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Yutong: Quality Makes Brand, Brand Creates Brilliance

26-12-2006

In the 21st century, brand will out of question be a significant propeller for the value development of an enterprise. The brand resource has already been recognized not only as the fifth enterprise resource as well as human resources, commodity, capital and information, but also as the external expression of the key enterprise competitive power.

The third Chinese Brand Annual Awards of 2006, solely established by World Brand Lad, was announced grandly on Dec.24th. The lead of China's bus industry--Yutong Bus again continued to hold a title of the award selected by World Brand Lab, then what made the success

The key reason for Yutong to win such a laurel lies on the word "system". In the bus industry of China, Yutong's "system ability" is obvious to all. Such "system ability", which integrates various resources, assures "zero flaw" of every Yutong bus. In order to reach this target, Yutong spends 4% of its sales amount on the research and development to upgrade its product design level; established the first Postdoctoral Working Station and the only state-level Technology Center in the bus industry of China, employing the aviation three-dimension design software CATIA to make the research and development on the complete bus; and also established the only one and the state first-level full automatic complete bus test line in China.

Nevertheless, it's easy to guarantee the high quality at a time, but difficult to keep it at all times. There's a strange phenomenon in China enterprise---easy to win the glory and also easy to get dizzy with success, losing its own name at last. The theory "Durability is Gold" initiated for the domestic market of China by Yutong, is just for the maintenance of the high quality continuously. In 2005, Yutong issued the brand manifesto "Durability is Gold". What supports the manifesto is the huge "system" built by human resources, the management system, enterprise culture, technical strength, technique level and the advanced equipment. It's a system running through the whole process of the design and development of buses, the receipt of orders, the purchase of raw materials and parts and components, manufacture and the delivery of products. For thousands upon thousands of consumers of Yutong buses, this system is invisible and untouchable. But just because of this invisibility and untouchability, this system can assure the durable quality of Yutong buses and makes Yutong company "the Leading Enterprise" and "China No.1 Bus Brand" in China bus industry.

"Durability is Gold" is the brand recreation of Yutong buses, which not only has a sweeping brand influence in the domestic market, but also, more importantly, has recreated the rebirth and theory of China Bus Industry in the oversea market.

It's traditionally believed that, for the bus industry, technology is in Europe while market is in China. Therefore, "exchange market for technology" has become the universal way applied by Chinese enterprises. But Yutong stems against this argument, sticking to self-dependent innovation and developing technology with proprietary intellectual property rights and proprietary brand, and finally winning the great situation of "exchange technology for market". In Apr. 2005, Yutong and Cuba signed an export order for buses of the largest quantity and the highest value in China's history, with the export buses of 400 units and a large sum of RMB240million; in Sep. 2005, an export order of 1000 buses was signed between Yutong and Iran; in Oct. 2005, 630 more Yutong buses were exported to Cuba, with the sum of USD50 million; and again in this month, another agreement of exporting 1000 Yutong buses was signed with Iran. In 2005, a total of 2400 Yutong buses were exported, with the total contract value up to USD150 million, exceeding 75% of the share in the bus export industry, which makes Yutong the worthy lead in this industry. Now, Yutong buses have been sold to nearly 30 countries and regions all over the world such as America, CIS (Common wealth of Independent States), Africa, Middle East and South Asia.

Yutong has won a rich harvest both at home and abroad, making the insiders evaluate that when the domestic market was fully open to the world, Yutong has gradually extruded the world-famous brand buses like Benz, Volvo from China's bus market; and basically without state special policy to support it, Yutong has firmly and progressively become large and strong in the oversea market.



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