The Economic Effects of Supply Chain Management on the Automobile Industries in China

China’s automobile industries had been competitively challenged in recent times. In order to remain competitive relevant in the automobile industries globally, China’s automobile industries had to drive a strategic to channel its automobile production in the right perspective to remain competitive relevant. This led to the launched of a supply chain management by China’s automobile industries. This paper considered the likely positive economic effects of the supply chain management on China’s automobile industries. Firstly, the supply chain tends to open more markets for China’s automotive industries in the ASEAN, EU, and AU regions. Secondly, the supply chain threatens China’s automobile industries control over her local and regional markets from foreign automobile industries as China open their markets for international automobile industries in order to penetrate into foreign automobile markets. That is the supply chain poses a two-sided coin effect on Chain’s automobile industries.
Thirdly, the intention of the China’s automobile industries to developed environmental friendly automobile vehicles (evergreen automobiles) just like their competitors to remain competitive. This paper employed a strategic methodology of comparing the present; China’s automobile industries supply chain management and the intended supply chain management acceptable by the Western’s automobile industries. The sampling of 200 participants of stakeholders that comprised of Western automobile dealers, Western automobile industries representatives, China’s automobile industries representatives, China’s automobile suppliers, EU representatives, and other participants indicated that the posed supply china management has positive economic effects on the China industries.