that a reasonable vendor relationship is based on a good overall environment, including policy and supervision. Once a good policy environment is formed, a reasonable vendor relationship will naturally take shape under the market. Wang Wei, assistant to the Secretary-General of the Chamber of Commerce and director of the Ministry of Industry, also believes that the relationship between manufacturers should be determined by the market position of both parties. However, due to some current regulations, such as the "Brand Management Measures" restrictions on dealers, resulting in distortion of market relations, dealers must obey the manufacturers, and can not fully play the role of market coordination.
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