Is New Baojun a Joint Venture Car?
1 Answers
New Baojun is not considered a joint venture car; it belongs to domestic vehicles. Introduction to Joint Venture Cars: As the name suggests, joint venture cars are projects jointly established by Chinese and foreign investors. The Chinese side contributes by providing land and factory usage rights, as well as capital, while the foreign investors contribute brands, technology, capital, and talent. Joint venture cars are the products of such collaborations. The foreign party provides technology, talent, and brands for assembly within the country, but the core technology remains under foreign control. Advantages of Joint Venture Cars: Strong brand reputation and competitiveness. Joint venture cars have a long history of development, strong brand recognition, and high competitiveness. Better quality. Domestic cars started late and developed slowly, only recently catching up, but they still lag far behind joint venture cars in terms of engine technology. Joint venture cars have better quality, with mature R&D technology and more experience accumulated over years of development. Higher resale value. Joint venture cars have a broader market due to their better quality and stronger brand recognition, making even used cars more popular in the market. Many consumers prefer buying used joint venture cars over used domestic cars, resulting in higher resale value for joint venture cars.
