Zhejiang Geely offered an insight into the company’s background at the announcement of the Proton-Geely deal yesterday, and one of the presentation slides made note of Volvo Cars and of its revival and current growth, something the Chinese automaker was naturally proud to highlight, albeit subtly.
For good reason – when it purchased the Swedish automaker from Ford in August 2010 for US$1.5 billion in cash and debt, Volvo wasn’t in the pink of health, the company shifting just 335,000 units in 2009. Many didn’t think that the acquisition would amount to much in terms of success, that the brand could be saved by the Chinese company.
As developments have shown, the gamble paid off, and handsomely at that. Geely accomplished the turnaround with an injection of capital to the tune of US$11 billion, the investment used to revitalise the line-up with fresh models and develop innovative technologies. Key Volvo personnel were retained, which helped stability and continuity.
Products and technologies brought about by the transformation programme include the XC90, S90 and V90 as well as new modular platforms, the Scalable Product Architecture (SPA) and Compact Modular Architecture (CMA). Developed for larger and smaller cars respectively, both vehicle platforms are capable of incorporating either hybrid or fully electric car technologies.
An emphasis on electrification has also come about. In October 2015, the automaker announced a comprehensive series of electrification strategies, and these will see the introduction of plug-in hybrids across its entire range, the development of an entirely new range of electrified smaller cars and the advent of a fully electric car by 2019.
Underpinned by the CMA platform, the latter is set to be built in China for global export. The lofty ambitions on this front also targets to introduce up to a million electrified vehicles into the market by 2025.
All this has been reflected in strong sales growth over the last few years. By 2014, sales had climbed to 466,000 cars, and 2015 saw the automaker registering 503,127 units, the first time Volvo sold more than half a million cars in its 89-year history. Last year, it achieved its aim for a hat-trick of annual record sales, with 2016 sales amounting to 534,332 units.
The success Geely has had with Volvo augurs well for a similar transformation to take place with Proton, so it is hoped. The Chinese company has clearly stated it aims to revitalise Proton, and has pledged to make its global resources, knowledge and management skills available to the national carmaker.
Do you think Geely will be able to achieve its target of making Proton the number one Malaysian brand again, and into a leading brand in Southeast Asia? Share your thoughts with us in the comments section.
Looking to sell your car? Sell it with Carro.
Volvo ke arah kuasa besar dunia.
Volvo > all
Geely > all
Lynk & co > all
Proton > all
tokmoh bugger off already.
Such originality, so much so that i’m thinking you’re a troll.
“all things geely > All”
Might as well go and purchase a space on the newspaper and advertise daily that Geely is the best.
WE GET IT GEELY IS THE BEST. SO IT’S TIME TO STOP!
I think only one big difference: key proton personnel ahould NOT be retained then maybe got chance to turnaround la
Geely surely the better FSP than Peugeot PSA.
Any FSP is ok as long as Nasi Lemak management is get rid of
What will Proton do when Geely tell vendor ABC that they can source the same screw from China for 1000% cheaper?
After all ABC Sdn Bhd buys the screw from China for RM1 but sells it to Proton for RM100.
Proton CEO dun agree how?
CEO Geely will bring in mainland China workers. Many times more productivity cause they never even take break. No lunch, no fesbuk, no awek and no whatsapp.
What will Proton do when Geely CEO say they want to bring in Chinese workers from China cause they can 10 fold productivity?
What will Proton do when Geely CEO says 12,000 workers is way too much and only needed 6000 workers?
If pump in money, production go up need more workers la. Use your head. WHy would they sack worker!
Yes finally Geely will do the most important decision ever to Proton:
Sack the designer!!!
Actually Geli only interested in acquiring Lotus, not proton junk.
Proton will dissappear…Geli only want to penetrate the market they yet to penetrate
Being cash rich doesn’t mean you can strike gold each time.
This one simply a huge gamble endless blackhole for Geely.
