Overall demand for vehicles in China is expected to fall to 12 percent annual growth, however, due to a continued glut of vehicles. Many producers have routinely slashed prices to remain competitive and attract new customers as the government has created credit restrictions to slow the industryĂs over-investment (˘GM defies slump in China's car market÷). Since the HEV represents a completely different type of car than ChinaĂs current market has, this bad news may not necessarily extend to our enterprise. A glut of traditional vehicles may actually spur some interest toward the new hybrid vehicles, which are more economical to run. Some of the sources of financing for the project, such as the Asian Development Bank or the International Finance Corporation may have inside information on the feasibility of the project (˘Sources of Financing and Loan Guarantees for projects in China÷).
China Joins the Global Economy¨Part Two. Global Envision Website. Retrieved on August 4, 2005, from: http://www.globalenvision.org/library/3/542/
E-business Giant Favors Chinese Market. China.org.cn Website. Retrieved on August 4, 2005, from: http://www.china.org.cn/english/BAT/134136.htm
GM Defies Slump in China's Car Market. (2005). 10 Years Business Report. Retrieved on August 4, 2005, from:http://www.busrep.co.za/index.php?fArticleId=2614347&fSectionId=604&fSetId=304
Sources of Financing and Loan Guarantees for projects in China. Globe-Net Website. Retrieved on August 4, 2005, from:http://www.globe-net.ca/documents/china_sources_of_financing.pdf
Xing, W.W.J. Shifting Gears. (1998). The China Business Review. Retrieved on August 4, 2005, from: http://www.chinabusinessreview.com/public/9711/xing.html