Thread: Wuyang 五羊-本田摩托(广州)有限公司粤
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#3 Re: Wuyang 五羊-本田摩托(广州)有限公司粤
09-06-2015, 06:58 PM
This demonstrates how slim the profits are in the Chinese market. Honda took the 150 they already have in production and bored it out to 184cc. The bike is likely spirited and it is stylish, also fuel efficient. So they now have a new made in china flagship model and it only moved up slightly. They did what they can with respects to cost to manufacture and what the market will pay for the bikes.
China made people rich but were the industries per unit of production that profitable, I do not see that, I see high volumes and low unit margins. Sometimes the margins went negative and some loans were used to cover the cost to keep operating and also stocks were sold to do the same.
Honda uses real numbers and the prices of their offering are real market prices, they represent covering all real costs with full support and a profit per unit that encourages investment by shareholders.
I would not expect any new real growth in production out of china, I would expect inflation and a overhaul of many industries.
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