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Thread: Why Dewan Motors fail in Pakistan

  1. #1
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    Default Why Dewan Motors fail in Pakistan

    Ever thought there is a God's curse on this group. Dewan Mushtaq and Dewan Farooq must have tons of money but not an iota of immagination and foresight. A country whose half the population lives on 1 dollar a day and 30% on 2 dollars a day, how can 2.0 million worth of cars succeed.

    I find the following variants/brands,a all introduced by Dewans, did not click in Pakistan, simply because of price and to some extent performance. Kia Sportage, Spectra, BMW, Mini, Classic. I am foreseeing the same abysmal performance of Sonata, Coupe, and Terrano. Later Picanto. Today's Dawn carries the advert.

    Shehzore and Santro performed well. Prices were right. Santro Exec CNG will fail. Price above 7 lacs.

    Perhaps its not the brand as well. Camry, Accord, Gallant, Nissan Patrol Pajero, Land Cruiser, Prado (regular import by Indus), X trail, Liana all failed just because of prices. Are we Kennedies, Arab Shiekhs and Rockfellers sitting in Pakistan?

    I fail to understand why can't these groups think if importing smaller cars, 660cc to 1300cc. Not allowed by Government perhaps? Why not Starlet, Vitz, Platz type vehicles imported by these tycoons.

    Come 2006, WTO restrictions lifted and we will have flood of Indian cars. Then how would the government provide protection to Atlas Honda and Indus Motors?

    The Govt. needs to make a THINK TANK for these car manufacturer and importers who could suggest what to import, suitable for Pak community.
    The tragedy of life is not what we suffer, its rather what we miss.

  2. #21
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    i know these marketing staff in dewan they are not at all professional plus let me give u an fact that spectra was not at all a bad car in it class, bass all the sudden rumour spreads saying spectra give 5km/l .......in this condition what i noticed dewan team increased the priced almost by 1 lac , and on other hand this romour was taking strong grip thru out nation....as i remember they rose spectra AT price from 799,000 upto max 909,000 in steps in six month.....so that was totally a rubish move by them , today also i beleive if specta GV would have sold for the price tag of 749,000 , it would have been the block buster..

    seconly one should observe living in khi that almost 7 dealership has been shud down , on inquiring dewan they says we have suspended ******** how can u suspend ur dealer with 3s facilitis in such a critical situtation , fact is dealer were not at all happy with managment of dewan and they never ever saw the bright future......names of khi dealers quitting

    hyundai town(chevy now)
    hyundai defence(chevy now)
    hyundai sharefaisal (mix)
    hyundai kandawla (changan)
    hyundai society (chevy)
    hyundai western (suzuki)
    hyundai southern (master)

    i feel very sorry dewan for loosing such topclass dealers....present hyundai dealer

    hyundai apollo (sharefaisal)
    hyundai sherwani (toll plaza highway)

    now do u think one would buy sonata, coupe...infext due to dewan farooque motors all the companies in group are suffering ....dewan salman also..

  3. #22
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    @bon747
    u r absolutely right about pricing mismanagement in case of spectra
    This clearly shows that they were interested in making money rather then pinpointing on the actual problem of excessive fuel consumption. starting from 739,000 for manual it went up to 849,000 in a year and a half.
    If they continue making such blunders, tough times are definately ahead of them.

    Also. No dealer ever bothered to use CO testers which make the car do 9-10 after proper adjustments. i never got average below 9 when i use my GV on Petrol. I get my tune ups from enercon.
    Keep a cool head and wear seatbelts!

  4. #23
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    Ok Guys Its time for you to face the realities

    First of all for the people who said that BMW didn’t Click lemme make it crystal clear to you that BMW sales has left the sales of Mercedes way behind, and the company is earning loads for Dewan Group. Mini is not yet introduced in the market and secondly these brands are not to bombarded in the market it’s just for quality customers and the niche market for these brands is not more than .0001 %.

    Coming on the local production Dewan’s Plant is one of the biggest, the shortage of vehicles in Pakistan is because of the supply of CKD from Korea and for information of kind readers Of all the four variants of Santro and Shehzore the booking is closed as the DEMAND is way too more than SUPPLY.

    The company is not at all interested in Black marketing and no company would be because this would enable dealers to get premium which goes in their pockets and it would create negative impact on your cars by increasing the overall price its just because that for Korea, Pakistan is a very small country to give its resources to as they do really well in USA and UK.

    The people talking about God’s curse on this group don’t confuse it with Tawakkal Group Tawakkal group was the one who flew away with billions of rupees including my own 2 Kia’s and at that moment Dewan came in between the grounds to offer u the same vehicle which tawakkal group committed fraud with.

