PROTON Pakistan

Introduction
PROTON was established on 7 May 1983 as a private limited company under the
name Perusahaan Otomobil Nasional Sdn. Bhd. (“PONSB”) and was subsequently listed
on the Main Board of the then Kuala Lumpur Stock Exchange (now Bursa Malaysia
Securities Berhad) on 26 March 1992 as Perusahaan Otomobil Nasional Berhad
(“PONB”). PROTON Holdings Berhad (“PHB”) which was incorporated on 28 July 2003
assumed the listing status of PONB on 16 April 2004 pursuant to a Scheme of
Arrangement under Section 176 of the Companies Act 1965.

PROTON has three primary national policy objectives:

• To spearhead the development of component
manufacturing industries,
• To acquire and upgrade technology and industrial skills
within the automotive manufacturing industry, and
• To strengthen the international competitiveness of
Malaysia’s industrial capability.

PROTON commands a substantial share of the domestic market for passenger

cars and over the years has been building up distribution networks in key market centers
across
these four regions:

• United Kingdom,
• The Middle East,
• South-East Asia, and
• Australasia.

The business of the PROTON Group has been expanded to include engineering
consultancy, manufacturing, distribution, financial services and property investments.
With a turnover of almost RM8 billion in financial years 2005/2006, PROTON Group is
one of the largest companies listed on Bursa Malaysia Securities Berhad.

PROTON Group designs and produces cars for diverse consumer preferences.
The portfolio of PROTON models includes the family sedan Waja, the stylish Gen.2, the
versatile Arena/Jumbuck, the fun-to-drive Savvy and the desirable sporty Satria Neo.

PROTON Group’s portfolio also includes the world-renown sports cars Lotus
Elise, Lotus Esprit and the recently launched Lotus Europa. These cars are manufactured
in Malaysia and the United Kingdom. PROTON Group conducts research in its centres in
the United Kingdom and Malaysia for new technologies with the ultimate aim of putting
these innovations into production through partnership with Tier One Suppliers of OEM
customers. A number of these patents have been licensed to leading car manufacturers.

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 Currently, PROTON Group has almost 11,000 employees who are involved in a
spectrum of business ranging from research, design, development, testing, stamping,
casting, machining and assembly to marketing, distribution and after sales activities.
Strong customer-orientation and competitively-priced products are the foundation of
PROTON’s business and are essential to the group’s success. PROTON aims to maintain
market leadership by continuing to develop innovative products and through satisfying its
customers in a better and more profitable way than its competitors.

PROTON in Pakistan
PROTON was launched in Pakistan on September 15, 2006 by his Excellency
Arbab Ghulam Rahim chief minister Sindh

Proton launched four products in Pakistan.

We have selected the following areas to understand the marketing mechanism/strategies

of Proton:

1. Product
2. Price
3. Place
4. Promotion
5. Segmentation

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 Product
In products section we have discussed about the features and specifications of four
cars launched in Pakistan. Through this ( by describing the specification and features of
cars), it is tried to market the products.
First we have described about the product

1. SAGA
SAGA 1.3 is available in Petrol/CNG. It is 4
cylinder, 12 value, air conditioned, power steering
(Adjustable), power windows, central locking, remote
keyless entry with alarm, CD player with AM, FM
Radio, remote trunk & fuel lid opener, twin tone
interior, front & rear seat belts, Reverse Sensors,
Remote Door Mirrors (Color Matched), Crystal Head
Reverse, Rear Combination Lamp, Tail Gate Spoiler
and high Mount Stop Lamp and also CNG Cylinder
Capacity 50 water Liter.

2. IMPIAN
IMPIAN 1.6 is available in both manual and
automatic transmission and also in CNG. IMPIAN
1.6 is 4 Cylinder, Twin Cam, 16 Values, A/C, Power
Steering(Adjustable), Power Windows, Central Door
Locking, Remote keyless Entry with alarm, CD
player ( Thumb Control Stereo System), Remote
trunk & Fuel Lid Opener, Twin Tone Interior, Leather
Seats, Automatic Door Mirrors, Fog Lamps, Driver
Foot Rest, Airbags, Alloy Wheels, Matching
Bumpers, Crystal Head Lamp, Reverse Sensors,
Height Adjustable Driver Seat, Rear Combination
Lamp, Chrome Show Grill, Central Console, High Mount Stop Lamp, 60/40 Split Rear
Seats.

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3. GEN 2
GEN 2 is available in 1.3 and 1.6 with both
manual and automatic transmission and also in
CNG. It is 4 Cylinder, Twin Cam, 16 Valves, A/C,
Power Steering, Power Windows, Central Door
Locking, Remote Keyless Entry with Alarm, CD
Player(Thumb Control Stereo System), Twin Tone
Interior, Front & Rear Seat Belts, Leather Seats,
Fog Lamp, Alloy Wheel Crystal Head Lamp,
Reverse Sensors, Height Adjustable Driver Seat,
Rear Combination Lamp, High Mount Stop Lamp,
Central Console, Rear Wiper, CNG Cylinder
Capacity 30 x 2 water liters, Automatic Conversion
from Petrol to CNG.

4. WIRA
WIRA 1.5 is executive car. Also available in
CNG. It is 4 Cylinder, 12 Valves, A/C, Power
Steering(Adjustable), Power Windows, Central
Locking, Remote Keyless Entry with Alarm,
Cassette Player with AM, FM Radio, Remote Truck
& Fuel Lid Opener, Twin Tone Interior, Front &
Rear Seat Belts, Height Adjustable Driver Seat,
Remote Door Mirrors High Mount Stop Lamp,
Driver Foot Rest, Alloy Wheel, Sunviser with
vanity mirror, CNG Cylinder Capacity 55 water
liter, Automatic Conversion from Petrol to CNG.

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 PRICE

Considering the market of Pakistan, Proton Pakistan has mentioned very

attractive process for its products. Because the Pakistani market is mostly
price conscious. Its low prices have helped it to attract large market share.
The prices of its products are as follows:

Version Price (Rs)

SAGA 1.3 L 649,000
SAGA (CNG) 1.3 L 679,000

Version Price (Rs)

WIRA 1.5 L 729,000
WIRA (CNG) 1.5 L 769,000

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Version Price (Rs)
GEN-2 1.3L (Manual) 849,000
GEN-2 (CNG) 1.3L (Manual) 889,000
GEN-2 1.3L (Automatic) 898,000
GEN-2 1.6L (Manual) 949,000
GEN-2 (CNG) 1.6L (Manual) 999,000

Version Price (Rs)

IMPIAN 1.6L (Manual) 1,049,000
IMPIAN 1.6L (Automatic) 1,125,000

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 PLACE
Place is also known as channel, distribution, or intermediary. It is the mechanism
through which goods and/or services are moved from the manufacturer/ service provider
to the user or consumer.
Proton Pakistan has launched its products in all major cities of Pakistan. It has
attracted many customers due to its good location of showrooms. It has opened its
showrooms at the following cities:

• Karachi
• Lahore
• Islamabad
• Faisalabad
• Rawalpindi
• Peshawar
• Multan
• Sialkot
• Quetta
• Gujrat (opening soon)

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 PROMOTION
Proton Pakistan has tried to market its product through billboards and commercial on
local cable networks (World Call).

SUGGESTIONS
• Proton should market its products on commercial TV channels.
• Proton should provide its cars free of cost to different banks and
negotiate with banks to reduce proton cars financing rates.
• It must reduce the price of GEN-2 upto 1 Lac Rupees, so that it may
gather more customers.
• It must change the shape of SAGA.