Best of luck and Adios to you Geely!!!
Masa discussion, bash P1 kaukau.
Dah Geely beli, sapot p1 kaukau.
What an embarrassment for a veteran commenter.
Budaya lokal…Flip flop, U Turn, Reverse, gostan gostan…
Everyone here know tokmoh is a true blue Volvo/Geely supporter including U. tokmoh support P1 bcos Geely have bought into P1. For all intent & purpose, U should be supporting him bcos he is now on your/P1 side.
Why are U upset?? Is it bcos he tell the truth or bcos he write better than U?! I’m a neutral & I don’t like P1 & U know why. Take a break, Take a WONDA Coffee break. Hehehe. Cheers.
Get back to ur toyota hole. I dun sapot P1 cuz i sellings Biza with special package.
Bizza using Toyo engine la. Bodoh. Hehehe.
Believe me, I’d still bash P1 kaw2 if PSA is the FSP instead.
But now Proton join Geely, Volvo, Lynk & co, Lotus, London Taxi family. Cukurlaaa
Proton got bashed because for a car company that is 33 years old and had the whole automotive industry in Malaysia changed to protect it since its birth, and had full government backing, it still cannot be successful till today. Without protection, how many people will buy a Proton for real? If the price is comparable with a Toyota or Hyundai?
Malaysians are forced to buy Protons because they simply cannot afford other brands, until Perodua came along. And for a Malaysian car, why do people bash Proton more than Perodua? Because Perodua makes more decent cars compared to Proton.
Geely’s acquisition of Proton makes people have hope because it offers a chance for a better change, something Proton was not able to do after 33 years. While the car quality did improve, it was still lacking behind its competitors, hence kena bash again lah because it failed to meet people’s expectations.
Whether or not Geely can turn Proton around, remains to be seen. I hope it will make Proton successful so that it will prove that when you put politics and race or religion or personal interest above business, its gonna fail.
Good Luck Proton, hopefully this time they can really make us proud and change the doubters into believers.
another point u miss it out.. price are the most important part!.. since it is from local (i means before tk over by geely) we must sell it cheaper then outsiders brand n not by tax higher or import brands, so that you can earn more.. we rakyat not stupid as last times n by that doesn’t means we don’t love our country. we already gv too much time n money on it.. but end out what? we all pay for expensive car n for sure loan too, with cheap n lower gred products.. For how long we still wanted to continue on this? so wake-up pls. for ppl. for keep supporting nationals car, this is too expensive industry.. we don’t hv that kind of prof. for this kind of expensive industry n from A-Z, even got also they won’t come back to work on..as u all know i know cause of what… till today after so many year, proton nv came out their own engine, so where doesn’t the money all goes n pay for the high earnings engineers?.
It is going to be tough since Geely do not have the full control of Proton at 49.9% and most of the decisions will prioritize Proton’s directors, management team, government, unions, therefore it is hard to change.
Lets face it, Geely just bought two big losers; Proton and Lotus. Volvo cars is another story where they have a vision and really presented their ideas and plans before Geely purchased them, and that is why Volvo is doing well. Geely just pump in the money and Volvo do the rest. Proton and Lotus are just parasite money suckers who do not know what they want.
There must be a reason why Geely chose Malaysia and not Indonesia or Thailand or even Vietnam – which I don’t understand the reason why.
It is gonna be tough of managing change by having less control of Proton.
Geely chose Malaysia and Proton because Proton’s Tanjung Malim plant is underutilized and can make RHD cars. Geely wants to make their GC9s and Boyues here for the SEA market (Lynk & Co cars later). Malaysia is also more politically stable. I suspect the Government RND grant and other unpublicized promises made (including a low valuation of Proton) are also factors in the decision to take only 49.9% of Proton. This is not a “takeover”, it is merely an investment with more potential upside that downside.
Amboi Proton Volvo worker or fanboy?
Not a true Proton fanboy
How could you forget Lotus?
