Zhengzhou Nissan: How Much Worth to Grow


Just a year and a half ago, my monthly income was only eight or nine hundred yuan." When Guo Zhenluo sat next to the reporter, when he said this, the reporter thought he was mistaken. Guo Zhenfu, Zhengzhou Nissan Motor Co., Ltd. The general manager of the company (hereinafter referred to as Zhengzhou Nissan), the company he led was established in May 1993. After more than 10 years of development, by the first half of this year, it has become a car manufacturer with sales revenue of more than 2 billion yuan for half a year. The "driver" of a "super-car" has booked less than $1,000 a month. This not only raises doubts about its authenticity, but also makes people feel that they are making a gimmick, but this is actually the case of Zhengzhou Nissan. One of the true reflections.Don't look back at Zhengzhou's rugged and even malformed development history, and you won't understand Guo Zhenluo anyway. Nearly as early as May 1993, Zhenghao lightened the future of the Chinese automotive market. Automobile Manufacturing Co., Ltd., CITIC Motor Corporation, Industrial and Commercial Bank of China Henan Branch, Nissan Motor Co., Ltd. and Thailand Sanyou Machine Manufacturing Co., Ltd. and other five shareholders from three countries, After the approval of Henan Province, it was decided to invest jointly, and Zhengzhou Nissan Automobile Co., Ltd. was established at a ratio of 35%, 10%, 25%, 5%, and 25%. At that time, the entire vehicle joint venture project had to be submitted to the national competent authority for approval. The provincial government's approval was judged to be ultra vires, which made Zhengzhou Nissan almost dead. All had to start from scratch and the joint venture project began to be re-approved by the relevant national authorities. However, this approval was passed for 3 years. The project was finally approved, and after negotiating with Nissan, Nissan agreed to increase capital to the joint venture company, increasing the share from 5% to 30%. At the same time, CITIC Motor's parent company, China International Trust and Investment Corporation (hereinafter referred to as CITIC) and the Henan Provincial Government An agreement was reached on the complementary advantages of financial capital and industrial capital, and the development of the Henan automobile industry. CITIC took out 170 million yuan of funds and transferred shares of Industrial and Commercial Bank of China Henan Branch and Zhengzhou Light Vehicle Manufacturing Co., Ltd., becoming the largest shareholder of Zhengzhou Nissan. It seems that everything is changing in the right direction, but it is still “good thing” to wait for Zhengzhou Nissan. There was a disagreement with the Chinese side on the exchange rate implementation of the replenishment, and the two sides had long-term negotiations.When the time entered 1997, when everything was about to be negotiated, Nissan suddenly fell into a business crisis, and it was left alone, and the replenishment was shelved. Not to mention the specific issues introduced by the new model.Since 2001, Nissan started on the track after its legendary president Carlos Ghosn’s “Rejuvenation Movement” and Nissan’s strategy in China began to adjust. After personally questioning, Nissan officially launched a plan for the reconstruction of Zhengzhou Nissan, which bought a 25% stake in Zhengzhou Nissan from three Thai friends, holding 30% of the shares, and correspondingly increased capital and technical investment in Zhengzhou Nissan. Waiting until the joint venture company's registered capital is fully in place, it is already in early 2002. Historical factors have affected the development of the company, and Guo Zhenluo has been sighing with emotion: "If this is not the case, Zhengzhou Nissan has long been not the size of today! Due to these factors, Zhengzhou Nissan suffered losses for many years from 1997 to 2002, and Guo Zhenyi’s monthly income of 890 yuan also lasted for many years. Peach Transparency China taste April 28, Zhengzhou produces high-grade pickup trucks, In Beijing, it was awarded the title of "China's Top Product Quality Customer Satisfaction for Advanced Pickup Truck Market." Zhengzhou Nissan's high-end pickup truck was introduced from Nissan in 1995. Since 2001, its market share in the high-end pickup market is over 50%. "We have found the most appropriate balance between input and output, product and plant reality, and management style," and the 100,000-odd pickup truck market has remained at a total of 20,000 units for many years. Under the circumstance, Zhengzhou Nissan started to walk up the slope. "At the end of 2002, even without Paladin, we already had tens of millions of profits. “Guo Zhenyu told reporters. In March 2003, Nissan’s first model of production in Zhengzhou after China’s strategic adjustment—Palatin began to officially go on sale. After a short period of 8 months, sales exceeded 10,000 units and became One of the "troikas" for domestically produced high-end SUVs "The key lies in figuring out exactly what the users really need." Guo Zhenlu thinks that some joint ventures have failed to import models because they have not figured out the needs of Chinese users. Years of exploration, he concluded that "Chinese users need not only the Japanese