    Mitsubishi is doin well with a sale of 300 Vehicles on average per month. For the people who said that Dewan may loose its franchise for BMW DUDE Dewan is doin so well on BMW grounds & has a state of Art Plant which has been approved by BMW to start local production which is in their future plans. Don’t you guys read local motor magazines?

    Lemme tell you about their latest imported cars in the market:

    1) The imported Sonata is the flagship model of Hyundai and has been awarded Best in J.D Powers quality survey if you guys know about it. This car has captured a great market share in USA and UK people in USA and UK are actually preferring Sonata over Accord.

    2) Hyundai Coupe is the best selling coupe in UK Goras are not stupids.

    3) Terracan has 30 % more power than pajero and 5 degress of more climbing angle and a price difference of 6 lacks from pajero what makes you think it wont do well. IT is an Intercooler Turbo 2.9 L


    I got all the above mentioned info from dealer day before Yesterday.
    Guys lemme tell you that when a vehicle is makin ON make it clear in your mind that there is something in it because making on means the Blast of Demand. And demand only steps up when the vehicle is good no one can give a lack Rs as premium if the vehicle isn’t good.

    I wasn’t a great fan of Santro till last week when I drove Club Santro it and it went 60 in ist gear, 90 in Second and 110 in 3rd and I didn’t get a chance to get to 4th & 5th ( This was without Hi Octane)

    These were some realities I knew and wanted to share with you guys, I would love some feedback from you guys in case I am wrong somewhere.

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    u may be right with your own perception about the group.

    But no way can a santro do these speeds as u have mentioned. i have tried it to the limit. at best it goes 45 in 1st, 70 in 2nd, 100 in 3rd, 120 in 4th and creeps a little above 130 in 5th. i am talking aqbout a new santro 1200Kms old. the guy sold it after this mileage, he was utterly disappointed when i outran him on my spectra which was 50000Km old at that time.
    Keep a cool head and wear seatbelts!

  6. #25
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    Bro there is just a difference of 10 Km/ hour i said 110 in 3rd Gear you said 100 any ways i must tell you that i did this on a santro 50,000 Kms old and lemme tell u a fact that a car performs well around 50,000 Kms rather than in 12,000 Kms because the engine by that time gets used to run rather than in 12,000 Kms it has hardly finished the initial running and the engine is still struggling to get RAWAN!

    and if you are gonna compare your santro by Spectra the results are quite obvious Santro is 1300 and Spectra is 1500 CC yaar ! common.

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    first of alll santro is 1000cc and power to weight ratio of santro is favourable compared to spectra. Gear ratios in Santro are realy bad. those are designed for economy rather then performance. U can get some good mileage if u drive like an old man, Thats it. Rear seats are comparable to Barber chair and they have even given a Drawer for scissors etc under the front seat
    Keep a cool head and wear seatbelts!

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    Hahahaa that was a good one and perfect eg of passimism just like when Lancer was offeering 2 years warrenty customers said there must be a pro with LAncer thats y u are giving 2 years warrenty Reply : why would some one give 2 years warrenty if the vehicle isnt good enough we are giving it because we are confident abt are product.

    I would say compare satro with vehicles in its segment only and if youll do it yuoull get the answer its the best option available check out the Santro forum for that.

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    @Casanova
    Do u work for Dewan?
    From where have u collected pessimism from my reply, and from where does Mitsubishi came in. I like Lancer then many other cars in its class.
    Santro is a good runabout, thats it. if u will rave about its speeding performance, i cant help saying things.
    Keep a cool head and wear seatbelts!

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    @spectra: lol, good info, can't help stop laughing.

    i think older santro was MPFI whereas current one is EFI, no multi point injection per cyl.

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    Engine is the same MPFi for all santros starting from year 2000.

    U must be laughing at that barber thing I made so much fun of it, my friend got pissed and sold it at a little loss
    Keep a cool head and wear seatbelts!

  12. #31
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    HAaHaHAH Dude i myself am in Auto business and have general showrooms on Tariq road i import vehicles directly from some countries thats how i have so much info about my competetors but i have a true sports man spirit so i admire good vehicles.

    CHEERS MATE

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    Nice to meet you.
    I am in Islamabad with no link to any Auto Business
    You can check me out in Who is Who
    Keep a cool head and wear seatbelts!

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    @casanova

    well i believe ur working for dewan, i would appreciate if u can ans my qs.

    1, how come indus, honda atlas, suzuki dont face such shortage in CKD operation.

