China - Facing the real challenges

The automobile industry is driven by four megatrends- clean power, safe & intelligent driving and the need for affordable cars. With different characteristics, these megatrends are applicable to the Chinese market as well. But the framework of the Chinese market is extremely manifold, marked by dynamic changes. One essential element is the fragmented automotive industry. There are many local OEMs with small-series car platforms. Drawing on the example of a body control unit, it can be shown how a cost-efficient electronic control unit can be developed. The described unit has very flexible and scalable functionalities and is able to cover a very big range of different model lines. With an intelligent platform approach, additional functionalities for comfort, safety and 'green' driving can easily be implemented. Besides the low-cost approach, experience gathered on the local market shows that the expectation of finding new technology in the car has to be answered as well. The area of telematics and the integration of consumer devices can be considered as very suitable. In these areas the market's dynamic change is very evident. A prerequisite here is not only to completely understand the products and systems involved, but also to be able to supply a system of this order. Also areas outside the vehicle (e.g. servicing or provider services) have to be covered to an ever greater extent so as to be able to offer customers fast and comprehensive solutions. To deal with this challenge, non-local companies are in urgent need of local experts, in addition to expertise in their own development headquarters. Hiring an adequate number of experts of this caliber is difficult. Holding onto them over a longer period of time is an even greater challenge for the company.