but also the Americans." That is to say, Chinese consumers like the economy and meticulousness of Japanese cars, and also like the luxury and atmosphere of American cars. The combination best meets the needs of Chinese users. All this benefits from the introduction of Nissan's advanced management system. Zhengzhou Nissan's factory is fully manufactured in accordance with Nissan's management model. Each process has a standard workbook, a production program, a schema, The standard working hours and quality standards require clear regulations. Each process staff can accurately understand the process requirements and use the best operations. The method completed its own work as stipulated in the standard operation book.In addition, Zhengzhou Nissan also introduced Nissan's online defect point control system, and the assembly quality of the vehicle is close to that of Nissan's local factory."We have high efficiency, and the class production capacity has been designed from The number of 45 vehicles has been increased to 92. There has been no increase in personnel, which has actually decreased. Because the total investment is not large, and the cost control is very strict, they keep the cost at a low level. There is an example that can reflect Zhengzhou Nissan's mind on the cost savings: Paladin during the listing in Beijing, The company’s top management including Guo Zhenlu, general manager, lived in a three-star hotel. In addition, using the Nissan, Dongfeng, and Dongfeng Nissan sales systems, and the network they built, the cost of Zhengzhou Nissan’s entire sales system is also high. Very low, the logistics cost within the company is also relatively low.” These cost advantages are reflected in the car's cost-effectiveness, making our current models more comprehensive cost-effective than other similar products 5-7 million. “Guo Zhenhao is full of confidence in facing fierce competition in the future market. “Unfortunately, the Japanese insisted that Paladin should be extensive, and did not agree with us to increase the interior of Paladin by another grade, otherwise the car will be sold better than it is now. . “Guo Zhenfu is very sorry about this. But with the development of Zhengzhou Nissan, Nissan’s attitude toward it is also changing quietly. Ghosn once stated that Zhengzhou Nissan is “Nissan’s production base for commercial vehicles in China”. Later, this statement became “Nissan’s important production base in China”. “But these arguments have not been discussed with Zhengzhou Nissan carefully. Now, in my report to Nissan, Zhengzhou Nissan’s position is Nissan’s small. Public car production base. Guo Zhenyun said that since the sedan is a highly profitable industry, it is also an industry with extremely fierce competition. Zhengzhou Nissan will focus more on niche cars. The so-called niche cars include pickups, SUVs, MPVs, and sports cars. Sub-market products, "I think we can also remove 'in China' because we can already produce international-quality cars. A possible win-win situation? Just recently, rumors that Zhengzhou Nissan will be integrated by Dongfeng Automobile have been rising for a long time. According to relevant sources, Zhengzhou Nissan has selected more than 40 Dongfeng Nissan stores for Paladin and Sales of mid- to high-end Nissan pickup trucks have started, and Nissan has already begun integrating sales networks in China: Nissan franchise stores that originally imported imported Nissan cars have begun to sell domestically-made sunshine and bluebirds, and dealers of Dongfeng Fengshen have also begun to sell. Sales of imported Nissan demeanor, and Paladin and mid- to high-end Nissan pickup trucks entered the integrated Dongfeng Nissan sales network, making the industry believe that the reorganization of Dongfeng Motor and Zhengzhou Nissan will start from the sales channels. Guo Zhen-jun is not vindicated, only admits this In the past, Guo Zhenluo believed that the cooperation at the end of the channel solved the problem of limited sales capacity and service capacity of Zhengzhou Nissan, effectively used the resources of both parties to supplement the blank areas, and ultimately to enable consumers to reach The greatest degree of satisfaction. After Nissan and Dongfeng have carried out all-round cooperation, as part of the recovery plan, Nissan will inevitably make corresponding adjustments in its strategic focus in order to occupy a larger market share in China. If not, Zhengzhou Nissan will not be included in the entire adjustment process. In the joint venture camp, in the future, it is very likely that instability will be brought about in the market promotion.As early as July 2001, Nissan considered that “incorporating Zhengzhou Nissan into the new Dongfeng system” from the aspect of cost reduction, when the other two of Zhengzhou Nissan were The shareholders of CITIC Investment and the Zhengzhou government all expressed their agreement, which apparently laid a foundation for the reorganization of Dongfeng Nissan’s Zhengzhou Nissan.Differences in strength and scale between Dongfeng Nissan and Zhengzhou Nissan have made Zhengzhou Nissan’s subordinate status increasingly obvious. From the perspective of the situation, Nissan is the company that most hopes to restructure successfully, and Zhengzhou Nissan