The deal between Proton parent DRB-Hicom and Geely was announced yesterday, with Second Finance Minister Datuk Seri Johari Abdul Ghani saying that Proton would remain a national car because Proton would still have a majority hold of 50.1 per cent.
International newswire Reuters reported that Geely was expected to offer Proton some vehicle technologies in order to grow its sales overseas and to recover some of the global presence Proton had lost in recent years.
Proton reportedly dominated the domestic market by 74 per cent in 1993 at its peak, but saw its market share dwindle to around 15 per cent currently due to low-quality cars, poor after-sales service and tough competition from foreign automakers.
Dr Mahathir said he was certain that Proton would now be sold all over the world.
“It will be like Singapore. Malaysians are proud of this great city-state. If it had not been sold it would be, perhaps, as well developed as Kuala Kedah or Kuala Perlis. Then we cannot be proud of Singapore,” he said.
“Now we can be proud of Proton. With money and superior technology it will compete with Rolls Royce and Bentley. But I cannot be proud of its success. I cannot be proud of the success of something that does not belong to me or my country. Maybe other Malaysians will, but not me,” added the 91-year-old.
Why can't Maddy be proud of Proton (still 50.1% owned by Malaysia) if it becomes successful around the world?
Aiyoyo, such is his conceit and selfishness that he only wants Proton to be successful if he himself runs it.
International newswire Reuters reported that Geely was expected to offer Proton some vehicle technologies in order to grow its sales overseas and to recover some of the global presence Proton had lost in recent years.
Proton reportedly dominated the domestic market by 74 per cent in 1993 at its peak, but saw its market share dwindle to around 15 per cent currently due to low-quality cars, poor after-sales service and tough competition from foreign automakers.
Dr Mahathir said he was certain that Proton would now be sold all over the world.
“It will be like Singapore. Malaysians are proud of this great city-state. If it had not been sold it would be, perhaps, as well developed as Kuala Kedah or Kuala Perlis. Then we cannot be proud of Singapore,” he said.
“Now we can be proud of Proton. With money and superior technology it will compete with Rolls Royce and Bentley. But I cannot be proud of its success. I cannot be proud of the success of something that does not belong to me or my country. Maybe other Malaysians will, but not me,” added the 91-year-old.
Why can't Maddy be proud of Proton (still 50.1% owned by Malaysia) if it becomes successful around the world?
Aiyoyo, such is his conceit and selfishness that he only wants Proton to be successful if he himself runs it.
But then he ruined his many projects, Proton, Perwaja, Maminco, Forex, etc.
Really, Proton is now better without his Minus (not Midas) touch.
P/S - he inadvertently showed his jealousy of Singapore's progress, wealth and developments
i guess ck said something right, though i might understand wrongly bec i have no time to look for dictionary wakaka. its very difficult to compete in many field that we r without any competitive advantage if race base policy is norm in biz deal. shd one analyse china recent venture in industrial such as electric, electronic, hand phone, car etc, u would notice they r more capitalistic than many capitalism state. those that cant compete will disappear from time to time.
ReplyDeletei never support mahathir since day 1, n most of his policy n action except his stance on religion n monarchy. just curious those that whack him left right today was doing the same since 30 years back?
No HY.. certainly not me. I did it my way.
DeleteBut I am one of the first day buyers of Proton Saga. Still keeping it in a good driving condition. I guess it is an antique car now. I am really pleased that volvo is having a 49.9% in Proton.
By the way, I like that Dato Seri Johari. I met him and talked to him at a wedding function at a low cost flat in Pandan. He is a Chartered Accountant, he has got that 'thing' to be a very successful politician.
Wakakakaka...30years ago;
DeleteSome of those clowns were praising & kaki-ampuing him no end!
While the others had already tagged him for life as a destroyer of everything Malayana!
brader hasan, my dad own a saga since first launch 1985, then a second n a third (waja). my first car is oso a second hand saga, i drove it for almost 10 years. i am very critical of a so called national car project, bec i perceived its the one of reasons that impacted our relatively high std of living, almost one third of our disposable income goes to car loan.
Deletehowever whether we like it or not, proton is part pf our life, most of us grown up with it, its a msia thing.
i dun care who own proton finally, as one commentator put it, would any decision/policy made would reduce msia car price n make our life better? whats the point if there is no diff? half blind kt as usual cant see the elephant.
https://www.youtube.com/watch?v=x1DAvHYyqJ4
i find the time n mood to watch the graduate, after many years.
HY.. have you find time and mood to watch 'The Wolf of Wall Street'? The soundtrack includes Mrs Robinson.. during the FBI arrest.
DeleteI have a different take about the mamak's diatribes about this latest Proton 'restructuring'.
ReplyDeleteMaddy can't be proud of Proton (still 50.1% owned by Malaysia) if it becomes successful around the world.
The catch phrase is "if it becomes successful around the world."
Mamak knows the Proton culture WELL bcoz he lives through it for over 30 years.
If the current style of management remains, & there is no strong government support, then the final demise of Proton is as good as inked.
Geely is paying RM770.3M for the 49.9% stake. The payment is portioned into RM170M cash & RM600M in rights to manufacture & distribute Geely's Boyue model in the SEA market.
This is BASICALLY a repeat of the early format of 'partnership' with Mitsubishi Motor!
Geely (Mitsubishi) pays cash for a minority shareholding, while Proton gets the right, worth up to RM600M, to manufacture & distribute the Boyue model in SEA.
Previously Proton paid billions RM of royalty payments yearly to Mitsubishi Motor for the right to re-badge its Lancer model as Proton saga.
When the credit of RM600M is used up, Proton has to pay more to get additional right to manufacture & distribute the Boyue model!
The problem is can Proton develop it's OWN model before that free credit is exhausted?
The past records say tak bolih bcoz of management style & people within!
What about other models? Proton can't be a one-model car manufacturer.
The past records indicate it will have to pay through it's coffer to get those other models out. Most likely these models r not been developed in house within a foreseeable time frame due to its superficial R&D culture.
If Proton wants to get more money in the future for whatsoever reason, all the shareholders;
1) have to face possible share dilution by issuing more shares. Meaning DRB-Hicom will most likely losing its majority.
2) Geely sells out after realizing investing more into Proton is akin to flocking a dead horse!
Geely is still coming out a CLEAR winner, having Lotus complements as a sport masque within it's automobile range.
All indications point toward a bleak future, especially when the government has announced no more future fund in supporting Proton.
This is the REAL reason that the mamak doesn't feel anything to be proud of!