Market Expansion Possibilities In The Auto Mobile Industry Of Pakistan Marketing Essay

mart Expansion Possibilities In The motor railroad car Mobile intentness Of Pakistan Marketing EssayChapter 1 IntroductionThe evolution of the self-propelling sedulousness has been influenced by conglomerate innovations in send aways, vehicle components, societal infrastructure, and manufacturing practices, as closely as changes in commercialises, suppliers and business structures. As the challenges of twenty- offshoot century be growing day by day and business world is becoming more(prenominal) competitive and customer centric with fluctuating trends.The political machinemotive diligence is the application involved in the planning, design, development, manufacture, and grocerying. The railroad carmobile persistence is concerned with scratch and contestation with consumer demands for styling, safety, and talent and with labor relations and manufacturing efficiency. In 2007, more than 73 jillion motor vehicles, including cars and commercial vehicles were produc ed worldwide.This report represents a detailed and encyclopaedic account of the market expansion possibilities of the automobile sphere of influence in Pakistan and is record on the directions of our subject teacher Sir Mustaghis-ur-Rehman. Our project substantively becomes the part of our melody Strategic Management as this will reap us devour practically what we keep back learnt throughout the course. elevator car sphere of influence is one of the or so vibrant sectors in Pakistani economy with respect to policy changes, critical review on underdevelopment and lack of transpose of technology and head on hitting with importationed vehicles. The automobile industry in Pakistan operates under franchise and adept cooperation agreements with lede world manufacturers and poop be longly categorized into various segments, i.e. cars and light commercial vehicles (LCVs), two and three wheelers, tractors, trucks and buses and vendor industry.TheAutomobile industryhas been a n active and growing field inPakistanfor a long prison term, so far non as much established to figure in the s heartyed list of the top automotive industries. Despite significant production volumes, transfer or technology remains low. Most cars in the demesne wee-wee dual supply options and run on CNG(compressed natural gas) which is more low- bell than petrol in the country. at that place argon lone(prenominal) three major(ip) rider car assemblers in the market Pak Suzuki, Indus forces and Honda Atlas. Pak Suzuki has almost complete monopoly in the small car segment as it faces almost no competition other than the single odd Diahatsu Cuore produced by Indus gets. In the Subcompact saloon segment Toyota Corolla, Honda Civic, Honda City, and the Nissan jocund ar incumbently the only cars in production. There argon sub call fitd no locally do SUV, Mid or Full sized sedans available.We have analyzed the industrys dominant economic features because industries do differ significantly in their basic character structure thereby identifying the market size, scope of competitive rivalry, market growth rate, number of bargain forers and their germane(predicate) sizes. The competition prevalent in the industry and the strength of the competitive forces has been elaborated. The crusade forces in the auto industry are gameylighted and its impact on the Pakistani auto industry expressed. The key winner factors that affect industry members powerfulness to prosper in the marketplace regarding resources, competencies, product attributes etc have been pointed out. In skill analysis of the political, economical, social,technological and legal conditionsof Pakistanwith reference to the automobile industry will swear out in crafting a split strategy for the expansion.Automobile demand was built by high bank financing which shored up car gross revenue despite the accession in prices during the get-go quarter of FY11.Chapter 2 footingThis chapter cove rs the background of the expansion possibilities in the auto industry of Pakistan.As we are discussing the expansion possibilities we will first have a look at the current situation of industry where it is lagging and consequently what can be done for the future expansion.DOMINANT ECONOMIC TRAITS IN AUTO attentionScope of the Rivalry Suzuki is the biggest competitor holding 52% of the complete market share. Following is Toyota with around 29% and then Honda with 10.4%. Other companies constitute breathe of the market share. We can say that Suzuki is leading the industry and does not have a direct rivalry as market niche for Toyota and Honda is unalike.Market Size In 1998 500 gazillion Vehicles on the Road, 49 Million raw Registrations.Number of Competitors The most dominant of the competitors are Suzuki, Indus motors for Toyota and Honda Atlas for Honda.preponderance of Backward Integration Partially integrated industry.Entry Barriers