Protons Competitiveness In International Market Marketing Essay

Since 1986 Proton has used and still using international marketing as one of its strategies to expand its business. Proton is representing Malaysia as the first nation’s car makers. The company has made the citizen proud with its development. Initially, Proton toddled with borrowing Japan’s technology but now Proton is able to make its own car’s engine. Apart from contributing to the economic development of country, Proton also has provided job opportunity to the society. This has given the chance to the people to improve their life status. Besides that, Proton also sets a reasonable price for its car to ensure that everyone is able to have a car. Proton has a very high potential in expanding and developing its industry. Many have shown their recognition upon Proton’s product. However to go internationally, Proton has faced many challenges to compete in the market. Therefore through this analysis, the level of competitiveness of Proton in international market will be seen.

In order to get the raw material Proton has dealt with foreign vendor which could supply a large scale of suppliences and went to many regions rather than dealing with local vendors only According to the chart above, the Total In Vehicles in India is large as there is a speculation saying that India will produce 32 million vehicles by the year 2010 [6] . The planning on assembling in India is a good move since India has always been an ideal place to market cars. Apart of that many foreign car companies like BMW, Toyota and such also has made big investment in Indian car market. Proton also has chosen China to deal with in order to get the suppliences in large scale as China also stated a high volume of Total In Vehicles which is 12.7 million. By using both global and local sourcing they could have wider source to locate and they can enjoy the economies of scale. Proton will get lower per unit price for the parts thus reducing the production cost. This will also attract foreign dealers to make an investment in Proton company. Foreign direct investments will be attracted into the region which will in turn stimulate growth of supporting industries in the region for many foreign direct investments [7] . Proton has reduced the volume of cars to be exported to UK as the number of Total in Vehicles in UK is smallest to be compared with China and India. Other than that it also requires higher cost. This shows the competency of Proton in international market.

Besides that, in exporting its cars to United Kingdom Proton has converted its car name from Proton Waja to Proton Impian. This is said to counter the perception in the local market that Proton’s cars material were not strong. Proton Impian has got itself a place in the heart of the customers in United Kingdom. Many positive feedbacks have been addressed to Proton since the day Proton Impian was launched. Proton has also rebadged Proton Persona to Proton Gen.2 Persona. This is to get accepted in UK and Indonesian market.

Through the analysis, it shows that Proton is in the right track and has high potential to be competent in international market. However due to the challenges, competition and the downturn of Proton’s market share [11] Proton has to be more competitive in the market, proton should find any possible chance to meet the market demand. For example, the step to market Detroit electric car, hybrid car into UK which has stringent legislation in emphasizing emission control is a good strategy [12] . Other than that, Proton has to grab all the opportunity and make use of its strengths [13] . Thus, proton will be able to stand one level with other car manufacturer across the globe now and in the future.