That really shows how insignificant the purchase of the English company
Lotus > all
London Taxi > all
More like…
Geely + Volvo
Geely + Lotus
Geely + London Taxi
Let’s face it la Proton, Geely wants Lotus only – happy got 51%. They don’t care about Proton. They just want that Tanjung Malim plant to see its cars in South East Asia and attain economies of scale by letting Proton rebadge their cars. In terms of technology… Volvo, Lotus and Lynk&Co will get the drumstick, Geely and London Taxi will get Breasts, and Proton will get the left overs such as the fats, internal organs and bontot.
So,we gonna have VOLTRON or GEETON or PROVO or GEEPRO or TUNTON or .something TON?
But,like Kunta says…after the crony suppliers start their usual wayang and mogok,Geely will call it a day n head for a messy divorce.
Then our dear Tun,can bring in his pet contractor to patch up n start AFRESH.
More like Ford was holding back Volvo prior. The swedes if given fredom can do wonders.
I do believe if given freedom, CamPro would had been launched with variable intake and exhaust lift from the get go.
Though 50.1% is still majority. Let’s hope Proton engineers could have the freedom to do their work from now on.
You know, engineers, we are always wanting to give the best, but held back by upper management forces which we were told we have no idea about the might it possesses…
Lotus will probably be a success. Proton, it depends on how much control Geely has. If Geely has no say in how things are run, who should be replaced because he is a Latuk or etc… or they must hire this many people because they are from X religion, or they must put this person in charge because he or she is from X religion… then, proton will close shop too.
Geely got what they wanted – Lotus. It is up to Proton on how to make the best of what Geely can offer.
Yup they got Lotus… their main aim. Now they have Volvo (kinda luxury arm) and Lotus (Sport division) and their own Geely cars are affordable range. Geely is cash rich and they own 49% of Proton… not a >50% stake meaning if things can’t control or go out of their way, terus buang share and cut loses. Remember, these fella is cash rich and does not tie or concern on other repercussions like people losing their jobs and vendors not getting paid. He will cut and run after giving a certain amount of time to Proton to be profitable. So Proton buckle up.
Haha, if only… Volvo has good, professional management and were starved of money for R&D by Ford. The same can’t be said for the crony company known as Proton…
DRB Hicom is very smart finally able to un-stuck itself from the quicksand mud.
Enter Geely straight into one-way street kamikaze mission.
Good luck and adios to Geely!!!
Proton is actually similar to volvo. Both have decent technical know how but no money, no volume and stupid mgmt. If only Geely can give hard love to proton then there might be hope.
Earlier i was interested to buy new XC60, now i takde minat langsung in any volvo.
Proton go decent technical know how?? I doubt it
Any p1 handling is better than your old 240
Maybe model of Perdana, Suprima, Ertiga will be dropped from Proton, then to be replaced by certain models from Geely/Volvo.
They own 100% of volvo so no kampung folks looking over their shoulders and meddling into their business. In proton they are not even majority owner.
There’s been a series of articles sucking up to Geely by Paul Tan,
but…. I like it!! I’m glad that we are moving away from the past, from this misadventure.
While we applaud all the past successes, it is time we let go of our past mistakes and learn something from it.
Like sending that guy to space and expect our space industry will take off…. or spending taxpayers money sending people to climb Everest, sail around the world, or even swim across the English Channel and hoping the world will recognise us as a fearless nation.
I guess it unfair comparison the Geely purchase between Volvo and Proton. Geely just a passenger not at the driver seat on Proton whereas Geely fully owns Volvo. On the sideline, I can just watch how this formula developed into a win-win situation for both parties.
Proton cannot be compared to Volvo. Proton is not an ordinary company. It is entrenched with politics and cronyism.
Why Geely could make Volvo healthy again is simple. Volvo was independent. The Swedish Government was independent. They tak masuk campur in any of Volvo’s hal
.
