The Strategy of Development of PJSC “Sollers” in the Russian Car Market

Abstract

The automotive industry is a key industry in many countries. Russia is no exception, since the auto industry is directly related to the development of many industries, and serves as a reflection of the social, political and economic conditions. The automotive industry, as a rule, in developed countries makes up more than 10% of the gross national product (GNP). Parallel to the production of vehicles, related industries are developing: road construction, mining of raw materials, fuel production, a wide range of components, and banking. The development of this sector is interconnected with many social, political and economic processes. Russian automakers are working in various conditions, which leads to a decrease in demand for the population, rising prices, a decrease in market dominance, as well as fierce competition from foreign automakers. The research strategy and competitive advantages of the Sollers group of companies, which are developing successfully despite the volatility of development, copyrights, the need for a radical renewal of model cars, the presence of excess production capacities and the departure of three foreign partners of Sollers Group of Companies in joint ventures from Russia – Fiat, SsangYong and Ford. Particular attention is paid to the development of digital technologies in companies, the development of its own telematic platform that allows you to control the car remotely, including starting the engine, providing car sharing and car exchange services. The article also considers the possibilities of developing export cooperation of PJSC Sollers and the problems of creating joint ventures in Russia. The hypothesis of the study is the assumption that a well-formulated strategy for the development of the company is the basis for the growth of its co-competitiveness, which will be considered on the example of the Sollers group of companies.