Core Viewpoint - The article highlights the transformation in the automotive industry, particularly the shift towards new energy vehicles (NEVs) and the increasing market penetration of domestic brands, which is reshaping the luxury car market dynamics [1][3][16]. Group 1: Market Trends - By 2025, the penetration rate of domestic brands in the NEV market is expected to exceed 70%, while traditional fuel vehicles, including joint venture and luxury brands, are losing market share [1]. - In the first five months of this year, the sales volume of NEV passenger cars in mainstream price ranges surpassed that of traditional fuel vehicles, indicating a shift in market definitions of luxury [1]. - Traditional luxury car dealers are increasingly abandoning established brands like BBA (Benz, BMW, Audi) in favor of new Chinese luxury brands, marking a significant trend in the automotive aftermarket [1][3]. Group 2: Dealer Landscape - The China Automobile Dealers Association reports that by the end of 2024, approximately 4,000 traditional 4S stores will be closed, double the number from previous years, indicating a severe market environment for dealers [3]. - The number of independent NEV 4S stores increased to 7,770, accounting for 24% of the market, showcasing a growing opportunity for transformation [3]. - Traditional luxury car dealers are facing challenges such as price drops exceeding 100,000 yuan for new fuel vehicles, leading to financial strain and inventory issues [3][5]. Group 3: Competitive Dynamics - In 2024, domestic sales of traditional fuel vehicles are projected to be 11.558 million units, a decrease of 2.485 million units or 17.4% year-on-year, while NEV sales continue to rise, nearing a 50% market penetration [6]. - The shift towards new luxury brands like Tengshi is seen as a viable path for traditional luxury dealers to regain profitability and brand value [6][12]. - Tengshi's unique "direct sales + dealership" model has attracted numerous established dealers, allowing for rapid expansion and market penetration [8][11]. Group 4: Product and Technology - Tengshi has successfully launched several models, including the D9, which has disrupted the MPV market, and is now recognized as a leading player in the luxury NEV segment [12][13]. - The average transaction price for Tengshi vehicles reached 367,000 yuan in 2024, surpassing many traditional luxury brands, which is a key factor for dealers considering a shift to Tengshi [15]. - Tengshi's significant investment in R&D, with over 30,000 personnel and 30 billion yuan, has led to innovative technologies that enhance product appeal and align with high-net-worth consumer demands [15][16]. Group 5: Future Outlook - Tengshi is positioned to become a leading brand in the luxury NEV market, leveraging its comprehensive product matrix, dual-channel strategy, and technological advantages to capture global market share [16][17]. - The brand's expansion into over seven countries and plans to enter multiple European markets within two years reflect its ambition to share Chinese technological luxury with the world [16][17].