In Proton, Government is heavily involved in Proton’s hal. Every single vendor, who raped and bankrupt Proton, is a crony and is either an existing politician or the son of an ex politician.
This is the ONLY and MAIN problem with Proton. The car is good. the company is good. The child of Tun Mahathir is good. But it was a grand dirty plan to benefit the suppliers and vendors who are all cronies. This has been going on for 30 years.
In 2017, not even one of these cronies have been changed or terminated.
The problem now, when Geely sees that all these cronies are sucking Proton dry by overcharging 10x the price and giving super cheap and super low quality parts, Geely will want to change these vendors and suppliers.
Do you think these cronies are not going to hold on to their cash cow? All also politically connected and all also super powerful. And since they own 51%, they will tell Geely to podah and go to hell with Geely’s sincere changes.
Then you will see fireworks. Even all powerful DRB and Tan Sri Mokhtar could not even change one single vendor or supplier. Even powerful Mustapa also could not change one single vendor or supplier.
You think Geely can? After a while they will give up cause a company who earns USD30 billion in 2016 (RM135 billion) won’t bother about their RM1 or RM2 billion failed investment in Proton cum Lotus.
Jeeeezzz…. . Just go open your own blog. Nobody’s reading your shit.
Problem is, only toyota sapoters will visit and read his trash. And they r an ever shrinking community.
Looks like more pipu sapot him than u
Guess I’m just a nobody cause I’m reading it and it make sense………
I love Kunta’s posting. Makes real sense and logic. Truth hurts.
His posts got hidden agenda
What is it?
Honestly, think he is correct. Not so about his other article though.
Lol… Most of the vendor are drb hicom subsidaries… Most of the fund are going into syed mokhtar’s several layers of pocket…
Wait till Geely take over, they will know what they inherited.
In every Friday alone, they will loose Billion dollars.
Do they even look at Potong output Records…LOL
Proton then needs to make cars competitive enough for the Indian and indonesian market….
small , fuel efficient sedans sells well in india ,
while suvs , and people carrier is the norm in indonesia, in which neither could be found within proton stable…
ertiga is already sold in indonesia by suzuki and mazda ,
the exora is just too heavy with high fuel consumption , exora weighs 150kg-200kg (depending on specs and trim) more than a similar sized nissan grand livina , while avanza is 250kg lighter than the exora
a full spec sienta with 2 power doors is 50kg lighter than a base spec exora
saga needs a new lighter platform underpinning and a new more efficient powertrain , same goes with the persona , both have the potential to sell well in india ,as indians there prefers small sedans , a diesel powertrain would be a bonus..
I think continue to make the 1st Saga that we made, and sell it below Axia price it will outsell all current proton models summed together!
India’s market require a fuel efficient diesel engine in their smaller cars and manual gearbox. Honda City in India has a 1.5L turbo diesel with a 6 speed manual gearbox option. Diesel engine is something Proton does not have after more than 30 years of establishment.
Yes. With proton emphasizing on safety it fits well with volvo. Now both under one roof, i hope the only thing to challenge the 2018 iriz perhaps is a nokia.
Please Geely. Being the electric car technology to Malaysia. It will be success story like Volvo too.
Geely can do it just like they did in Volva,
as long as Proton let Geely to do it.
“…augur well”… How do you know? Are you fengshui master? Nobody can tahan burn RM1 bil forever lah.
Things to ponder:
1. Volvo was already an established brand with strong image prior to their downfall during Ford ownership.
2. Volvo is at the forefront in safety technology that is leveraged by their competent human capital and technical R&D capabilities.
3. Sweden has extensive and strong automotive supply chain and vendors that focuses on high technology, precision and quality manufacturing. Although they do not have a true ‘national car’, their industry is very matured and not intervened by the government, hence minimizing corruption or cronysm.
