There is no such mentality as you have mentioned dear. For a new company to make a certain position in market share , it will have to keep its prices low . Because its not a Volkswagen or Ford that is well known to Pakistanis. Its a new name for them. Once they have gained a certain market share and a trust of people , they will wipe Toyota's Yaris forever. That's why , they have to keep their prices low. And believe me , by a keeping their price at 15 lacs , they will still be earning a profit because of increased sales as everyone will prefer to buy a " Diggi Wali Garri " than buying Suzuki hatchbacks . However, if they keep their prices above 20 lacs , everyone will be interested in buying 3 to 4 year old Corolla / City etc due to their better name , resales , spare parts availability at cheaper prices.