Will Tata's & Maruti's, crush second hand car resale value

vinodvv · 3rd January 2007, 11:24

Before all, Wish you all a belated happy Newyear.
I own a M800- 2003 Model and was hearing the news of Tata's making 1 lakh priced cars and for that reason hearing from people that Maruthi's will also bring down the price of M800 and the Alto.

So what would be the ideal thing before the release of Tata's new Car?
a) Sell old small cars because you could loose resale value
b) don't sell and have the gas fitted on small car and pay the monthly car EMI

Which one will you guys suggest?
Looking for all you pro's to share your point.
thanks

My personal Blog: vinodvv aka vcube

theMAG · 3rd January 2007, 12:00

Dont jump the gun. We still dont know real-world usage value of the Tata 1 lac car.

CrAzY dRiVeR · 3rd January 2007, 16:19

Let them come out with the 1L car first...

Will be huge ask to provide decnt NVH levels and all, pricing it under 1L... Specially, since the 1L car having a rear mounted diesel engine...

Just travel in a piaggio passenger diesel auto, and you'll understand how hard Tata has to try to reduce NVH inside cabin... I frankly dont think it will come cheaper than 1.5L (if it has some quality to it)...

nispatel · 3rd January 2007, 18:02

Vinod,

Your woes are unfounded. Tata has a huge line up for existing offering like Indica, Indigo etc and they'll surely won't cannibalize these for the cause of 1 Lakh car. 1 Lakh car will have a different value propostion and Indicas and M800s will retain their market place. When some one asked about safety this 1 Lakh car going to offer, Tata's have publically described that this car would be safer than safety a couple with 2 kids have on a two wheer. Read from it...

Cheers and wish you a happy new year.

DRC · 3rd January 2007, 20:07

1 lac car for how long? With ever increasing input costs and taxes, 1 lac may be an introductory offer for about a week.

Then again, with what ever built for a lac, a used M800 for 1 lac, I believe will be more reliable than the new 1 lac car. Add "tried and trusted" factor for it and old cars never go out of fasion when it is maruti.

esteem_lover · 3rd January 2007, 22:10

The 1 Lakh car is aimed at a totally different market, certainly not at the M800 buyers. it takes something to understand a car & buy it, but for 1 lakh, it is an offering for a different sect of people. so there is no reason to worry about resale values. M800 will continue to be the best reseller.
cheers

Mendi · 4th January 2007, 19:43

I believe Tatas can do anything. If they say they can provide a Bike and scooter driver, a car for just a lac of rupees, I totally trust them. It can be done. If chinese can manufature a car for less than Rs 1.4 lacs, we Indians can too. The only thing that Tatas did not consider was the boom in the salaries the labours and employees are getting these days in the market. May be that is the reason, Tata technologies, TCS and all other Tata Sub companies are still at the last places when it comes to paying compensations to their employees.

rahul_intlad · 6th January 2007, 00:19

Quote:

Will be huge ask to provide decnt NVH levels and all, pricing it under 1L... Specially, since the 1L car having a rear mounted diesel engine...

Just travel in a piaggio passenger diesel auto, and you'll understand how hard Tata has to try to reduce NVH inside cabin

Tatas 1 lakh car is going to be launched with a petrol engine,diesel engine is not being considered at present.Initially the car will be launched only with a petrol engine.

3rd January 2007, 11:24	#1
vinodvv Newbie Join Date: Dec 2006 Location: chennai Posts: 6 Thanked: 0 Times	Will Tata's & Maruti's, crush second hand car resale value Before all, Wish you all a belated happy Newyear. I own a M800- 2003 Model and was hearing the news of Tata's making 1 lakh priced cars and for that reason hearing from people that Maruthi's will also bring down the price of M800 and the Alto. So what would be the ideal thing before the release of Tata's new Car? a) Sell old small cars because you could loose resale value b) don't sell and have the gas fitted on small car and pay the monthly car EMI Which one will you guys suggest? Looking for all you pro's to share your point. thanks My personal Blog: vinodvv aka vcube
	() Thanks

3rd January 2007, 12:00	#2
theMAG Distinguished - BHPian Join Date: May 2006 Location: Avon, CT Posts: 7,217 Thanked: 1,807 Times View My Garage	Dont jump the gun. We still dont know real-world usage value of the Tata 1 lac car.
	() Thanks

3rd January 2007, 16:19	#3
CrAzY dRiVeR Team-BHP Support Join Date: Jun 2006 Location: Bangalore / TVM Posts: 17,174 Thanked: 73,464 Times View My Garage	Let them come out with the 1L car first... Will be huge ask to provide decnt NVH levels and all, pricing it under 1L... Specially, since the 1L car having a rear mounted diesel engine... Just travel in a piaggio passenger diesel auto, and you'll understand how hard Tata has to try to reduce NVH inside cabin... I frankly dont think it will come cheaper than 1.5L (if it has some quality to it)...
	() Thanks

3rd January 2007, 18:02	#4
nispatel BHPian Join Date: Aug 2005 Location: Bangalore Posts: 97 Thanked: 0 Times View My Garage	Vinod, Your woes are unfounded. Tata has a huge line up for existing offering like Indica, Indigo etc and they'll surely won't cannibalize these for the cause of 1 Lakh car. 1 Lakh car will have a different value propostion and Indicas and M800s will retain their market place. When some one asked about safety this 1 Lakh car going to offer, Tata's have publically described that this car would be safer than safety a couple with 2 kids have on a two wheer. Read from it... Cheers and wish you a happy new year.
	() Thanks

3rd January 2007, 20:07	#5
DRC BHPian Join Date: Dec 2004 Location: Cockpit Posts: 911 Thanked: 64 Times View My Garage	1 lac car for how long? With ever increasing input costs and taxes, 1 lac may be an introductory offer for about a week. Then again, with what ever built for a lac, a used M800 for 1 lac, I believe will be more reliable than the new 1 lac car. Add "tried and trusted" factor for it and old cars never go out of fasion when it is maruti.
	() Thanks

3rd January 2007, 22:10	#6
esteem_lover Senior - BHPian Join Date: Jul 2006 Location: Madras/Py Posts: 7,556 Thanked: 502 Times View My Garage	The 1 Lakh car is aimed at a totally different market, certainly not at the M800 buyers. it takes something to understand a car & buy it, but for 1 lakh, it is an offering for a different sect of people. so there is no reason to worry about resale values. M800 will continue to be the best reseller. cheers
	() Thanks

4th January 2007, 19:43	#7
Mendi BHPian Join Date: Dec 2006 Location: Melbourne, AU Posts: 69 Thanked: 0 Times View My Garage	might be true as it sounds I believe Tatas can do anything. If they say they can provide a Bike and scooter driver, a car for just a lac of rupees, I totally trust them. It can be done. If chinese can manufature a car for less than Rs 1.4 lacs, we Indians can too. The only thing that Tatas did not consider was the boom in the salaries the labours and employees are getting these days in the market. May be that is the reason, Tata technologies, TCS and all other Tata Sub companies are still at the last places when it comes to paying compensations to their employees.
	() Thanks