is the surviving concern. “The car commentator Zhong Shi commented on this way. The consensus in the industry is that Dongfeng’s integration of Zhengzhou Nissan will be a win-win situation and will be beneficial to all parties. If Zhengzhou Nissan is integrated into Dongfeng Motor, it will build a sound system for Dongfeng Nissan. A competitive product line and a reduction in the cost of capital operations will be extremely beneficial, and Zhengzhou Nissan can also solve the problem of long-suffering technical support and insufficient financial support, and make up for the shortcomings of responding to the scale of fierce competition in the future. "Dongfeng has the advantage of Dongfeng, but in making such a small variety, I think our advantage is even more obvious." In the listing activity of Paladin 3.3LSEV6, the position of Feng Xingya, deputy general manager of Zhengzhou Nissan, shows that Zhengzhou Nissan also clearly sees At this point, Nissan and Dongfeng reached a joint venture agreement after the statement that Nissan will inject its global brand advantage, technical strength, abundant products and unique multifunctional management experience accumulated during the revival process into the new joint venture company. In addition, it will invest 20 billion to 30 billion yen for China before 2006 The development of the product, and all this is urgently needed by Zhengzhou Nissan, once it is incorporated into the Dongfeng system, Zhengzhou Nissan will immediately obtain these resources. Still the trouble begins with the approval of local governments for ultra vires, Zhengzhou Nissan has undergone abnormal formation, companies even For many years, the board of directors has not been opened and the capital has been absent. The appointed chairman of the board of directors is actually only a manager. There are many factors similar to those plaguing Zhengzhou's Nissan. According to the laws of planned economy, such enterprises should not have survived for long. This characteristic also makes the company's managers face an embarrassing situation of being both a boss and a boss, a shareholder and not a shareholder, and a manager and not a manager. The delicate role of Zhengzhou Nissan apparently also plagues its operators. Even the company's specific product production has also been affected. "The company is certainly willing to introduce more models to improve its product line. This is the reason that Zhengzhou's Nissan is the most scarce and the reason why it cannot develop. "Zhengzhou Nissan originally introduced the Nissan pickup truck. In fact, there is a long-term plan that the product and production process of pickup truck is closest to the sedan. We hope that one day we will enter the car production field. However, due to the lack of support from the capital, a product will be produced several times. Years later, the introduction of Paladin, in fact, such products as SUV, as early as in 1998, Zhengzhou Nissan managers have ideas, but also because of delays in the support of the Japanese have been delayed. Even the Paladin's pricing was not the same as the result of repeated interpretation at the beginning of Nissan's unanimous decision. Under such circumstances, the development of daily production capacity in Zhengzhou has indeed penetrated countless people's efforts. "This company can be said It is our step-by-step approach to achieving what we are today. It is not shareholders who have invested in it. The value of today's business is that many people have paid for it with huge sacrifices. When a reporter asked whether the capital would sacrifice the interest of Zhengzhou Nissan to achieve a harmonious interest, Guo Zhenlu believes that the tragedies that occur in others will not repeat itself. What is the law of the market and what needs to be solved? We believe that the government, experts, and employees are all clearly aware of the fact that it is the most powerful tool to convince the employers that "the same products are produced, and some companies invest more than 200 million U.S. dollars, but the project failed. We invested 250 million yuan, and 2002 The annual funds are fully in place. In addition to occupying a high market share, companies can now make profits. Using the market to do such an analogy is illustrative of the problem. However, Guo Zhenlu also expressed euphemistically that if future market development requires integration, Zhengzhou Nissan will also take the initiative to comply. Of course, in this process, the role of the Zhengzhou and Henan provincial governments is also extremely important, just in May, the Zhengzhou municipal government. A series of encouraging policies were also introduced to support the development of Zhengzhou Nissan, which will guide local consumers to use the vehicles produced by the company. For example, pickup trucks without back cover produced in Zhengzhou can also be used in urban areas. Paladin and Nisangpi trucks are Half of the households will be levied on tolls for the expressways around the city, etc. Their attitude will also affect the future direction of Zhengzhou Nissan. The key to all is to seek an integrated model that is acceptable to many people. Our reporter Li Yiming reports from Zhengzhou.

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