During the AAPEX show in Las Vegas, I visited the lower level where many overseas companies were exhibiting aftermarket parts. In small 10’x10’ booths arranged by country, they displayed their wares in hopes of a buyer.
The former underground parking structure of the Sands Hotel and Casino was filled with the two best things America exports, capitalism and opportunity. But, it was also tempered with the universal evils of greed and ignorance.
In this mixing pot of automotive culture, not only was possible to get an international view of the aftermarket, but you can also get a better view of your own situation. I asked one company salesperson about their friction formulations for their brake pad line. He said they used only one formulation for their entire line. He said their marketing strategy is based on “price and simplicity for the retailer.” What about safety?
In another booth, I saw on a sign “we manufacture quality semi-metallic and asbestos brake pads.” Even though it is still legal to use asbestos in brake linings, most reputable brake friction companies will stay away from this fiber for the health and safety of the technician. It made me wonder if we could export lawyers?
One display had struts and shock absorbers made by a Chinese company. To the naked eye, they looked really good. The welding on the strut tubes looked good, along with the chrome plating on the rods. But, the one thing that bothered me was the KONI orange and Bilstien yellow they painted their products.
In contrast, there were some companies that actually surprised me with their commitment to quality. One overseas engineer from a brake component manufacturer proudly showed me pictures of their brake dynamometer like snap shots of a newborn baby. Also, one manufacturer showed me a mound of paperwork to show that their facility was now ISO/QS accredited. These and other indications gave me hope that the quality of imported goods are getting better.
I asked one industry expert, “why do other countries export low-quality auto parts to the US?” He said that many low-quality manufacturers know very little about the US market and the final customer. Some of them can’t compete when it comes to quality, so they try to win on price. Also, somebody always seems to buy the stuff.
Property and Communism
Another issue that confronts our two cultures is intellectual property and trademarks. We have to realize that their attitudes and ethics are a reflection of their environment, government and society. In some ways, their view of fair business practices has yet to catch up with their capitalism.
Some manufacturers do not realize that counterfeiting is wrong. Keep in mind, China is still a communist country. Under this system, the concept of ownership and business practices are completely different than our own. When this is compounded by an even more limited knowledge of capitalism and open markets, it is easy to see why they try to copy the most successful brands and products.
The concepts of ownership and respect for property, brands and trademarks are starting to catch on in other countries. Many anti-counterfeiting campaigns that have been enacted by our industry and other government bodies are now starting to make potential counterfeiters think twice before committing the crime.
The Solution
It would be difficult to keep all overseas products out of your shop. Even some major manufacturers of undercar parts have imported parts in their boxes. So telling your parts supplier to not send you imported parts is not an option. The real issue is quality and being able to choose products that best suit your customer’s need for safe and reliable transportation.
The only way the industry is going to win this battle is to judge all parts on their quality and not strictly on price. In other words, if you buy cheap, low-quality auto parts, no matter what country they come from, the market will respond by making more cheap parts. This cycle will continue until all of the high-quality parts manufacturers are forced out of the market. This will ultimately turn your business into a commodity.
If you buy parts based on quality and not price, the market will respond by making more high-quality parts. Technology and innovation will take over as market drivers. Also, the population of low-quality parts will be reduced and the number of high-quality manufacturers could increase.
All of this means that a shop can concentrate on fixing cars to the highest possible standards in stead of trying to keep up and undercut the guy down the road because the have found a cheaper supplier of brake pads.
