Rising from Adversity and Innovation in Development: Record of Development of Dongfeng Company's Self-owned Brand


Facing the “micro-growth” era of the auto industry, Dongfeng Company, which has more than 40 years of experience in automakers, has comprehensively intensified its independent innovation efforts, vigorously promoted the “large autonomy, large synergy, and large-scale development” strategy and embarked on a “rise from adversity,” "Innovation in development" is a new path for independent development.


Since the beginning of this year, Dongfeng’s self-owned brands have risen in contradiction in the continuing sluggish domestic and international markets. The sales of self-owned passenger car products have increased significantly and have become Dongfeng’s new engine for future growth. From January to October, Dongfeng Fengshen’s sales increased by 116%, and Dongfeng Liuqi’s sales increased by 43%.


Dongfeng Path: Strengthen Independent R&D to Realize Brand Innovation


In 2011, Dongfeng Motors' auto production and sales exceeded 3 million vehicles, ranking second in the industry, among which commercial vehicles ranked first in the industry and ranked first in the world. This year, Dongfeng Company ranked the 145th among the world's top 500 companies and the 2nd place among the top 500 Chinese manufacturing companies.


“This is the result of Dongfeng’s continuous expansion and expansion based on independent innovation.” Zhu Fushou, general manager of Dongfeng Company, said, “Independent, innovative and independent innovation is the cornerstone of Dongfeng’s sustainable development.”


In the late 1990s, Dongfeng Corporation once suffered from the pain caused by the economic transition and fell into a development dilemma. However, even at a difficult time of operation, Dongfeng did not stop the pace of innovation, decisively entered the light vehicle market, successfully developed 3 tons and 1.5 tons of light vehicle products, led to the reform of the light vehicle business listing.


In the new century, Dongfeng Corporation has strengthened its technology upgrading through joint ventures and reorganization. It has continuously introduced, digested, and absorbed key technologies such as engines, and has developed a new generation of medium- and heavy-duty commercial vehicles.


At present, the total sales volume of Dongfeng Commercial Vehicles ranks first in the domestic market, and sales volume of medium and heavy trucks also ranks first in the world. It successfully achieves the “China's No. 1” and “World No. 3” target of Dongfeng Commercial Vehicles.


Dongfeng Model: Integrate Global Resources to Improve Innovation Capabilities


By integrating global resources and enhancing innovation capabilities, Dongfeng Corporation has formed its own unique development model in the process of independent innovation. In October of this year, Dongfeng Corporation and the German company Gertrak International implemented a strategic cooperation to form a joint venture to form the East-style Traktor Transmission Co., Ltd., and to build Dongfeng’s first gearbox overseas R&D and production base.


“Development in integration and cooperation in the competition.” In recent years, Dongfeng has been reviewing the situation, seizing the strategic opportunities for cross-border cooperation, integrating international and domestic resources through joint venture restructuring, and achieving rapid development for independent brands on the basis of achieving win-win results both at home and abroad. Won the market opportunities.


From Shiyan to Xiangyang, Wuhan, and Huadu, Guangzhou, after a series of strategic reorganizations, Dongfeng successfully achieved a “triple jump”, not only from a traditional state-owned enterprise in a deep valley, but also into an internationalization based on Hubei and the entire country. Auto Group has also built a self-developed system with independent brand construction as its core and a relatively complete self-development system, which has formed an independent independent brand vehicle development capability.


Zhang Jiandong, director of the New Technology Center, told reporters that Dongfeng Company invested more than 700 million yuan to build a new technology center, undertook the research and development of self-owned brand passenger vehicles, off-road vehicles, new energy vehicles and related assemblies. Currently, it has advanced models at home and abroad. The R&D facilities for design, automotive electronics testing, engine testing, trial production positions, and material craft positions can simultaneously carry out design and development of six product platforms and three engine platforms and simultaneous development of suppliers.


Dongfeng phenomenon: strengthening its own brand to promote international strategy


Speaking of the autonomous development of passenger cars, Zhu Fushou believed that Dongfeng “had a big morning and had a late set”. Due to the late start of independent research and development of passenger vehicles, and the low degree of concern for the development of commercial vehicles, coupled with the strong development of joint venture brands, Dongfeng's development of independent brands was once questioned.


However, with the advent of the "micro-growth" era, Dongfeng's own brand has risen to the fore and has created a stimulating "wind phenomenon" in the industry. It is estimated that by the end of this year, the sales of Dongfeng's own brand products will reach 1.13 million. Among them, the sales of commercial vehicles can exceed 600,000 and continue to rank first in the industry.


With the initiative of own brands to quickly seize the domestic market, Dongfeng’s current strategy of “big-owned brands” has begun to complete its layout on the Third World War.


As the main battle line, the fully-autonomous Dongfeng brand is expected to reach 1.2 million units by 2016; the Greater China brand, which is cooperating with Taiwan Yulon, is currently on the market and plans to achieve sales of 200,000 units in 2016; Dongfeng Nissan, Shenlong, The self-owned brands of Dongfeng Honda and other joint ventures will reach 400,000 sales in 2016.


At present, Dongfeng has introduced four series of more than 10 models of its own branded products to the market, and overseas exports have also formed a scale of 4,000 vehicles. In the first 10 months of this year, Dongfeng's own-brand vehicles have achieved a cumulative sales of 915,900 vehicles.



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