Very High, throw Curve, sizable economi es of scale, grime loyalty, large capital requirements, access to distribution channels. going away Barriers High Fixed be, Specialized Plants and machinery to some degree, Shared facilitiesPace of technology Ob resolescence is not really an rationalise because of resale value and functionality. fruit and Customer Characteristics part by Social Status and Value Orientation. Most manufacturers have broad product fields.Capacity UtilizationCapacity in Nos.CAR2005-062006-072007-082008-092009-102010-111Pak Suzuki get Co. Ltd. one hundred twenty0001500001500001500001500001500002Indus Motor Co. Ltd.4429853040530405304053040530403Honda Atlas motorcars (Pakistan) Ltd.300005000050000500005000050000Rapid Product Innovation Many innovations in the 1990s, numerous cooperation agreements. In ten years, time-to-market went from an comely of 60 months to 24 months.DRIVERS OF CHANGE IN THE AUTO-INDUSTRYDriverIndustry putSlow Industry GrowthMore Consolidation, Larger firms in better positi on to reduce be in production, purchasing, and product development costs change magnitude world-wideizationRequires an infrastructure to manufacture and distribute vehicles inter casely.Technological alterEncouraging more cooperative agreementsSuppliers Larger RoleSuppliers account for 69% of entire value. Working in parallel with suppliers helps to reduce time to market.Increasing Government RegulationConcerns regarding safety, emissions, fuel efficiency.Increasing emphases on reducing costsMature market requires new features, but at the identical time manufacturers must be concerned about costsKEY victor FACTORS IN AUTO INDUSTRYThe key success factors of any industry are indicators or milestones that measure your business achievements and help determine how well you are progressing towards your goals and objectives.Without determining your key success factors, you run the risk of needing to make expensive changes of direction later on as you have not aligned your objectives to the success of your business.Following are the KSFs for the auto industry of Pakistan appointed ImageOne critical factor that often defines an automotive telephoner is its public image. Because buyers entrust their safety, along with a sizable portion of their income, to acar ac order, the perception of the familiarity figures greatly in the buying decision. Factors influencing an automotive bon tons image include advertising, word of mouth and expert reviews and opinions.Low Cost ProviderPakistan is a developing country and majority of the population is infra the poverty limn the middle class is vanishing very quickly there is an emerging need of a cost effective car which is fuel efficient and overly low cost.Distribution NetworkA more practical critical success factor for any automotive participation is a strong network for distribution. Becausecarsand trucks are not change today to customers, auto manufacturers rely on franchised dealerships to provide local showroom s. These dealers must be knowledgeable and repu skirt to sell cars, which is essential for the automaker. Like auto corporations, dealers are reliant on a positive image that may be influenced by, or influence in turn, the image of the automaker. The cars should be available also in the remote firmaments of Pakistan to capture market share.Cash FlowA healthy cash flow is another practical critical success factor. When an automaker provides incentives or lowers prices, it almost always sells more cars, but the hit margin may not be a healthy one. At the same time, an automaker needs to keep costs under support, including line items that are prone to fluctuation such as the price of bleak materials and outsourced components. Achieving a sustainable cash flow is central to the frequent discussions surrounded by automakers and employee unions.ComplianceAutomakers must also ensure that the vehicles they sell are in compliance with various federal and local regulations. These include emissions standards, fuel efficiency and safety standards. While it may cost less to produce vehicles that coif marginally in these areas, the cost of a safety recall or government-mandated repairs are often much higher and difficult to anticipate.FlexibilityAn elusive critical success factor for the automotive industry is the ability to be flexible. Pakistan car buyers may change their buying habits quickly in reception to factors like the state of the economy, the price of fuel and new automotive technologies. It is essential that automakers remain attentive to these trends and keep in place a strategy that can adapt quickly to create new products that meet the current and near-future needs of customers.Chapter 3 Industry AnalysisPakistan is an emerging market for automobiles and automotive part offers immense business and investmentopportunities. The keep down contribution of Auto industry to GDP in 2007 is 2.8% which is likely to