A Typical Malaysian

Tuesday, June 28, 2005

Between Malaysian and "Potong"

Having read Jeff's post on Mahaleel in what looks like his final public outcry to defend his "Potong" management, I can't help but felt sorry for the guy (and his ex-boss) and the automobile industry of our country.

When "Potong" was set up more than two decades ago, the then PM wanted to use "Potong", HICOM, Perwaja Steel etc. as part of his grand strategy to jump-start the country towards heavy industry. I guess he must be miserably disappointed in the outcome that he is seeing today. Not only those that he hand-picked has betrayed his trust (in the case of Perwaja Steel and many other CBT scandals that involved GLCs), the people have also condemned his endless effort to bail out many of his "pet-projects" throughout his reign.

As for "Potong", I guess the nation has tolerated long enough after two decades of subsidising the so-called "national car" projects. We have been made to pay many times higher for some low-quality products for far too long. When the government can no longer afford the monopoly of "Potong" in the car industry, it began to let loose their grip. Hence, companies like Perodua, Inokom and Naza were the outcome.

In all fairness, I must say that Perodua is currently doing quite well in terms of their marketing in the lower-end vehicles (quality and safety aside). They have managed to grab a huge portion of the Malaysian market within a very short time. The new model "MyVi" from what I saw, won hands down over "Potong Savvy" in terms of design, beautiful interior finishing as well as marketing strategy.

When "Potong" saw the inevitable defeat in their competition in the mid-sized vehicle, it began to focus on small-sized vehicle instead. Despite their poor effort, the "Savvy" came out as another mediocre product which not only failed in its marketing (it was launched later than "MyVi"), it also failed in its poor finishing as usual. Their theme of "Build Tougher Than You Think" was a poor choice in my opinion (as if Malaysian prefer to ram their own car towards a street of traffic blindfolded as shown in their radio commercial).

As for Mahaleel's complaint that Inokom and Naza does not live up to its "National Car" status, I have a piece of advise to him. Instead of criticizing others (which was unprovoked by the way), why don't he spend his time and effort in facing up to the problems that is plaguing "Potong" itself? After all these years at the helm, I am sure he is well aware of the unsatisfactory response of his customers which amounts to millions!

Mahaleel always hide behind the concept of "economy of scale" that "Potong" did not achieved at the expense of government and its people after two decades. I'd like to ask him this: If the company has failed to live up to its standards after 20 long years, not to mentioned all the protection that it has been given, do you seriously think it can do it in another 20 years? Do you think it is economically feasible that the whole nation continue to sacrifice for the benefit for one single company?

Inevitably, our government and our people will face AFTA and Globalization sooner or later, it's better to be prepared than sorry. All our industries which include those four "national" car might as well wake up now. All the rebates, tax relieve, AP system etc. will have to go someday. The sooner you get used to this reality, the sooner you will start to prepare to face it.

I was watching a sitcom on TV few weeks ago where a father actually wrote a cheque worth USD1,200 for his grown-up son so that he can go get himself a 2nd hand Japanese car from the shop.

Now... can you imagine the power of free trade and globalization?

All I can say is that:
"Potong"... suck up to reality or fold yourself while you can before taking everyone down with you !!

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