China`s expansion and the arrogance of car dealers

China`s expansion and the arrogance of car dealers Designer Dresses

The calendar year is coming to an end-it`s time to take stock. And if the results of sales will be calculated only at the beginning of next year, then one can already name the trends in the development of the automotive industry that emerged in the outgoing year.
2022-01-20, by ,

#2022 || #Automotive || #Cars ||

Table of contents:

1st trend

The main trend, which, judging by the statements of automakers, they are very pleased with: "demand has exceeded supply". And there are several reasons for this at once, the main of which is the coronavirus pandemic and the quarantine restrictions associated with it. When a large number of automobile assembly plants suspended their activities during the general lockdown: VIN decoder.

Worker statuses were “optimized " and component purchases decreased. However, when the restrictions were lifted, it turned out that people, as before, want to buy cars, and in the same volumes. And if it was possible to return employees of manufacturing industries and restore the production of mechanical components, then everything turned out to be more difficult with microchips. The released volumes of semiconductor production were contracted by manufacturers of consumer electronics and computer equipment, Chinese automakers and Tesla; in addition, the delivery of chips from Southeast Asia, where the lion's share is produced, to Europe and the United States proved problematic due to the notorious logistics crisis (see this one VIN lookup). As a result, there is a global shortage of microchips for the automotive industry.

Second trend

The second trend: "prices are out of touch with reality". On the one hand, it can be complained that the reasons for this trend lie, as in the first case, in the semiconductor crisis. However, the crisis is worldwide and inadequate prices are only in some parts of it. There is only one reason-the greed of traders. For example: in the United States even official dealers have decided to “warm up” on situations of car shortage, but the largest margin that sellers allow themselves for the most popular models on the market is 20%.

3rd trend

The third trend: "Chinese expansion". Despite the fact that the "Chinese" have been offering our consumers quite decent cars for several years, which have nothing in common with cars of previous generations, such as Cher o Amulet or Geel MK Several factors contribute to the growth: the constant renewal of the model range, a wide choice of cars of various classes, as well as even more affordable prices compared to models of even more popular brands.

And, of course, the already mentioned impudence of the dealer has become an important factor. Realizing that their cars have few real advantages over long-term bestsellers, the dealers of the "Chinese" practically do not "get rich" with urgent demand. Of course, there are also negative examples, but in most salons they will be able to offer the buyer a car without additional costs (or with minimal "additional bonuses"), if not sold out, then with a short waiting period. A good example is VIN check.