add-on up to 5.6% in the next 5 years. Tot al gross gross revenue of automobiles in Pakistan were Rs.214 one thousand million in 2006-07 or $2.67 billion. The industry paid Rs.63 billion cumulative taxes in 2007-08 that the government has levied on automobiles. There are 500 auto-parts manufacturers in the country that supply parts to original equipment manufacturers (PAMA members). Auto sector presently, contributes 16% to the manufacturing sector which also is expected to increase 25% in the next 7 years, as compared to 6.7 percent during 2001-02.Vehicles manufacturers directly employ over 192,000 masses with a total investment of over $ 1.5 billion. Currently, there are around 82 vehicles assemblers in the industry producing passengers cars, light commercial vehicles, trucks, buses, tractors and 2/3 wheelers. The auto policy is geared up to make an investment of $ 4.09 billion in the next five years thus, making a target of one-one-half a million cars per annum achievable.Government of Pakistan had undertaken two major initiatives in the bring of National Trade Corridor Improvement Program (NTCIP) and Auto Industry festering Program (AIDP) for the development of the automotive industry in Pakistan.Engineering education scorecard (EDB) is actively implementing the AIDP to increase the GDP contribution of the automotive sector to 5.6%, boost car production subject matter to half a million units as well as attract an investment of US$ 3 billion and reach an auto export target of US$ 650 million. self-propelled engineering is a driving force of large scale manufacturing, modify US$ 3.6 billion to the national economy and engaging over 192,000 people in direct employment.The Auto parts manufacturing is $ 0.96 billion per annum. The demand for auto parts is highest in the motor cycle industry which is 60%, then is for cars which constitutes to 22% and the rest 18% is consumed by trucks, buses tractors. This demand is met by Imports which caters 22% while the remaining 78% is supplied by the loca l manufacturers.Due to the increase in demand for sophisticated machinery, the government has allowed handicraft free import of rawmaterial, sub components, components assemblies for manufacturers assemblers. Total import bill of machinery stands at $2.195 billion in the current fiscal year of 2007-08 which is 12.77% higher than that of the preceding year.The formidable growth in the machine tools and automation sector is directly proportional to the growth of the automotive industry which has become the fastest growing industry of Pakistan and contributes $3.6 billion annually to the countrys GDP.The after(prenominal)market for spares has also witnessed immense expansion over the same power point, with imported parts playing an important role in see local demand. The spare parts market is given further whim by a total vehicle population of approximately 5.4 millionPakistan has the second highest number of CNG-powered vehicles in the world with more than 1.55 million cars and passenger buses, constituting 24% of total vehicles in Pakistan with improved fuel efficiency and conformist to the latest environment regulations.Honda Atlas Cars Pakistan LtdHonda Atlas Cars Pakistan modified is a control stick venture between Honda Motor party Limited lacquer, and the Atlas crowd of Companies, Pakistan. The company was combine on November 1992 and joint venture agreement was write on August 1993. The ground breaking ceremony was held on April 17, 1993 and within a record time of 11 months, construction and erection of machinery was completed. The first car rolled off the throng line on whitethorn 26, 1994. Official inauguration was done by prexy of Pakistan, Sardar Farooq Ahmad caravansary Leghari. Mr Kawamoto, President of Honda Motor Company Limited Japan was also present to leniency the occasion. The company is listed on Karachi, Lahore and Islamabad Stock Exchanges. In July 1994, car bookings started at six dealerships in Karachi, Lahore, and Islam abad. Since then the Dealerships Network has expanded and now the company has sixteen 3S (Sales, Service and Spare Parts) and thirty 2S (Service and Spare Parts) Pitstops network in all major cities of Pakistan. Since the commencement of production in 1994, the company has produced and sold more than 150,000 cars till Oct, 2008. All dealerships are constructed in accordance with the standards specify by Honda World over.Indus Motor CompanyIndus Motor Company (IMC) is a joint venture between the House of Habib, Toyota Motor potty Japan (TMC),Daihatsu Motor Company Ltd.vehicles in Pakistan through its dealership network. The company was incorporated in Pakistan as a public limited company in December 1989 and started commercial production in May 1993. The shares of company are quoted on the stock exchanges of Pakistan. Toyota Motor partnership and Toyota Tsusho corporation have 25 % stake in the company equity. IMCs production facilities