Despite a population of only 81.799 million, Germany has created a GDP of 3.7935 million U.S. dollars per capita. In the financial crisis, the country’s stable fiscal and monetary system and indestructible manufacturing industries have made it the most important pillar country in Europe.

In the small town of Bruges, a cultural city in the northwest of Belgium, there is a Chinese-run shop that displays a wide range of European consumer goods: large items such as cutlery and lacquerware, porcelain and wooden souvenirs. Soap and a bottle opener, the total number is not less than 100 species.

What impressed the Chinese-American boss was that in recent years, Chinese tourists usually bought durable, iron pans, multi-purpose knives, and other German goods that supported more than 50% of sales in the entire store.

This is a small fragment of German favor. Despite a population of only 81.799 million, Germany has created a GDP of 3.7935 million U.S. dollars per capita. In the financial crisis, the country’s stable fiscal and monetary system and indestructible manufacturing industries have made it the most important pillar country in Europe.

German strategy of German giants In the top ten foreign-invested Chinese enterprises in 2010, the German public took three seats: FAW Volkswagen Automotive Co., Ltd., Shanghai SAIC Volkswagen Sales Co., Ltd., and Shanghai Volkswagen Automotive Co., Ltd. And Yangzi Petrochemical-BASF Co., Ltd. (hereinafter referred to as “Yumba Petrochemical”), Siemens, Mercedes-Benz, Krupp, Bosch, United Automotive Electronics, Bayer, LANXESS, Schaeffler and other companies are also Germany's famous foreign-invested enterprise. Many German companies are among the best in the list, and they have a direct relationship with the early strategy of the Chinese market.

He Deman, chairman of the Management Group of LANXESS Group, said in an interview with China Business News that “An important aspect of our strategy is to focus on China and strengthen its long-term asset base in these emerging markets. It turns out that this is also Correctly, because China first recovered from the financial crisis, by 2012, more than 38% of LANXESS' capital expenditures will be invested in Asia and Latin America, compared to less than 20% in 2005."

To grasp market opportunities in China, it is necessary to transfer technology and share results.

At the beginning of its cooperation with Hangzhou Steam Turbine Plant, Siemens transferred turbine manufacturing technology and trained technicians to the plant. When BASF invested in China, it also transferred technology including STI rubber latex, leather, textile auxiliaries, non-polymeric, oligomers, and polymerization additives.

It is also impossible to bet on a product and a factory for the firm determination of the Chinese market.

In the 1980s, although Volkswagen had Shanghai Auto, it still went north to Changchun and signed the Audi 100 production plan with the other party. This risk-taking decision not only allowed the Chinese auto industry to establish factories in the north and south, but also dispersed the investment risk of Volkswagen in China. Carl Hahn, the former president of Volkswagen, said that he did not understand why he had come to China after a lapse of 20 years.

In the 1990s, Siemens chose to establish offices in Shanghai, Shenzhen, Shenyang, Chongqing, Jinan, and Changsha and Xi’an. In addition, Siemens established four operating companies in 1998. The business areas include freight and passenger locomotives. Power transmission, training and trade, and the establishment of Siemens Building Technology Co., Ltd.

The German company that produces the core parts and components can win praise. Apart from being willing to invest in the local area, the more important thing is that it pays attention to quality and is willing to cooperate and share.

After entering into a partnership with China, Volkswagen has introduced German spare parts companies on the one hand, and has quickly established local training workshops and expanded training staff and hired Chinese engineers as assistants for production managers. These engineers and technicians subsequently formed the backbone of the Chinese automobile industry.

The German manufacturing industry has one characteristic, which is both large and medium-sized companies. However, even a medium-sized product requires superior products.

Although Dorman, Voss and other companies engaged in glass curtain wall, hinges, bolts and other inconspicuous industries, but its quality is still one of the best. Although Chinese products are accepted by the world with high quality and low price, many customers still choose to use German goods because of their durability, robustness, and superior quality. This made German companies completely free from low-price wars, allowing consumers to pay premiums, and companies seeking more profits.

In the process of China's rise, Germany did not miss the opportunity to sell its own products.

For example, some of Shanghai Electric's core components such as steam turbines come from Germany, and the blades and vane materials used in large domestically-made wind turbines also need to be imported from Germany. Siemens, Bosch, Schaeffler, BASF, these companies are major exporters to China. Hermann Simon, the management consulting guru, sums up the classics: “China may be the 'world factory', but German companies are making 'world factories'.”

In addition to providing products, it is necessary to make things that meet the Chinese market.

In the process of upgrading the Santana model, Volkswagen aimed at the needs of Chinese customers to widen the rear door, extend the footrest space, and extend the wheelbase to make the rear space more spacious. In order to satisfy the Chinese people's habit of frequently honking the speaker, the company also deliberately improved the technology to make the speaker device more durable.

Since Chinese customers have certain requirements on costs, when Bosch developed a dual-rail system, Bosch eliminated some high-end technologies and tailored it to domestic passenger cars and light commercial vehicles to help vehicles meet national IV emission standards. .

LANXESS launched its own polyamide products in the shortest possible time in order to meet the market's demand for lightweight automotive bodies, and thus applied to the body parts of Audi vehicles. This application not only increases the strength but also reduces the weight of up to 50% of certain body structural components.