4. Geely have majority stake in Volvo, hence allowing them to have strong influence in making key strategic decisions.
So, you can’t really assume that if had worked for Volvo, it will work for Proton too (tho deep in my heart, I want to see real transformation inside Proton).
True… Proton don’t have a selling point like Volvo’s safety tech.
Now Proton can’t even use “Ride & Handling by Lotus” anymore.
It is ok, proton’s handling never dissapoints reviwers or buyers
Of course Geely can revive Proton just like what they had done to Volvo. However, it will takes time for the sales of Proton to increase again.
Proton will drag geely down with it. I bet drb and proton will infect the company as they did to all others like Honda, Suzuki and Mitsubishi. End game for another bran is looming
“Key Volvo personnel were retained, which helped stability and continuity”
Haa.. Watch Out Under Performer….
Proton doesnt even have technology. Sangkut ada lah
As long as there will be no “stupid” interference, hopefully everything will be ok.
What you’re trying to do is counting the chickens before they hatch. Just like some fanboys wishing P1 will be given Volvo to be rebadge. Wishful thinking. Delusions of grandeur. A very typical Malaysian trait. Nak muka & maruah, tapi tak takut standard diri sendiri.
Will P1 management & staff be willing to sacrifice and work hard? Or will they be stubborn & continue with the typical malaise behaviour?Will Geely be given full management control? Will the Gomen allow Geely to cull the cronies suppliers? Will Geely bring their own workers from China?
Onced the above is answered, then maybe we can see the future of Proton.
Anything not going their way, Geely will sell 49% Proton share for RM1. They got what they wanted …Lotus.
Yes… Volvo will never be rebadged as a Proton. That will spoil the brand. You don’t see Audi rebadged as a VW no?
Don’t mind I add in my earlier comment about their “new myth” of TGDi Engine. Dia orang memang cakap sendiri syok sendiri!
Proton-Geely tahaluf syiasi will bring more good.
I guess the numbers involved around RM3-RM4 billion:
i. RM700m for the shares;
ii. RM300m for the Boyue platform license. (contra);
iii. RM250m fo Lotus (another RM250m from Syed Mokhtar 49% own in Lotus);
iv. RM1.7b for govt ‘help’ (payback time);
The good news:
i. PROTON R&D will be one of Geely’s global R&D centre (SEA market);
ii. PROTON get to tap into all Geely’s and Volvo’s engine and transmission. (no more cam tak pro);
iii. Instant SUV model for PROTON;
iv. Shortcuts to electric and hybrid tech;
v. Beside handling by Lotus, PROTON gets safety by Volvo now;
vi. Emission complied internationally (whatever ERO numbers will be)
We’re looking forward for PROTON to deliver 500k units of cars by 2020 which translate into more jobs, more currency exchange, and more tax for the G.
Plus point, Geely’s after sales is one of the best in China, this bring culture change in PROTON since a lot has been invested by Geely.
The Perdana’s by superscale G servants will be Volvo in near time for sure.
Proton need junk cheap engine to survive. putting in a volvo engine instantly u will get a RM100k proton no one will buy. Proton is a brand at which people will buy and be number one if it is below RM15,000. LOL. The volvo engine will cost more than the selling price of proton!
Delusions of grandeur, especially with Volvo. Read what AVH wrote. It’s more likely scenario.
Sign first, then only talk
Until the first proton boyou roll out from tanjung Malim plant ,they can talk until cow come home
unless geely restructure the entire group; management, workers, vendors, brand name, logo and so on and so on…
Thundercat logo changed to thunderdragon.
unless geely restructure the entire group; management, workers, vendors, name, logo and so on and so on…
Voltron > All
Tagline shud change to ‘Defender of Malaysia’
Proton ni syok sendiri nak jadi macam Volvo. Proton kena ingat Volvo tak pernah ada masalah dengan branding dan quality ataupun working culture.