are located at carriage Bin Qasim Industri al Zone near Karachi in an area measuring over 105 acres. Indus Motor companys embed is the only manufacturing direct in the world where both Toyota and Daihatsu brands are being construct. IMCs Product line includes 6 variants of the newly introduced Toyota Corolla, Toyota Hilux Single Cabin 4-2 and 4 versions of Daihatsu Cuore.Toyota Tsusho Corporation Japan (TTC) for collection, progressive manufacturing and marketing of Toyota vehicles in Pakistan since July 01, 1990. IMC is engaged in sole distributorship of Toyota.Pak Suzuki Motor CompanyPak Suzuki Motor Company Ltd (PSMCL), established as a joint venture between Suzuki Motor Corporation of Japan (SMC) and Pakistan Automobile Corporation (PACO) Govt. of Pakistan in 1983. Started commercial operations with production (S.O.P.) of Suzuki FX in 1984. In 1992, started production of MARGALLA at new Plant. In 1997, started production of 1300cc BALENO replacing Margalla. In 2001, launched the CNG version of MEHRAN, RAVI and BOLAN. By 2005 capacity expansion up to 80,000 vehicles per year were completed. In 2006, capacity expansion up to 120,000 vehicles per year was completed and production of 1300cc/1600cc car LIANA and BALENO commenced. In 2007, the thirdphases of capacity expansion up to 150,000 vehicles per year were completed. jointure of Suzuki Motorcycle Pakistan Ltd into Pak Suzuki Motor Company Ltd took place and new land of 120 acres was acquired for further expansion adjacent to current gear up. In 2008, the company started exporting Suzuki LIANA to Bangladesh. Pak Suzuki acquired a land of 25.22 acres at Lahore for setting up PDI centre, Spare Parts Ware-house, Regional Office and other related facilities. connexion AutomotiveChevrolets were sold in Pakistan well into the 1970s, after which the automotive administration was changed and Chevroletgradually withdrew to its home market in the United States. In 2004, after an absence of three decades, Chevrolet was re-introduced in Pakistan. Once a gain, a global brand with a product line-up suited to developing markets such as Pakistan, Chevrolet has made a successful return to the country. Working with Nexus Automotive, General Motors quisling in Pakistan , Chevrolet can once again be seen on roads all over the country. Today, Nexus Automotive assembles the 1000cc Chevrolet Joy at Port Qasim (Sindh), and imports a broader line-up of cars, including Aveo, Optra, and Colorado (coming soon) from the General Motors global network.Al-Ghazi TractorsAl-Ghazi Tractors Limited (AGTL) was incorporated in 1983. In 1991 the project was offered for privatization, andacquired by Al-Futtaim conference of Dubai who took over the management control of AGTL in December 1991. Ever since AGTL is a case study of frolic corporate success. 50.02% shares of the company are held by Al-Futtaim Industries Co. LLC and 43.17% shares are held by CNH Global NV, with whom Al-Ghazi Tractors Limited has signed an Industrial Collaboration Agreement for ma nufacture of New Holland brand tractors. The Agreement is valid till April 2016. With expansions carried out in 2005, the plant is now capable of producing 30,000+ tractors per year in a single switch over the most enduring competitive edge being the choice of our tractors, which are robustand sturdy and carry a local content as high as 92%. AGTL was the first automobile company in Pakistan to earn the ISO-9002 Certificate.Dewan MotorsDewan Farooque Motors Limited has one of the most advanced automobile assembly plants of South Asia. Located at Dewan City, Sujawal, Thatta, with a total project cost of Rs. 1.8 billion, the plant is built on an area of 42,000 square meters. Selection of the order reflects the commitment of Dewan Group towards building of a prosperous Pakistan and its contribution to national wealth. The project has provided direct employment to over 700 personnel. The plant is the first automobile manufacturing unit in Pakistan to be independently invested by 100% Pakistani investors. The annual capacity of the plant is 10,000 units on a single press basis. The groundbreaking ceremony for the plant was held in June 1999, and the first Kia Classic rolled-out in a record time of six months. Today the modern state-of-the-art plant is rolling-out cars every day. This is the first and only automobile assembly plant in Pakistan with state of art robotic equipment. Dewan Farooque Motors Limited has technical collaboration and evidence agreements with the following Korean companiesHyundai Motor Company December 25th 1998Kia Motors Corporation July 27th 1999Ghandhara IndustriesThe Ghandhara Industries Limited is a public limited company quoted on the Stock Exchanges and registered under the Companies Act, 1913 (now companies Ordinance, 1984). It was established in Karachi by General Motors foreign Distribution Corporation U.S.A. in 1963 Lt. Gen. M. Habibullah caravanserai Khattak