Chinese Car News Agency Evaluation: No Winners in Price Wars

The article states that we must clearly recognize that disorderly "price wars" are not beneficial for industry companies to achieve high quality and sustainable development, and they deviate from the original intention of developing new productive forces. Whether it is the vehicle companies themselves, the participants in the industry chain, supply chain, or consumers, they will eventually bear the consequences of and suffer from the "price war". Undoubtedly, "price wars" and disordered "internecine" competition are stumbling blocks that must be kicked out on the path of China's automotive industry transformation from being big to being strong! In a market economy situation, competition is necessary, it is a natural requirement and important manifestation of survival of the fittest for companies. The rise of China's automotive industry is the result of the joint efforts of policy guidance and market mechanisms. Opposing "price wars" is by no means opposing competition, including price competition. We advocate value competition, while also acknowledging that price competition is still a basic means of implementing value competition. However, disorderly "price wars" and normal price competition are two different things. We do not view all price discounts as "vicious internecine competition" or as "price wars", but there are basic criteria for differentiation, which even largely rely on industry consensus and public consensus! Once this consensus is disrupted, opposition to "internecine competition" and "price wars" will become a new consensus among everyone!