Go Google volvo problems and you get many pages ady. LOL
Geely is right to retain the Key People in Volvo as they are passionate and hardworking people. For Proton, Geely firstly needs to do management house keeping, kicking out redundancies, introduce new and competitive supply chain and engineers. Surround Proton with motivated people, suppliers and things will get back on track. Run a company like how it should.
But who can Proton retain? From top to bottom all lazy bum.
How u know they lazy?
By looking at all your sembang kencang delusional comments.
Google some facts if you may. Average car manufacturing lifecycle is 5-7 years. Here is Proton’s. If you think the figure is not justifiable, you may compare it to Kia, Hyundai and also Geely.
Proton Saga Gen 1, Iswara (23 years) Gosh!
Proton Wira, Satria, Putra (17 years)
Proton Tiara (14 years)
Proton Waja (11 years)
Proton Savvy (7 years) Discon due to poor sales
Proton Juara (2years) Discon due to poor sales
Proton Gen 2 (9years)
Proton Exora (8 years) manufacturing still ongoing
Proton Preve (6 years) manufacturing still ongoing
Geely does not control Proton, so it cannot do “management housekeeping.” It cannot run the company as it should be run. We can only hope that Geely/Volvo culture can seep into Proton.
One thing to note, Swedish mindset & our local Malaysian mindset are totally different, thus working culture & and patterns all differ.
All i can say is good luck to Geely to steer the wheel on this Malaysian ship.
can… BUT provided, changed all the current top & key personal management team and inject in new blood marketing team locally and aboard…
if i were drb hicom i’d keep quiet and let geely flex their muscles….however one difference is that volvo consisted of capable teams….im not so sure about proton
Geely bought over Volvo, that means they have a full control of Volvo, they can implement anything they want to make sure Volvo success, and hence the result. BUT, Geely only acquire 49.9% of Proton, DRB Hicom is still holding 50.1%, do you think Geely can implement anything they want? To get rid of the bloated workforce at Proton is already an uphill task, let alone turn Proton around to become profitable.
Spot on bro. We will see in the coming weeks if there is any update on this Saga. I believe the 12,000 employees are more interested to know their faith more than me or U.
Hopefully they will retain me as i help ‘defended’ them in PT since memorial time
Gud for u. But as for me, i shake leg got pipu alredi asking if i sell Biza with special package.
Good luck to you Geely. Soon you’ll find out what kind of nonsense you have bought into.
After 3 or 5 years of losing billions with little results from now, come back here for “Did I told you so?”.
Adios Geely!
Unlike volvo, Geely does not totally owns proton. If DRB is still in charge then Volvo-like turnaround is unlikely.
Volvo has a few things that Proton dosent have the luxury. Namely History, Legacy and a presence in major competitive automotive markets like North America, Europe and China, things that only appear in Proton’s wet dream. Add to that, credits to Proton engineer for what they’ve done, but they really dont compare to the the prowass and know how of the swedish engineers and designers, even pre-Geely.
The question now lies, what does Geely wants from Proton? Not as a company and assets, sure the Tanjung Malim plant have potential and Lotus, well Lotus is off Proton’s hand for good. But what does Geely wants Proton as a brand. We have no history, legacy, maket and what’s left of our skilled workforce can easily be absorbed into making Lynk & Co. Perhaps that 51% stake that DRB holds will give some yanking off Proton’s chains off the mainlanders. Or perhaps most likely Proton can be restructured as a budget brand for developing markets. I would be sad to see that thou, it will caps off whatever growth Proton will give and turn it into Geely’s Dacia. But time will tell what the change will bring.
Think geely will revive proton? Think again..
Geely just wants lotus, market access and tg malim capacity.
Proton gets money from shares sold and access to tech and platform. DRB still ctrl Proton.
Proton with cash from Geely buys tech and platform from Geely. Rebadge cars. Geely gets their money back.
People still hates proton, no body will buy just like accordana and ertiga.
Eventually run out of cash again.
Back to square one.
