Geely is planning to further expand its businesses in China’s second- and third-tier cities, by opening its 1,000th outlet by the end of June 2009, according to China Business. The company is targeting areas away from China’s main metropolitan centres for growth.
The report cited the automaker’s vice president Liu Jinliang as source.
The report said the 1,000th outlet target is in line with the government’s new policy to offer subsidies for farmers on low-price auto purchases, adding that the 500 new outlets, which will be jointly sponsored by Geely and local dealers, will be different from previous 4S stores and are expected to lower operation costs and provide better services for rural customers.
The Chinese government has decided to offer more than 10% subsidies to farmers on fuel-efficient vehicles to boost car consumption in rural areas, according to recent media reports.