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Old 9th December 2006, 20:16   #46
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We have learnt to accept price cuts in all high tech electronic and computer gadgets, but why not in cars?

As a product becomes outdated, you have to cut price to attract buyers. The people who bought initially paid extra so that they have the latest and greatest.
Computers and electronic gadgets lose their value because of rapid advancement of technology, so we really compare them with cars.
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Old 9th December 2006, 20:20   #47
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@ tifosikrishna:- They lose value with the advancement of technology... bringing newer systems...

Similarly, when somthing newer comes, the excitement shifts... So, the older car has to offer price cuts and gifts and likes to make buyers interested...
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Old 9th December 2006, 20:31   #48
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@ tifosikrishna:- They lose value with the advancement of technology... bringing newer systems...

Similarly, when somthing newer comes, the excitement shifts... So, the older car has to offer price cuts and gifts and likes to make buyers interested...
Yes, you are right, and it happens with almost cars. Point is, if the price cut is marginal by a couple of tens of thousands, it would really matter, but not couple of lakhs, as it happened in the case of baleno or sonata......
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Old 11th December 2006, 12:45   #49
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There are 2 sides to the price cuts. Almost all products are initially sold at a premium to skim the market for the cream (the guys that want it first and do not mind paying a premium for it). Then the prices are brought down a bit to attract the other consumers. This would be OK with most buyers as long as the cuts are nominal and not very drastic.

The 2nd variety of cuts is those that are done to build up sales of a product that is not selling. Here the price cuts could be drastic and could destroy brand value and the confidence of the consumers that bought the car pre-price cuts. This was the case with both the Sonata and the Baleno - the reason for price cuts was due to the cars not finding favour with the buyers.

However, the difference was that in the case of Sonata, the price cut happened within a year or so of the product's intro in the market, which badly hurts the guys that bought it initially. With the Baleno, the car was launched here in 1999 and the discounts happened many years later, which would not have really hurt the initial buyers confidence. However, there would have been a dent to the brand value of the Baleno, which would haunt the MUL guys while they try to fix the pricing for the new Baleno.
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Old 11th December 2006, 13:36   #50
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Also consider the fact that technologically oriented products (computers, gadgets etc.) have a lot of R&D built into their pricing. WRT mass-market cars like the Baleno and Sonata....there is hardly any technical edge.

The price is more related to the cost of production.
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Old 11th December 2006, 15:04   #51
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With computers and electronics, newer tech enables to produce a faster chip at less than half the cost. With cars this is not the case. The cost of production does not fall so rapidly due to large material and labour costs.
In case of chips etc., the RAW material is sand. All the cost is technology, which gets very very cheap as new ones come around.
Take this. In 1995 a computer with as much processing power as a portable laptop today will set you back by multi million dollars. But with new technology, the cost is only around 40,000rs.
Compare that to the cost of producing a 300bhp engine in 1995 and 300bhp engine in 2006.
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Old 15th December 2006, 09:59   #52
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Nov 06 - Figures for Honda India:
City: 2,732
Civic: 1,528
Accord: 195
CRV: 220

Honda Siel Cars India Ltd. :: Press Releases
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Old 3rd January 2007, 17:14   #53
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Default Verna vs Aveo vs Fiesta ... sales analysis

Hi All !!

Facts are out:-

Hyundai Verna flops but company still gains in December | Business News

I think Hyundai has deliberately disclosed cumulative sales of Accent and Verna (942 units) rather than the individual sales breakup.

Its a disaster for Hyundai bcoz these 942 units would surely include app. 20% Accents and app. 75% Diesel Vernas.

Same is the case with Ford's Fiesta which is more visible on road thanks to its Diesel variant.

Personally i didnt like Verna too (except its Diesel engine which is outsourced and not manufactured by Hyundai) but kept quiet bcoz i thought Hyundai India's image may pull it off but that didnt help either.

So in hindsight, i am more happy with my decision of buying Aveo (760 units sold in Dec'06)

Hurrrraaaaa !!
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Old 3rd January 2007, 21:32   #54
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Just Compare when Aveo Was launched..and when Verna was launched?...You will get answer urself!! ..Also its not official figures from Hyundai. So please stay away from unconfirmed reports.
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Old 3rd January 2007, 23:21   #55
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Here is Business standard :
http://www.business-standard.com/com...N&autono=19166
Verna sold just 942!
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Old 3rd January 2007, 23:25   #56
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Quote:
Originally Posted by namit View Post
Hi All !!


Personally i didnt like Verna too (except its Diesel engine which is outsourced and not manufactured by Hyundai)
Who makes Hyundai's diesel engines?
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Old 4th January 2007, 09:03   #57
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http://www.team-bhp.com/forum/347511-post166.html

NHC Sale in Dec06:

[A] Apr06-Dec06: 29527 (Honda press release)
[b] Apr06-Oct06: 24031 (Auto news - Murad Baig)
[C] Nov06 sales: 2732 (Honda press release)

Sale in Dec06 = [A] - [b] - [C] = 2764 units
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Old 4th January 2007, 10:47   #58
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Quote:
Originally Posted by tsk1979
Here is Business standard :
http://www.business-standard.com/com...N&autono=19166
Verna sold just 942!
So much for something that was touted as an NHC killer and which will give the Fiesta a run for its money.
Looks like a good engine alone does not a car make.
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Old 4th January 2007, 11:05   #59
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Hi Rohit bagai !!

What makes you feel that this is unconfirmed report .... its there officially in news dailies and on news sites on internet.

Dont forget there was lot of hype for Verna only bcoz of its diesel variant and yes i ask you again to check the Verna Petrol and Aveo petrol sales at there respective launches.

Dont need to justify you. PERIOD.
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Old 4th January 2007, 11:07   #60
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Hi TSK !!

I am quite sure that this diesel unit in Verna is not manufactured by Hyundai just the way Accent CRDI unit was from Peugeot.
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