As a major shareholder they have to do something. Although not a majority shareholder, they still hold significant power to even veto any decision DRB were to adhere, maybe even a Porsche-style attempt to take over the company.
Regardless, whatever Proton is facing now will never to be resurface woth Geely around. The question is will the Proton brand be around? It can end up like Lancia where it’ll wither down to just rebadge Geely selling in its home country, a slow painful death. I honestly find it hard to see how many of Volvo’s and Geely technology be implemented to a Proton badge car.
Proton as a brand like i said, still have a bleak future from how i see it. Yes perhaps the cars will get better here on in, but not with any input from local talents, it’ll be another Perodua, but hey we’re find with that as long as it dosent touch our Tax money.
With P1 sold, now gov shud fully concentrate on public transports. Stop the hiways and undersea tunnels bollocks.
U are talking about different Gov. One got nothing to do with P1
Counting from all the comments here, I can safely say 90%++ will gladly see Proton brand gone for good, the faster the better. Me included.
Especially after they get another billion of tax money injected as backdated “R&D” funds. Extra furious.
One way out of this “brand” dilemma might be to create an entirely new brand for the ASEAN market, like what Geely is doing with its Lynk & Co. In any case, Geely itself has sub-brands.
I think you’re way too pessimistic. Not everyone hates Proton. The haters are normally snobs who feel superior just because they drive something Jap, like a Vios. Some of them are just racists who “hate” Proton because of… I think you know what I mean without me having to say it. Our government is not the first one to bail out a struggling “national carmaker” repeatedly. Donald Trump is doing the same thing right now with his border tax threats. I have owned a Proton Wira and, later, a Waja. Both were so-so cars; not great but not that bad either. Nothing major failed although the minor failures (signal lamp falling out/filled with water, power window failures) were really irritating. In fact, I still have my 16-year-old manual Waja even though I drive a “better” car now. I still love the Waja’s handling. My “better car” is not really value for money; I’m paying an unnecessary premium to get the quality, reliability, and features that I need. These three factors are Proton’s weaknesses but they are not insurmountable ones. If Geely can somehow change the culture of Proton, this partnership may be able to create cars that can give us those three factors at an affordable price. Granted, this will be difficult as Geely does not have full control. But it must try and we should support it. Otherwise, Malaysians will be forever stuck with overpriced Toyotas, Hondas, Pugs, etc.
Simple. Geely will leverage on Proton’s (facilities) as their stepping stone to break into Asia Pacific market. For the Malaysian market , all the Geely-derived models will be named as Protons. Question will be for those exported to other ASEAN countries, will it be badged as Geely or Proton? Both parties must mutually agree. Perhaps certain models will be have either Proton or Geely name. And there could also be new models jointly developed to cater specifically for this region. Regardless of the badge, bottomline is the Tg Malim plant is fully utilized. BUT , most importantly how the market will react with this new venture? Will the new products meet the perceived quality , price & after sales standards that the market is expecting? Competition is getting tougher these days. And this new PG partnership must work together for excellence.
Nothing wrong being Geely’s Dacia, in the same way as our very own Daihatsu’s Perodua. Or VW’s Skoda, SEAT.
It’s proven such business model can be profitable and beneficial to all stakeholders.
It’s time to take few steps back and work on the fundamentals. When all the bases are covered, the profit will come, and then Proton can afford to be a little adventurous.
Even if that day don’t come, as long as proton is profitable, Tg Malim plant churning out export models at full capacity, jobs are created and secured, no one will complaint about that.
Though, Geely makes it public their intention to establish Proton as another one of their R&D centre. Of course just declaring won’t magically produce anything. It is up to DRB to make the right decisions, and we hope they are smart about it. Though it is hard to argue otherwise, after all jobs can be created, higher technical skills and manpower can be developed, tax breaks and grants can be secured, there is every reason to believe DRB wants that to happen too. All it needs is to just cast out “100% buatan Malaysia” pride, there is no shame in getting guidance and know how from foreigners.
