Comparisons are done with what is available in local market in same price bracket. If we compare it with international variants, then city all around the world is generation ahead. Old generation picanto is launched in pakistan.
Toyota is introducing yaris which is a new generation. It has better features compared to the same price bracket cars in Pakistan. Its engine is new but then Alto 660 engine was also new. WagonR 1000cc k18 engine was also new. When something new comes, people tend to resist it and its natural.
For someone who already owns a new model city, its not advisable for them to spend again and buy yaris. Why would they buy a yaris when they already have a brand new car that is not giving them trouble. Yaris is for someone who is looking for changing their old cars to new car.