Long-term involvement in the middle kingdom planned

On May 11th 2007, BMW, a Munich-based company, provided a further impulse on its involvement in the Chinese city of Chongqing. At the centre of the Chinese motorcycle industry, the Head of BMW Motorrad Dr. Herbert Diess opened the "Boxer Café" - after Peking the second sales centre for BMW motorcycles in China.

The "Boxer Café" is not only a showroom and sales base but also a meeting point and an experience and communication centre for friends of the brand and all those interested in motorcycles.
The opening in Chongqing sets off a number of other activities in China, establishing BMW Motorrad and its brand culture over the years to come. BMW sees itself as a pioneer: big motorcycles are still a rarity in China and are to be projected as ambassadors of new group experiences and a new lifestyle. There are plans to offer travel programs and special motorcycle events for Chinese customers as well as for other potential customers from all over the world.

The Bavarian motorcycle manufacturer has been able to secure the collaboration of the Chinese conglomerate LONCIN.
LONCIN, which will initially operate the "Boxer Café", will be the sales partner and from 2008 also importer for BMW motorcycles in China. Extensive knowledge of the market and a good sales network were the decisive reasons for choosing LONCIN as a partner. Sales staff has been trained in Germany in collaboration with the Munich sales subsidiary to ensure a high quality of customer support from the very beginning.

With a production volume of one million bikes per year the motorcycle division of LONCIN is one of the larger motorcycle manufacturers in China. The company headquarters is situated in the world's largest conurbation for motorcycles; between five and six million motorcycles are produced every year in the Chongqing area. The most important supplier companies are located in the region and well-known Japanese motorcycle manufacturers are already engaged in joint ventures here.

As China is the world´s largest and ever growing volume market for motorcycles, the involvement in Chongqing is of significant strategic importance for BMW Motorrad and its establishment as a brand in the Chinese market. The market in China is gradually developing towards larger capacity motorcycles, thus offering growth opportunities for BMW Motorrad.
Penetration of the Chinese supplier networks is a second key element of BMW Motorrad's China strategy. However, an imperative requirement is the quality capacity of the suppliers. Dr. Herbert Diess is aware that this early involvement will ensure that the company is able to exert influence and gain opportunities to shape future developments: "China and the Chinese suppliers are progressing extremely quickly. Within a short time, there will be a repeat of what happened 15 years ago in other parts of the world in the supplier industry, and BMW Motorrad wants to be part of this process from the very outset."