Well Proton has been sole again - this time to DRB Hicom. This is a twenty-eight year aged tale right away - as good as a really costly a single for a entire nation.
Let me begin by suggesting a resolution which could have saved Proton : There should have been some-more marketplace discipline imposed upon Proton. We should have followed a Japanese indication some-more closely.
To assistance equates to Proton, Government process pushed up a prices of unfamiliar automobile brands to a sky. In Malaysia an alien automobile sells during 3 to 4 times a marketplace price compared to most countries around a world.
Proton should have been given insurance for a singular time only, contend no some-more than fifteen years. In fifteen years, dig duties, import taxes as good as a APs required to import cars should have been evenly dismantled (starting contend after a initial 5 years, afterwards reduced serve each 3 years until 0 insurance after fifteen years). Then automobile prices in Malaysia would have closer reflected marketplace prices for cars. Proton should have been told to usually contest as good as "do or die".
We did not do that. Instead you have been mollycoddling Proton for twenty-eight years with no finish in steer (just similar to you have been mollycoddling all else). And a net outcome is you have NOT combined a self sustaining inland automotive industry. Neither have you constructed auto-industry engineering talent which can mount as good as contest upon a own. In short - in conditions of productivity as good as formulating code new wealth in a auto attention - you have not constructed much.
Proton has essentially "died" 5 times already - as good as it has been revived by "artificial resuscitation". This ! most rec ent sale of Proton by Khazanah to DRB-Hicom is usually an additional attempt during 'artificial resuscitation'. And a oxygen needed to revitalise Proton is a income in your pocket as good as mine. We will pay to keep Proton artficially alive.
Folks, consider logically ok. All a insurance which you as good as you can presumably suppose has been supposing to protect Proton. (up to 150% import duty upon unfamiliar cars, dig duties, a AP regime, outrageous Government funding, outrageous Government await etc) In 2000, Petronas even used oil income taken directly from a belligerent to cure Proton. Still Proton cannot survive. Here is a time line :
1. The initial Proton rolled out circa 1984. At which time Proton was owned by Hicom Holdings.
2. 11 years after in 1995 Proton was sole to Tan Sri Yahya Ahmad.
3. Five years after in 2000 Proton was sole to Petronas - after Tan Sri Yahya's untimely death.
4. About fifteen months after in 2002 Petronas sole Proton to Khazanah Nasional Bhd. (Petronas was smarter).
5. Now 10 years after in 2012, Khazanah has sole a controlling stake in Proton to DRB-Hicom.
6. So how long will it be prior to DRB-Hicom will sell Proton? And to whom?
The actuality which all these most people bought as good as sole Proton simply equates to which they possibly lost income or they did not see a destiny in Proton. No a single sells a essential company or a viable company. You can contend which Proton has failed FIVE times already.
Here is my view now. The code name Proton CANNOT be saved. It is impossible. There is a elementary reason. Do review on.
However scarcely all of Proton's own production plants as good as factories, ALL of Proton's own workforce, together with a engineering jobs - c! an all b e saved. In actuality Proton stands poised to be some-more succesful right away than ever before. Proton stands to have some-more income right away than ever before.
However this CANNOT be completed by making Proton cars. This can usually be completed by production tie ups with Volkswagen, Mitsubishi, Haw Thai of China, General Motors or whoever else to have NON Proton brands for sale during marketplace prices in a universe markets.
(I dont consider Volkswagen can JV with Proton to have a 2.0 litre Passat as good as sell it inside Malaysia during prices below which for a 1.4 Litre Toyota Vios. Meaning VW additionally hides during a back of protective barriers in Malaysia. you consider a EU, a WTO or someone else will come down tough upon VW).
Secondly Proton's made during home supply sequence (the internal parts as good as components manufacturers) who CANNOT supply parts to Volkswagen, Mitsubishi, General Motors etc upon account of poor quality, tall prices or dont know how to verbalise English or communicate, good they will die a healthy death.
Why cant Proton survive? Because they never learnt to compete. They never learnt to contest since they enjoyed so most insurance as good as subsidies.
Folks, if you wish to turn a universe category tall jumper, your aim can never be completed if you lower a club for ever. In 1993 Javier Sotomayor of Cuba set a universe jot down for a tall burst during 2.43 metres (8 feet). The jot down still stands. Here is Javier breaking a universe record.
Ok in sports you have been not sim! ilar to Cuba - yet. But if you set a club in Malaysia during 5.0 feet as good as get a boys as good as girls to burst over it with their eyes closed, afterwards endowment them Datoships for jumping 5.0 feet, even pay them fat salaries (RM40,000 per month) for jumping 5.0 feet you have been doing nothing though indulging in 'syiok sendiri'. Buang masa dan buang duit saja.
But a greatest victims will be a boys as good as girls. If they usually have to burst 5 feet as good as still get Datoships as good as get RM40,000 per month salaries why should they sight harder to burst 8.0 feet similar to Javier Sotomayor? Javier Sotomayor may not even be getting RM5,000 per month.
What is a difference between Javier Sotomayor as good as a boys as good as girls? There is no oil income to bake in Cuba. We have oil income to burn. We have plenty of income to waste.
But if you discuss it a athletes "We have oil income to burn. You burst 6.0 feet subsequent year, usually afterwards you will give you a Datoship as well as RM10,000 a month" - they will be encouraged to try harder. Then you contend a same to a subsequent era of athletes - "We have already completed 6.0 feet. Now usually if you burst 7.0 feet you will get a Datoship as good as money. Finally you can discuss it them, "We can do 7.0 feet already. Now you kick Javier Sotomayor during 8.0 feet, usually afterwards you will give you a Datoship as well as RM40,000 per month."
So each year or each era will be encouraged to contest harder. We will sense to compete.
But if you keep obscure a club for twenty-eight years, or you dont raise a club during all for twenty-eight years afterwards you will never burst as tall as Javier Sotomayor. If you keep giving Proton employees fat RM40,000 salaries as good as outrageous increase usually for jumping 5 feet, for twenty-eight long years already, afterwards where is a proclivity for Proton (a! nd a ver y, really tall price member suppliers) to sense to compete? Why in a name of Hang Tuah should they burst higher? Kenapa nak susah-susah sangat. They can still collect full payment by usually jumping 5 feet.
Why should they compete? Even without working as tough or competing as tough as a Korean, Japanese as good as German automobile makers a Proton management team as good as their components suppliers can still consequence big money. In Malaysia, they have been during a tip of a corporate food chain. This is a reason for a failure of Proton - FIVE times already in twenty-eight years.
If you do not remove a protective barriers (excise duties, import taxes, AP regime etc) Proton will never sense to compete.
And here is something else. The design below (thanks to Star) shows which notwithstanding a tall prices, alien cars right away outsell "Made In Malaysia" cars similar to Proton. In 2001, Proton as good as Perodua tranquil 80% of a market. 10 years after in 2011 they both tranquil usually 56% of a marketplace - a whopping 24% dump over 10 years.
This is bad news for Proton. Imported cars have been up to date, they incorporate a ultimate technology as good as in a universe marketplace they have been distant most cheaper than Proton cars of a same engine capacity. In Singapore even Toyota Vios is cheaper than Proton (says The Star).
The usually thing sustaining Proton is a general stupidity of most Malaysians. They dont understand a judgment of profitable reduction income for cars - similar to alternative people in alternative countries. It is their stupidit! y which has revived Proton from genocide - FIVE times already.
Will go on Part 2.
Posted bySyed Akbar Ali
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