Research on the Development of Automotive Industry

Abstract

Since the policy of reform and opening up, China's economic has take-off rapidly. All walks of life has been flourishing, where the automotive industry was particularly notable. Car has changed from luxury goods to a necessity of life. Automotive industry chain is very long, involving a variety of industries, so the development of the automotive industry plays an important role in promoting China's economic. In this paper, I think the healthy development of the automotive industry involves three aspects. Firstly, the products should meet the needs of consumers. Secondly, consumers have the ability to buy. Thirdly, supporting the construction of appropriate facilities. I hope this paper can guide the development of the automotive industry. Introduction The automotive industry is a high input and high output industry,involving a very long industry chain.It has become an important pillar of China's economic development.The upstream industry chain of automobile industries includes steel, rubber, machinery, glass, nonferrous metals, etc.The downstream industry chain, includes maintenance, insurance claims, logistics, road construction, and so on.In addition, there are automobile after markets, including the supply of auto parts, hairdressing for cars, traveling with cars, motels and gas stations.The development of the automotive industry can promote the development of petroleum, steel, rubber, chemical and other related industries. All in all, In the case of the current per capita consumption of cars is much lower than the level of foreign cars, and should vigorously promote the development of the automotive industry. The healthy development of the automotive industry involves three aspects. The products should meet the needs of consumers.Any products only meet consumer demand, can they have the market.While,there is a gap between goods or services provided by enterprises and what the consumers expecting to get.We call it the demand gap.How to make products meet consumer demand? We can refer to the Service Quality Gap Model.Service quality gap model is proposed by well-known scholars Berry and Parasuraman in 1985, the model reveals the process and why of a demand gap. From the service quality gap model, it can be seen: the consumer has his own standards of service before his consumption.The next is the enterprises perception of customer’s standards of service expectations.Due to the inaccurate interpretation of standards or managers know gap and other reasons, results in the appearance of gap one. Then is the service marketing design activities.Due to the work ability and a variety of subjective and objective factors, standards and services designed by enterprises don’t match the consumer expectations, which led to the emergence of gap two. Next is the service delivery process.Due to the inevitable gap between behavior and standards, hence there is the gap three. There is a gap between service delivery and communication between enterprises and customers, leading to the gap four. In fact, throughout the consumption process, every step may have gaps.If we use mathematical expressions to represent the relationship between the demand gap and the four gaps.I think it should be: Demand gap ≧ gap one+gap two+gap three+gap four International Conference on Intelligent Systems Research and Mechatronics Engineering (ISRME 2015) © 2015. The authors Published by Atlantis Press 1535 Fig. 1 Service quality gap model Quality service model helps us understand the formation of the demand gap well. Therefore, enterprises should pay attention to every aspect of marketing.Companies should improve communication skills of the marketing staff and increase research and development. Besides, companies should also improve technology and the quality of service, trying to minimize the demand gap. Consumers have the ability to buy.Purchasing power of consumers not only in relation to the economic development but also in relation to the income level of people. Besides, companies should also reduce costs and lower prices. Automotive industry and economic development influence each other. Undoubtedly, the development of the automotive industry will promote the development of economy. In turn, economic development can lead to increased spending power of the people, so that it will promote the development of the automotive industry, forming a virtuous circle. The following table is the statistics of China's GDP and private car ownership for the past decade. Table 1 Statistics of China's GDP and private car ownership Year 2004 2005 2006 2007 2008 GDP (billion) 15,987.834 18,493.737 21,631.443 26,581.031 31,404.543 Number of private cars(thousand) 14,816.6 18,480.7 23,333.2 28,762.2 35,013.9 Year 2009 201