It’s nothing personal, it’s just business.
Petoron drb just need to keep quiet and let jili do their work. They get money u get money. And make sure all petoron workers start kerja rajin2. Interested to get new voltron car in malaysia.
Btw…. tun m, still cry crocodile tears?
How can you compare volvo and proton. Volvo knows how to make cars well, it just didnt have money. so Geely gave the money.
Proton does NOT know how to make car and does NOT have the money. Given money they still dunno how to make cars. give 100 billion also still wont know how to make cars. So what is there to compare?
Haha those commenting as if proton and volvo are similar. Even at volvo’s worst they were never as bad as proton’s ‘best’. Volvo was already a world recognized and respected brand before geely. Don’t think geely will somehow turn proton into a volvo.
In Malaysia it costs legs and arms to maintain a Volvo. It is recognised as luxury high maintenance car.
Rebadge japanese mitsubishi and suzuki to proton already malaysians not buy. Rebadge China car, will malaysians buy? Unless it is RM15,000 then maybe.
The only way I see it is Geely make use of tanjung malim plant to build cars to export and feed all our workers and not produce any cars for local sale. That would work.
Really! Proton will benefit from Geely/Volvo’s technology and R&D even though they had Lotus for a long time and was established in 1985 with so many incentives yet they FAILED. The FAILURE is not ONLY with TDM but also the high expectation on Proton workers with poor skills in business and technology.
沃尔沃(Volvo) > 吉利(Geely) > 普通(Proton)
That is how they want to market it. So prepare for more cheap small size A or B-segment Proton.
Slap a proton badge onto any car in the world will automatically make it a zero sales car! Look at ertiga!
While Inspira still was selling until end of stock, how?
Geely owner already write off the 49% of Proton la, and put that as what is needed to be recoup from Lotus once they pump the money into Lotus. They pump USD11b to Volvo to revive them, i think you and i and Geely owner know you don’t need USD 11b to revive and make Lotus prosper. Lotus will grow than the 49% they pump into Proton.
well, let’s just see what will happen next. if they score big time then congrats them. if they lose big them, it is not your hard earned money that is lost. if they come out with really good cars, those who criticise dont line up to buy… easy
It will be a failed investment for Geely in Proton compared with Volvo due to following reason:
1) Volvo is international brand and thus has wider and more matured market. Proton cannot even sell in “bolehland”.
2) Geely has mgmt control at Volvo, but not in Proton. Knowing Mat Boduh always want to have final say to save face rather than being rational, it will be extremely difficult for Geely to get things moving…
3) Geely will face obstacles in areas of trying to change employees working attitude and “tidak apa” mentality of bolehland. This will greatly affect staff performance and eventually, production output.
Daniel
Geely can just sell Protong 49% share to others and retain the Lotus, and bye bye protong
I think geely will support proton to manufacture bread&butter cars.
As long as the safety & quality are heightened, it should be good.
Geely has the fund, the expertise and the international marketing network to push Proton to a level of comfort, quality and look and eventually to be the number 1 car manufacturer if given the full freedom and power to do all the necessary restructuring.
If Volvo can produce car that price around 100k ringgit most of the Japanese ‘s car sale will drop 100%.
Proton will dissappear…Geli only want to penetrate the market they yet to penetrate.
Not easy as thought. Unless d politicians and crony get their hands off, Proton is still a hopeless company!
Fact is, Proton after being run by a head of a certain majority group for 34 years should relinquish his position & let it run by someone of a certain minority group. This business is simply too complicated for the current regime/ group. A good eg is Tony Fernandez. See what he achieved with AirAsia. Since Geely has almost 50% share of Proton don’t expect them to invest in money & technology without any say in decision making. After all Proton don’t have either. So it a matter of time Geely will take full control.
Just curious. Does any one know total sum of the stake that Geely need to pay DRB? Does anyone have that info?