Strategic Adjustment
In New York known as world financial centre, the huge electronic screen of Reuters on Times Square twinkles day and night. This news window, famous for its quick report of important events from all continents of the world, attracts attention from the world business circle. Any small business opportunity can be detected. It is here that AGF racing car shows up and information of Sepang competition has been broadcast for a whole day.
Thinking carefully, arrangement of AGF match at Sepang was revealed last year by the organizing committee after the final competition in Shanghai, but the planning can be traced back to the time when the AGF was initially established. As early as in 2004, Zhejiang Geely Group and FASC signed a cooperation agreement that FASC shall host the races while Geely shall provide the racing cars, positioning the race as Asia Pacific campaign. According to relative official of the Organizing Committee, “the mature state of AGF shall be half of the race held in China and half held outside China. In fact, this is a strategy “feasible to progress and withdraw”. This time AGF trip to Malaysia is apparently an adjustment in strategy.
Build solid basis, Accumulate extensive backup and Slow down the speed to take the lead AGF was established at Beijing Golden Port in October 2006. 2006 AGF and 2007 AGF races were its initial stages, during which it was at defensive status, focusing on building the basis solid. From the first match at Beijing Golden Port where racers were insufficient and the racing team in the match was temporarily pieced together to now when each training class is crowded with racers and people enrolled at the each station largely exceed the limit; from initial onsite watch-and-wait sponsors to today’s loyal partners guided under win-win mode, both parties have carried out cooperation at deeper levels. It seems that AGF has passed the toddling stage. As the Chinese enterprises explore for globalization, there has been a famous policy composed of 9 Chinese characters, meaning “to build solid basis, accumulate extensive backup and slow down the speed to take the lead.” AGF’s influence in the world cannot be said to have arrived at the position of “a king”, but its strong force of development and step-by-step attitude have meet the basic conditions of “solid basis and extensive accumulation”.
“Mind relief” for formula racing cars.
In China, AGF has been reputed. Competition at each station is so spectacular that it is called as one of “the three greatest motor fields in China” by the industry. Close cooperation between FASC and Geely Auto is a “mind relief” to this event. At least it no longer needs to worry about the racing cars. “We have to sharpen our edge to succeed.” In Beijing Auto Show held in April 2008, Geely Auto again unveiled a latest developed formula car of higher grade, which was reported to close to F1 in overall performances and be dedicated for AGF events. When the racing cars are decided, all other questions shall be solved easily.
An important part of quality of auto sports is research and development of racing car and exhibition of its performances, which is a matter of exhibiting automotive manufacturing level. In China, Geely may be the only manufacturer at present that is engaged in manufacturing of formula car. Though cost for the research and development is huge, Geely has tasted the sweet in fully supporting AGF events in these years. Support for this kind of high-end auto events has played an important role in its strategic transformation from “manufacturing excellent cars affordable to common people and making Geely cars to run all over the world” to “manufacturing the safest, most energy-saving and environment protective cars and making Geely cars to run all over the world”. In such a change, high-end racing events are significant to upgrading its brand culture.
“Mind relief” provided by technical supporter for the racing events can eliminate the worries that the event operating party had have.
Opportunity, condition and popularity
During the match at Sepang, the organizing committee made use of 2008 Beijing Olympics to build up the atmosphere. At the day of final competition, Five-star red flag and the Beijing Olympic flag floated everywhere along Sepang Circuit, which caused the media and audience on the side to think of transmission of the Olympic Flame in Kuala Lumpur 20 days ago. Besides, people found that there are similarities between the two events: both are sports meeting in China, both are hosted by China and both are most attractive activities…
Since the very day the Olympic Flame was passed on the Malaysian Peninsula, a wave of “China craze” began to emerge in Malaysia. Overseas Chinese and Chinese Malaysians took this as a festival. During the AGF match in Malaysia, overseas Chinese and Chinese Malaysians were delighted in talking about the match. At the same time, the media in Kuala Lumpur and Singapore, as well as the Chinese media, have reporter the event in details.
On May 11, Mr. Chen Kai, secretary general of Malaysia-China Friendship Association and honorary president of Malaysia-China Chamber of Commerce, paid a special visit to site of AGF station in Malaysia to congratulate China formula racing car first coming to Malaysia and the excellent performances of Geely racing cars on the field and signed his name on the signature board to support the Beijing Olympics as a representative of Chinese Malaysians. Moreover, the local Chinese Media even burned the mid-night oil to report the match.
It can be seen that AGF not only acquired racing experience in its trip to Malaysia, or return to the sponsors, it also acquired an important social resources: people support. Chinese people think that success of a cause requires three elements: “occasion”, “condition” and “popularity”. AGF selecting to complete its trip to Malaysia at this time can be called to have possessed the three elements.
Though AGF match in Malaysia concluded, it shall become another start. News report on the huge electronic screen at NY Times Square has revealed some hints that international influence of China formula racing event has appeared quietly