Volvo set up“Chinese Headquarter”

　　The new added executives are announced that the core members of Geely’s Volvo acquisition project team are all on the list. For the first time, Volvo comes up with the concept of China operations. The prototype of headquarter in China appears.

　　Legal Evening Newspaper reported Volvo Auto released the list of new executives on 13th October. Three key figures in the negotiation team of Geely’s Volvo acquisition project, Shen Hui, Tong Zhiyuan and Wang Zhaoxing take up the responsibility as chairman, CEO and president of Volvo Cars China. Geely’s executives take charge of Volvo China operations.

　　With the establishment of Volvo China operations, Volvo makes the processes with full speed to land on domestic manufacture. Volvo will end the history only as an automobile sales company in China. It opens the curtain for Volvo to turn into a “versatile” vehicle manufacturer.

　　It is reported that this will be the prototype of Volvo’s Chinese headquarter in parallel with the Volvo’s headquarter in Sweden in the future.

　　Analysis

　　The reporter goes through these official personnel changes thoroughly and finds out that the concept of “China operations” is raised for the first time. Although the personnel framework has been built up, the report relationship between the executives is not revealed. In addition, it becomes the focus of attention that low-profile “mystery man” Wang Zhaoxing is nominated as president of Volvo China.

　　The reporter has interviewed with many experts of Geely, Volvo and automobile industry, and unveils three major questions for the readers.

　　“China Operations” is raised for the first time and will turn to large-scale local production

　　After Geely completed the separation of Volvo Cars in August, the new president and CEO Steve Jacob proposed the parallel model of dual headquarters in Sweden and China

　　Earlier, the well-known Volvo China Sales Co., Ltd. (hereinafter referred to as Volvo China) is only a regional sales company to sell imported cars and domestic autos manufactured outsourcing by ChangAn factory.

　　According to Public Relation Department of Volvo China, the new established Volvo’s China operations will be the prototype of the future Chinese headquarter of Volvo. Volvo China will be also incorporated into China operations, which will not affect corporate businesses, organization and structure.

　　According to the spokesman of Geely’s Volvo acquisition project Nan Shuyong, along with the development and perfection of the framework of Volvo’s China operations, Volvo has upgraded the structure furthermore and added research and development, purchase and other departments. Volvo will start transforming to provide large-scale local production, research and development, purchase and service.

　　Comment

　　Volvo’s domestic project begins to exert

　　Zhong Shi, senior expert of automobile industry, analyses that Volvo’s domestic project will be the decisive factor for the future sales of Volvo. The European market is limited. The increase of Volvo’s sales will depend all on the domestic Chinese market.

　　After the completion of Volvo Cars’ international team, Volvo’s China operations is now set up with clear personnel structure, and the executives carry out their duties, which means the domestic project of Volvo is starting to make progress with whole speed.

　　Executive’s report relationship is not disclosed. Geely’s executives are dominant in China operations.

　　Among the current listed executives of Volvo’s China operations, Shen Hui, Tong Zhiyuan and Wang Zhaoxing are all core members of Geely’s Volvo acquisition project, who take dominant position among Volvo China’s executives.

　　The headquarter in Sweden is led by Steven Jacob as president and CEO. Wang Zhaoxing and Tong Zhiyuan take on the responsibility of president and CEO in the China operations.

　　But the reporter finds out that Volvo Auto didn’t disclose the report relationship between Wang Zhaoxing, Tong Zhiyuan and the current CEO of Volvo China Dr. Alexander Klose.

　　Comment

　　The rank of president of China operations will be even higher.

　　According to Zhong Shi, Shen Hui will play the role to connect the Chinese and foreign parties in the future, which will link up the “dual headquarters”. Tong Zhiyuan will be in charge of specific matters of Volvo’s China operations with a higher rank. Dr. Alexander Klose is not affected. But with the growth of domestic automobile models, the proportion of imported vehicle business led by Dr. Klose will gradually shrink.

　　Where comes “mystery man” Wang Zhaoxing from?

　　Comparing to Tong Zhiyuan and Shen Hui, who have been frequently exposed in the process of Geely’s Volvo purchase, Wang Zhaoxing, who is suddenly nominated, can be described as the “mystery man”.

　　It may be probably the reason that Wang Zhaoxing is lack of experiences in the automobile industry, who switched into this industry in 2008. Previously, Wang Zhaoxing had served Haier for twenty years, and left ultimately as general manager of Haier Air Conditioner Co. Ltd. for Geely

　　In Wang Zhaoxing’s resume, his position in Geely Group is not released. The media of automobile industry only know he is a member of Geely’s Volvo acquisition team. Other than that is still unknown.

　　Not only the media isn’t aware, but also the number of many executives of Geely said they have not met with him. This “mystery man” is nominated as the president of Volvo’s China operations, after he helped Geely completed the acquisition for Volvo.

　　Comment

　　Wang is the key figure to choose location in the acquisition project.

　　The journalist has crosschecked and found out the clues of this “mystery man”. He is responsible to choose the location of Volvo China’s factory. Before Geely had sufficient funds to purchase Volvo in the early 2009, Wang Zhaoxing had traveled to Zhangjiakou to seek for the factory’s location.

　　Wang Zhaoxing, who has worked in Haier for 20 years, is one of Haier’s founding members, known as the gladiator in the business world. His rich career records and overall abilities convince Li Shufu to arrange him with important tasks. (Jianfei/Keke)

　　See original Chinese report Please click:

　　http://auto.sohu.com/20101015/n275715281.shtml