    2, where is now sporatge , spectra, classic now? what actually happened

    3, y did mitsubushi vehicles had price fluctuation in last 6 months

    4, where are all khi dealers gone? y cant they have more dealers here...

    see as far are cars are concern , hyundai line up is well reputed thru out world, but here we are talking abt group , due to them this hyundai and kia would not get that attantion which they have in india and thru out globe....

    they are not professional....by the way iam also in auto business showroom in DHA.

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    @bon747

    If he was working for DEwan, at least he would have known that santro is 1000cc not 1300cc

    Your questions are very relevent, i am also waiting for answers from somewhere.
    Keep a cool head and wear seatbelts!

  16. #35
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    Guys i dont work for dewan! i just knew all this information being in Auto business.

    I dont need to work for anyone yaar i am an Entrepreneur

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    Well, given the fact that you have you are well versed in the auto business, I'm sure you wouldnt mind answering the questions bon747 posted earlier. Since I am a Kia owner, I'm quite intrigued as to what happened to these cars.

    Till Later,

    Twisted.
    Till Later,

    Twisted.

  18. #37
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    Ok as requested first questions first:

    Indus honda and suzuki dont face shortage in parts because they were in the industry way before Hyundai and Hyundai is prety young when compared to them but still Hyundai is giving then a hard time so basicaly they have more manufacturing capacity of CKDs in home country.

    Second one Sportage and spectra i think had some technical problems in transmissions and engines so they were pulled off from the market but still till the end there was 2 lack own on Sportage so thikn abt it secondly dont confuse Kia with Hyundai.

    third one price fluctuations is normal some times companies do get discount based on some reasons like i got last month due to some reason so i guess it was probably that reason that when they got discount they offered the same to customers.

    And lastly abt the dealer thingi i am from a family of one previous dealer the dealership was not returned by the dealer it was taken back by dewan. because initially they dealerships were given to everyone but like others they just wanna maintain quality dealerships to they sorted it out. And now if someone has tried to apply for dewans dealership they must be knwing that how hard is it to get it i mean the whole procedure and scrutiny bla bla which is INSANE!

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    @ CasanoVa:
    You said "Don't you read local auto magazines?"
    Are there any? Because I can't find any in Islamabad. If there are any local car magazines, please tell me where can I get hold of them.
    Secondly, have Dewan established a second plant for assembling BMWs, or the current plant will be used for it?
    Thirdly, are there any plans of assembling Mitsubishi vehicles locally?

    And lastly, I agree with you. We, as a nation, are often unnecessarily pessimistic and smell conspiracies in every matter.
    Evolution interrupted.

  20. #39
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    ok spectra u r v true,
    but u know a definition of a good Manager by westerns ?
    that's: who gets promoted
    ok?
    how ?
    they don care.,.,.,
    after the Monnoo Group the Dewanz r at No.11 out of top 40 business Groups: some facts:
    11. The Dewan Group
    Dewan Yousaf Farooqui. The mentor of this group has been the Sindh Minister for Local Bodies. Industries, Labour, Transport, Mines & Minerals. Holding of so many portfolios by a single man bears ample testimony to the fact that the Dewans keep a leg sticking in polities too.
    The Dewan Mushtaq Group is one of the Pakistan's largest industrial conglomerates in sectors like polyester acrylic fiber, manufacturing and automotives. Six of their companies are listed at the Karachi & stock Exchange and one at the Luxembourg bourse. Dewan Farooqui Motors assembles around 10,000 cars annually under technical license agreement with Hyundai and Kia Motors of Korea The Dewan Salman Fiber is the pride of this empire as it ranks 11th in the world in total production capacity. The group owns three textile units, a motorcycle manufacturing concern and the largest sugar unit in the country. Dewans also have business interests in India.
    They possess dozens of millions of shares of Saudi Cement and Pak land Cement. They finance some 40 medical dispensaries and over a dozen schools, apart from funding roads/drinking water and Bio-energy infrastructures. Dewans arc on their way building a $ 1O million SME Resources with IFC investment of $ 3 million. The Dewans enjoy massive influence in the engineering sector.

    ok?
    but about a common man ?
    i ld say that a elected person i mean a mpa or mna or a nazim is not doing some thing then how could these business only business minded people can even think about.
    ATTENTION Bikers: To be updated about biking sector of Pakistan, like: https://www.facebook.com/pages/PakistanBikersClubcom/198933546819970

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    Thanx for the imformation brother malikg115

    But common men are their customers and its a different ball game when u r selling rather then when u r ruling.
    Keep a cool head and wear seatbelts!

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