Raja Irfan Sabir

Evaluating the Innovative Capabilities of Chinese Car Manufacturers Raja Irfan Sabir

From the very beginning of China?s open policy (1980s), MNCs have invested heavily and continue to control the major portion of its automobile market. Due to lack of capital, technology and expertise; most of the domestic car manufacturers depend highly on foreign assistance and are forced into joint ventures and product licensing, making it tougher for them to survive and increase their share in the market which has become the world?s largest consumer market (January, 2009) and to become the world?s largest automobile manufacturer in the year 2014. This work aims at evaluating the innovative capabilities of the Chinese Car Manufacturers in comparison with the other countries?. And, as opposed to the conventional view, our research findings reveal that: (a) The Chinese Car Manufacturers possess innovative capabilities at a satisfactory level; (b) The Chinese Car Manufacturers are equally competitive as their foreign counterparts are; and, (c) Innovation has become the focus of Chinese Car Manufacturers for enhancing their competitiveness and it would be no surprise to see the next generation vehicles coming with a Chinese brand name.