5. Spare motor part inventory management to shift gear

Deloitte expects China's motor industry to face overcapacity issue in the next two to three years and the market will shift its focus on second-hand car sales and after-sales services.

According to the report, car manufacturers need to adapt their supply chains to be more demand-driven, and enhance their inventory management of spare parts.

A worker assembles a car at an auto plant in Zouping county, Shandong province, Dec 16, 2014. [Photo/IC]