acquired these facilities from General Motors and renamed it Gha ndhara Industries Limited. The Government of Pakistan nationalized Ghandhara Industries Limited in 1972 and renamed it National Motors Limited. In 1992 M/s. Bibojee Services (Pvt) ltd. acquired it under Privatization polity of the Government, and adopted its original name Ghandhara Industries Limited w.e.f. 27-11-1999. The major business activities of the company comprise of progressive manufacture, assembly and marketing Isuzu truck and bus human body and fabrication of Bus and Load bodies. Ghandhara industries Ltd have a product melt down of ISUZU medium-duty vehicles (F-Series) light-duty Vehicles (N-Seies) in Pakistan.Hino-Pak Motors LtdHino Motors Japan and Toyota Tsusho Corporation in collaboration with Al-Futtaim Group of UAE and PACO Pakistan formed Hinopak Motors Limited in 1986. In 1998, Hino Motors Ltd., and Toyota Tsusho Corporation obtained majority shareholding in the company after disinvestments by the other two founding sponsors. exaltation Motor CompanyWe would dogreat injustice if we fail to mention, the only large scale effort made by a Pakistani to achieve what othersfailed toimplement or even envision. Mr.Feroz Khan,founder of theAdam Motor Company, Ltd.was an automobile assembler based in Karachi, Pakistan. They were notable for producing theRevo, which was Pakistans first native company to assemble a decent car. Together with styler Mehmood Hussain, header Engineer N. A. Salmi and two fresh graduates from NED, Khan designed and manufactured Pakistans first car. In fact, Khan invested in the latest software programs to train his team up using Computer Aided Design (CAD) and Computer Aided Manufacturing (CAM). Khan is also Chairman and CEO of Omar Jibran Engineering Industries and has twice been Chairman of Pakistan companionship of Automotive Parts and Accessories Manufacturers.All their vehicles used make in mainland China components due to lack of a modern manufacturing industry in Pakistan. ab initio Adam Motor was involved in assembling cheap Made in China light trucks, followed by a Made in China four-wheel drive off-road vehicle. Later they started manufacturing the Revo. The 800CC version of the Revo costs Rs. 269,000 (about $4,500) and the 1050 pattern is Rs. 369,000 (about $6,200). The Revo has also been built in accordance with EU safety regulations. Mr. Feroz Khan blames the politicians for the companys failure.The current auto update about vehicle production in year 2008, i got the report in recently from local magazine, i am subcriber of the said magazine thats why i have update information about it.According to the report which was published in February 2009 issue of Mobile World.The number of vehicles produced in country declined in the second half of last year to 59,288 from 96,448 units produced during first half in contrast to installed capacity of 383,922 units.It may be mentioned here that out of total number of 19 registered four wheeler assemblers 4 have already abandoned the assembli ng activities. Out of remaining 15 manufacturers M/s Pak Suzuki Motor Company was the top producer during July to December 2008 by making a total of 34,607 vehicles of six different types.Indus Motor Company was the second highest who produced 14,844 vehicles of three different kinds followed by Honda Atlas Cars who produced only two brands making a total of 6,154. Dewan Farooque Motors with 1,413 and Nexus Automotive with 197 were the other car manufacturers in the line.Sigma Motors, assemblers of Defender jeep produced only 13 units in six months while Sindh Engineering had manufactured 25 Dong Feng light Trucks and Dewan Automotive Engineering formerly cognize as Delta Innovations produced 2 Star Trucks only. Similarly, Karakoram Motors produced 43 Kalash getaways.M/s Hinopak Motors was the leading manufacturer of heavy/ light duty trucks, dumpers, semi trailers, prime agent and bus segments which produced a total of 1,062 vehicles. Ghandhara Nissan followed through manufactur e of 315 including 24 Nissan Sunny cars and Ghandhara Industries produced 308 Isuzu vehicles while Afzal Motors made 85 Daewoo vehicles and Bibojee Services produced 8 Kamaz prime movers.M/s Raja Motor Company, Adam Motor and Transmission Motor were the companies whom had abandoned the manufacturing of Fiat UNO car, Zabardast truck and Alif car, Bay pickup respectively. Similarly, M/s Roma Motor Company was the assembler of Roma Mini truck.During this period Suzuki pickup was the most demanded vehicle for Pak Suzuki Motors that topped by 9,267 in the company followed by 7,853 Mehran, 6,301 Bolan, 6,133 Cultus, 4667 alto and 386 Liana cars.Toyota Corolla was the favorite from Indus Motors with 10,130 units followed by 4,003 Daihatsu Cuore and 711 Hilux pickups. Honda produced 3,301 Civic and 2,853 City cars. Dewan Farooque produced 1,320 Shehzore pickup and 93 Hyundai Santro cars while Nexus Automotive