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Everything different. Everything new.

Seize opportunities in Changchun

A German car manufacturer wants to produce and sell particularly affordable cars on the Chinese market. A good idea, because the budget segment there is booming. But how do you successfully enter this market with its own laws? With the help of an expert.

A new brand, with new cars, in a new country: more than a challenge for an established company with established structures and an established network.

 

Does all this count in China? Or should the all-new principle be applied?

 

The automotive giant is taking the plunge. But not alone. Niels Schumann is appointed to a leading position in a project team tasked with founding the new company in China, which also includes production and its own dealer network.

He brings with him the entrepreneurial experience and cultural understanding to make an immediate, targeted start in China. Everything has to be created from scratch. Corporate rules and processes that are successful in good old Europe can and must be scrutinised here.

A new company with its own organisation and structures is being developed from scratch as a team. The only anchor: a joint venture with a Chinese OEM - a state-owned company.

 

This does not make the challenge any smaller:

The operational set-up of the project house in Changchun, from the organisation, processes and ramp-up planning to the form of cooperation with the state-owned company, is the subject of intensive negotiations. Niels Schumann has to deal with political influences and be flexible and spontaneous in the fast-moving Chinese automotive market. Ultimately, he has to assert the interests of the German client.

But with perseverance, consistency and the necessary sensitivity, great things are created:

The project team of more than 100 employees will gradually be joined by 3,000 people in China. Stakeholders in Germany, Beijing, Changchun and in the new brand organisation will be informed at close intervals.
 

There is a lot to report and manage: the premises in the project change frequently. From the legal set-up, to the choice of location with all its effects on production costs, personnel, procurement and logistics, through to changing customer requirements. For example, the originally planned notchback suddenly becomes an SUV.

But out of all the uncertainty and pressure comes security and relief:

 

Successful market entry:

The new automotive brand in the new vehicle segment in China is established. Sales increase. A significant contribution is made to the domestic Group's earnings.

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