Abstract
This chapter uses Chery Auto as a case study for the third production model. Chery Auto, a national cars champion, is owned by the local government in Anhui province. In the communist era, Anhui’s role was to assist the industrialization of other areas such as Shanghai by contributing raw materials. When the reform allowed them to pursue their own economic goals, local officials in Anhui, long neglected by central administration, had ambitions plans for industrial projects such as carmaking. Such ventures were officially prohibited, however, by the central authorities, which considered them a threat to the industrial concentration of the national automobile sector; and Chery Auto was finally born as a “local secret” without the central administration being informed. The central–local conflicts and compromises eventually led Chery Auto along the path of making cars independently, without any foreign partners.
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Notes
- 1.
One jin is equal to half a kilogram.
- 2.
Developed as a part of the Great Leap Forward movement (1958–1962), the People’ Communes were rural organizations in China for collectivization of agricultural production.
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Feng, Q. (2018). Chery Auto, Champion of National Brands. In: Variety of Development. Palgrave, Singapore. https://doi.org/10.1007/978-981-10-5912-4_4
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