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Unknown MG Fan asks: NAC MG, Sucess or failure? Part 2

In the last section we saw that the current customers of NAC MG appear to be very satisfied with their purchases resulting, if you can believe the survey, in an amazing 98% customer satisfaction score, however to claim a real success, they also need to have achieved their aims and before judging if their aims have been achieved we need to take a look at what those aims were. In this section we will take a look at the history leading up to the purchase of MG by NAC and then in the following section we will take a look into why the purchase was made and what those aims where.

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Continue reading ‘Unknown MG Fan asks: NAC MG, Sucess or failure? Part 2′

Unknown MG Fan asks: MG, Sucess or failure?

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With NAC MG having recently been sold off to SAIC some people are claiming that NAC has failed, others, including the majority of the Chinese media suggest that NAC’s MG experience has been a great success. So which view is correct? The answer is rather complicated and made even more complex by the fact that NAC and SAIC themselves describe the event as “Integrated Cooperation” instead of a takeover and in fact “Takeover” is clearly wrong as part of the agreement involves setting up a joint venture company with NAC owing 25% - clearly NAC must still exist! The following series of articles will present some of the facts and try to dispel some of the myths…

Starting on a positive note, recently I was reading an article on the automobile industry web site www.HC360.com analyzing the results of a survey into NAC MG’s car sales. Despite the recent sell out they were still using words like “Astonishing success”! After reading some of the articles in the western press this may seem rather strange but looking at the figures presented it is hard to argue, the figures speak for themselves.

Apparently when asked if they were satisfied with their newly purchased MG, 98% had said “Yes”, an amazing figure for an established company but for a brand new company building its first car in a brand new factory with new workers is truly remarkable. OK it is an established, proven design using existing components but most of those components are being sourced from new far eastern suppliers and many of the remaining components are now being produced in their suppliers far eastern factories rather than from their previous sources. I guess a reasonable comparison would be with the same figure for the Roewe 750 which in a separate survey achieved a still respectable figure of 77.5%.

Maybe even more amazing, when asked if they would recommend the purchase of an MG7 to their friends 96% had committed to a “Yes” answer. It is often said that in China the main reason for people to choose a particular car is down to recommendation from friends and family, clearly NAC MG have achieved a major success on this particular target.

Finally in the article was an analysis of what type of people had bought the cars. Not surprisingly, since in China the average person can’t actually afford any type of car, they were bought by “higher income business owners, civil servants, white-collar workers, professionals and executives” - often the sort of people most difficult to satisfy!

The conclusion from the article - an exemplary performance from MG in 2007 and confidence of a high performance and more surprises in 2008.




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