The Story of Notable Chinese Automakers Failure in Iran
A group of famous automakers, especially Chinese came to produce or import vehicles into the country but poor partners alongside bad sales and after sales services ruined their brand among people. But how this thing happens and what is its effects on the Iran’s auto industry?
Khodrocar – Notable automakers have come to Iran through the history and didn’t success because of poor partner choice. They didn’t find market in Iran and even ruined their brands in people’s mind.
Subaru, Lotus, Audi, Seat, Honda, MAN, GAC, Geely and MG are some notable automakers, which didn’t succeed in Iran’s market because of their partners and just a few of them revived by choosing new powerful partners.
"Choosing a good partner has been a challenge for foreign automakers in Iran since long time ago. It has several reasons and one of them is, Iran doesn’t have a specialist organization to match companies with each other for cooperation like Match Finding companies.” Ali Shokouhi, an expert of auto industry told Khodrocar reporter.
"Also, choosing a right partner depends on the intelligence and accuracy of the foreign company. Sometimes they chose the partner wisely, but political issues won’t let them make their way and they must change their partners with another one under pressure. So the procedure of choosing partner is getting out of its logical way which is resulting in customers untrustworthy.” He added. "The third losing side is the customer and by that the triangle of losses which contain main company, importer and customer, completes.
"The customer have the most losses when a brand fails, because he bought a products which doesn’t have after sales service or second hand market because their partner was weak and they didn’t introduced well in Iran’s market.” Said Shokouhi. "In this condition, people won’t trust the importer or producer anymore they will lose other markets in the future. But the impact this happening is way more for the main company and it may ruin their brand for rest of the time.”
By the absence of the match finding companies in Iran, ministry of Industry, Mine and Trade should pay more attention while giving the license of cooperation for Iranian companies. This kind of things will have bad effects on the whole industry in a short period of time in the future.
Khodrocar Reporter: Mostafa Anisi
Khodrocar Translator: Amin Zamani
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