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Abstract

In 1953, shortly after the People''s Republic of China was formed, FAW Group Corporation was founded with the goal of creating a modern automotive industry for China. ''The pioneer of China''s automotive industry'', FAW is the largest automobile manufacturer in China, producing a variety of vehicles, including passenger cars, trucks and buses. Its passenger car business covers both propriety brands (eg, Hongqi, VITA and Xiali) and foreign brands (eg, Audi, Toyota and Volkswagen). The company is also a global original equipment manufacturing supplier of automotive parts and components. In 2007, FAW recorded sales of US$24.8 billion. Its huge success in China has prompted it to gradually expand into global markets, exporting its cars to the Middle East and Africa. The company also envisions selling a range of both luxury and lower-end passenger cars to Hong Kong as its next stop, and ultimately to the US and other developed markets. Will Chinese-made or Chinese-branded cars in general and FAW''s cars in particular have a market in Hong Kong? What barriers, if any, will FAW face in marketing their cars to Hong Kong consumers'' environments.
Industry:
Other setting(s):
1953-2008

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Abstract

In 1953, shortly after the People''s Republic of China was formed, FAW Group Corporation was founded with the goal of creating a modern automotive industry for China. ''The pioneer of China''s automotive industry'', FAW is the largest automobile manufacturer in China, producing a variety of vehicles, including passenger cars, trucks and buses. Its passenger car business covers both propriety brands (eg, Hongqi, VITA and Xiali) and foreign brands (eg, Audi, Toyota and Volkswagen). The company is also a global original equipment manufacturing supplier of automotive parts and components. In 2007, FAW recorded sales of US$24.8 billion. Its huge success in China has prompted it to gradually expand into global markets, exporting its cars to the Middle East and Africa. The company also envisions selling a range of both luxury and lower-end passenger cars to Hong Kong as its next stop, and ultimately to the US and other developed markets. Will Chinese-made or Chinese-branded cars in general and FAW''s cars in particular have a market in Hong Kong? What barriers, if any, will FAW face in marketing their cars to Hong Kong consumers'' environments.

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Industry:
Other setting(s):
1953-2008

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