Abstract:

This paper develops an automobile dealer distribution model taking into consideration the unbalance in economic base and comprehensive strength among the 266 regional major cities in China. Using the different automobile-consumption policy orientation and automobile dealer distribution among competitors as independent variables, and the current customer distribution of one automobile brand/model as the dependent variable, the paper builds a regression model to forecast the rationale consumption potential distribution of a specific automobile brand/model customer distribution among 266 regional major cities. This model provides automakers with a base to plan their dealer channel. The key innovation of this model is to establish an automobile-related economic index for the 266 regional major cities that account for more than 90% of China's economic base. This paper uses the car market as a showcase. Moreover, the main theme of the model could extend to SUV dealer distribution, and even to similar research in other automobile markets overseas.