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As a result, non-Chinese OEM’s are fighting for
capacity and relationship with domestic car makers in order to get their brand established first.
Ford - Changan Automotive Group
GM - Shanghai Automotive Industry Corp. (SAIC)
Chrysler - Chery Automobile Co.
Fiat - Nanjing Automobile/ Chery Automobile Co.
Behind the background of a stagnating US economy, we want to analyze the advantages and
disadvantages of a Leader in(to) the Chinese car market.
The Leaders (Dis) Advantage [Coughlan, P.J., HBS, 2002]
First mover advantages First mover disadvantages
Economies of scales & scope: high volume, same
platform for multiple cars - Dodge Caravan, Chrysler
Demand Uncertainty: While projections are
good – they are still projections...
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