The competitive landscape of the new energy vehicle industry from the perspective of price reduction

The competition in the automotive industry has been quite fierce recently, and the industry structure has been quietly changing.
Previously, BYD significantly reduced the price of its entire series, officially announcing that the Ocean Intelligent Driving Edition series would start at 55,800 yuan, and the Dynasty Intelligent Driving Edition would start at 63,800 yuan. After the price reduction was announced, a large number of car companies announced to follow up.
Later, at the Auto Pioneer Conference on May 31, Yu Chengdong pointed out in his speech: “Companies from other industries only make one car a year and it sells out. Although his products are not so good, they have sold out very well. Our products are better than his, with good quality experience and good performance, and good in all aspects, but you can’t sell them as well as him, you can’t even sell a fraction of his, because he has strong brand power and strong marketing capabilities, so he can sell a product with just one product.
First of all, the competition in the new energy vehicle market is very fierce. On the one hand, there is the old camp headed by traditional fuel vehicles, and on the other hand, there is the new camp headed by Internet car manufacturing. The competition between the two sides is extremely fierce, and each has its own advantages. From the perspective of the competition pattern, some car companies take the high cost-effective route, and some car companies take the core route. Technical route, but no matter which route, having a good user experience is the first choice. Always put users first and let users have the ultimate experience is what all car companies need to consider most at the moment.
Secondly, let’s talk about BYD’s price reduction. Behind the price reduction is actually the support of core technologies, such as blade battery technology, super hybrid technology, body integration technology, Yi Sifang technology, Yunniang technology, universal assisted intelligent driving, two-way inverter charging and discharging technology, full-domain 1000V high-voltage architecture, etc. It is precisely with the support of these core technologies that the confidence of price reduction is created. BYD’s price reduction this time has a lot to do with the annual sales target of 5.5 million. In different environments, price reduction is always an important means to maintain competitiveness and increase market share. It is an important way to increase sales, and high cost performance is always the first consideration of customers. Therefore, improving one’s own core technology is the only way for every car company. Only when the technical level is improved can they have a say in the market and dominate the market.
Next, let’s talk about Yu Chengdong’s speech. Looking at Yu Chengdong, he used to look down on Samsung and Apple when he was selling mobile phones. He often talked about Huawei’s mobile phones surpassing Samsung and Apple in public, thereby attracting strong traffic. Facts have proved that he did it. Not only did he win traffic, but he also won the market share of mobile phones. If it were not for chip sanctions, Huawei’s mobile phones would have already topped the world. This time, he implied other car companies in front of many media. The same is true. It not only won popularity, but also proved that car companies supported by Huawei technology are The industry is unique in the automotive industry. I personally think that it is very honest to say what you want to say in public, which is better than talking about others’ shortcomings behind their backs. As for whether it is right or wrong, everyone has their own comments.
Finally, the facts have proved that any industry has core technology is the embodiment of strength. Empty talk will only harm the country, and hard work can make the country prosperous. Sometimes we have no strength and complain about others’ accusations, and we also want to be quick-witted. I personally think that in this era of high-tech development, traffic is important, but a company’s core technology is definitely more important than traffic. Therefore, the iron must be hard, and it is always the most important to cultivate internal strength and improve one’s core technology. Deeply understanding customer needs, paying attention to the quality of their own products, and improving customer service are the top priorities of every company.