According to the financial industry on April 1, SAIC's annual financial report shows that in fiscal year 2023, SAIC's net profit attributable to shareholders of listed companies will be 14.11 billion yuan, a year-on-year decrease of 12.48%.
And this is not the first time that SAIC's net profit has declined, in 2022, SAIC's net profit attributable to the parent company will be 16.118 billion yuan, a year-on-year decrease of 34.30%. SAIC did not give a clear explanation for the decline in net profit for two consecutive years.
Many media have reported the news one after another, which has aroused great attention and heated discussions among netizens.
The most liked netizen commented: SAIC used to lie down and count the money, and it was soft to count, and it was originally to lead the development of domestic automobiles, but the comprador could only be a comprador as a result.
It is worth mentioning that four years ago, Chen Hong, chairman of SAIC, said: "SAIC wants to take its soul into its own hands, and it is unacceptable to cooperate with a third-party company like Huawei for autonomous driving." In this way, it becomes the soul and SAIC becomes the body. ”
I don't know whether the soul is in my own hands, or in the hands of Volkswagen and GM America.
Some netizens said bluntly: The comprador has no future!
As netizens said, independent research and development is indeed very important to the development of a country or enterprise, and relying on other people's technologies and products may limit our ability to innovate, and ultimately limit our competitiveness in the market.
Some netizens commented: Why do you always pay attention to the decline in profits of SAIC, FAW, BAIC, Dongfeng, GAC, Chery, etc. are all profit growth?
With the rise of domestic brands and full competition in the market, the days of joint venture car companies lying down to make money are gone, which is the inevitable result of the market economy.
To get back to the point, in recent years, with the rise of excellent domestic brand car companies such as BYD, the share of joint venture car brand car companies in the Chinese market has gradually been squeezed, and profits have also shown a downward trend.
We need to realize that this phenomenon is indeed an inevitable consequence of a market economy. The fundamental feature of the market economy is competition, which drives innovation and efficiency. Through continuous efforts and technological progress, domestic brand car companies have provided product quality and configuration comparable to that of joint venture car brand car companies, and have certain advantages in price. This has made consumers willing to try to buy domestic brand vehicles, thus squeezing the market share of joint venture brand car companies.
There is no doubt that the rise of domestic brand car companies is indeed a good thing for the entire automotive industry and consumers. This kind of competition has forced car companies to continuously improve product quality and service levels to attract consumers' attention and choice. This market competition has also prompted joint venture automakers to carry out self-reflection and reform to maintain their competitiveness. In addition, the rise of domestic brand car companies has also brought more affordable options, allowing consumers to have more choices when buying a car.
Of course, we should also be soberly aware of the problems and challenges that exist in this process. The reduction in the market share of joint venture automakers may have a certain impact on their profitability, which may affect their R&D capabilities and innovation potential.
In addition, although domestic brand car companies have made great progress in technology and branding, they still have shortcomings in brand recognition and market reputation. This requires domestic brand car companies to increase brand building and marketing efforts to enhance their image and value in the minds of consumers.
In short, the rise of domestic brand car companies under the market economy is indeed an inevitable result of market competition. It has had a positive impact on the entire automotive industry and consumers, prompting car companies to continuously improve product quality, service levels and cost performance.
This is both a challenge and an opportunity, and Chinese automakers will continue to innovate and enhance their brand image to achieve sustainable development.
Competition in the market economy is a double-edged sword, and only in a healthy competitive environment can the development and progress of the industry be promoted.