China's Growing Automotive Industry: Opportunities and Expansion

China's automotive market is rapidly growing, with international car makers forming joint ventures and setting up manufacturing facilities. Shanghai GM, a major joint venture, plans to increase production and introduce new models, including Cadillac. Despite high import taxes, China's market is expanding, with predictions of overtaking Japan as the second largest car market. Infrastructure development is crucial to accommodate the increasing traffic, especially with the upcoming 2008 Olympics.

What significant change did China's entry into the World Trade Organization bring to the automotive market?

• Increased import taxes on vehicles

• Lowered vehicle tariffs by 25%

• Banned foreign car manufacturers

• Introduced electric vehicle incentives

What is the nature of the partnership between General Motors and the Shanghai Automotive Industry Corporation?

• A 50-50 joint venture

• A full acquisition

• A licensing agreement

• A temporary collaboration

Which of the following is NOT a feature of the Cadillac CTS model introduced in China?

• Leather seating

• Convertible hardtop

• 5 speed manual transmission

• 3.2 litre V6 engine

What is the seating capacity of the Cadillac SRX model?

• 4 passengers

• 5 passengers

• 7 passengers

• 6 passengers

What major event was China preparing for that required significant infrastructure development?

• World Expo 2010

• 2008 Olympic Games

• 2015 World Cup

• 2020 World Fair