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Digitalization puts pressure on China’s car dealerships

Small car dealership in Leshan (Sichuan)

China’s car trade has a particularly fragmented structure. The hundred largest car dealer groups combined are responsible for just 30 percent of car sales in the People’s Republic, as calculated by the management consultancy McKinsey. In recent years, enormous growth rates saved the industry from major bankruptcies. But now pressure grows. Even the manufacturers react to the change in customer behavior.

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