assembled 197 Chevrolet Joy cars.It may be mentioned here that Pak Suzuki has inst alled capacity of 150,000 units, Indus 50,000, Honda 50,000, Dewan Farooque 10,000, sigma Motors 1,000, Sindh Engineering 3,000, Mater Motor 8,500, and Roma Motor 572.In truck and bus assembling segment Hinopak has installed capacity of 5,950 vehicles, Ghandhara Nissan 2,200 trucks buses and 6,000 Nissan happy cars, Ghandhara Industries 3,000, Afzal Motors 3,000 and Bibojee Services 200 units, respectively.Automobile demand was strengthened by higher bank financing which shored up car sales despite the increase in prices. Similarly, production of some of consumer electronics rose sharply despite deception of federal excise duty in Budget FY11. In fact, move indigenization of automobiles partly contained the pass-through of currency depreciation on local prices, while duty reductions on imports of some electronic parts have helped firms reduce their costs.Car Financing and Sales (Jul-Nov)FY10FY11Disbursements (mln Rs.)6,25222,969Avg. car price (Rs.)*854,122912,822Car sales42,1664 6,822* amount of 11 car models Source PAMA, Automark.Official Pakistani car sales figures only take into consideration the models produced locally, which gives a pretty good approximation of actual car sales given imports are very limited. most 1 in every 3 new cars sold in the country is a Toyota Corolla It totals 44,098 sales over the year for a 29.7% market share.No less than 5 Suzukis follow, on top of which the veteran Suzuki Mehran (a 1988 Maruti 800), still holding very well for its age at 23,117 sales and 15.6%, and the pick-up Ravi grabbing just about 10% of the Pakistani market in 3rd. The Suzuki Bolan (aka Carry) is 4th with 12,701 sales and 8.6% beforehand of the Alto and Cultus.The plant capacity was increased in year 2005-2006 as the bank car financing was at boom. But since then it has been fixed.The table below describes the total number of cars, jeeps, trucks, buses, tractors and buses sold from 2001-2009.According to Government Board of Investment,Automotive I ndustryNo of UnitsNumber01-022002-032003-042004-052005-062006-072007-082008-09Cars5164,00040,60162,89399,263126,817160,642176,016164,71084,308Jeeps23,2981,590932 precipitate Vehicles432,5008,49112,17414,08923,61329,58119,67221,354Trucks517,5001,1411,9542,0223,2044,5184,4104,9933,135Buses53,90010991,3401,3801,7628259931,146662Tractors350,00024,33126,50136,10343,74649,43954,61053,60759,968Motor Cycles55733,000133,334176,591327,446571,145744,875839,2241,057,751493,592 blowup POSSIBILITIES AND OPPORTUNITIESIncreasing Demand for CarsIn Pakistan context there are 9 cars in 1,000 persons which is one of the lowest in the emerging economies which itself speaks of high possible of growth in the auto sector and more so in the car production.Rising per capita income with changing demographic distribution and an anticipated influx of 30 to 40 million young people in the economically active workforce in the next few years provides a stimulus to the industry to expand and grow.Resale of Local As sembled CarsResale of locally assembled cars is better due to availability of spare parts and after sales services and imprimaturUsed imported cars have been selling below their cost at the showrooms for the last six months but consumers are not inclined to buy because of their low re-sale value and problems in parts availability.Quality of local carsinitially when the import of cars was liberalized the quality of local assembled cars was unsatisfactory so the people of high income level group started buying imported cars and the sales of the local assembled cars started change magnitude so the local assemblers started enhancing the quality of their vehicles so we can say that the quality of local cars is becoming the strength of the auto industry.OEMThe local OEM of Pakistan is well fit with enough advance technology and skilled labor to produce parts according to the desired quality of any foreign company.CNG kitThe prefer of buying local assembled cars is that they come with factory fitted CNG kits at the times when the prices of fuel rising at higher pace internationally.MechanicsFor local assembled cars chemical mechanism are readily available in market and much cheaper so the buyer has not to worry about any problem that can occur in the car in long term whereas the availability for imported cars is a bigger issue for the owners and if somehow they are able to find one then the mechanics charges much higher than genuinely it should be charged.Import German technology and skillsEDB wanted to build a Pakistan-German automotive supply network, providing opportunities to Pakistani automotive vendor enterprises to benefit from the German know-how and technology to improve quality, productivity, developing and marketing of value-added products.Foreign Investment and apparatus production facilitiesChina National Heavy Duty Truck Corporation (CNHDTC), on