Identifying Opportunities on the Chinese Market for European Mining Equipment Manufacturer

The client, a European mining equipment manufacturer, wanted to gain more comprehensive insights to the Chinese underground mining market. Having a long global success history, the company wanted to continue its momentum in China.

With that aim, the client turned to ARC Consulting to get more insights to the mining market in China. By identifying potential business growth opportunities, the client wanted to establish a long-term strategic positioning on the Chinese market.

Excavation equipment at a mining site

The Chinese mining equipment market accounted for 43% of the global sales in 2017. Mines with a total output of 0.9 billion tons are still under development in China, highlighting the opportunities that lies within the country.

The demand of loaders is approximately 4,500 units, with a replacement or new purchase demand of around 1,500 units yearly. Further, the Chinese “one belt one road strategy” brings more opportunities for the mining industry globally.

Due to the complexity of the project, a comprehensive market study of the industry, trend identifications analysis and in-depth competitor analysis was provided to the client with the aim to give an accurate picture of the Chinese market.

The final report provided the client with a comprehensive market overview and recommendations with doable implementations, aiming to grasp a larger market share of the Chinese market. A market strategy, highlighting the recommended market position for the client, was also provided. Lastly, a 5P sales strategy was built for the client to further accelerate its sales in China.

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