The move by the Government in getting Proton to look for a strategic business partner is indeed necessary; it makes good business sense.
Although past efforts have been unsuccessful, a fresh attempt with a different approach, even if it involves some sacrifices, has to be considered seriously.
The global automotive industry has undergone immense changes during the past two decades. There have been mergers and take-overs of some big names. The smaller ones had to absorbed or closed down.
It is no longer viable for local or even regional car manufacturers to carry out operations on their own. Globalization has caused the automobile market to become extremely competitive.
Proton may have started off on the right footing, even exporting models to various countries. But survival on their own today is becoming increasingly difficult.
Proton therefore has to engage a suitable international partner in order to effectively penetrate the world market. Expertise has to be adopted, not only in marketing strategy but the effective and economical deployment of new technology, which is rapidly evolving. Quality control and reliability are of the essence.
Proton has to compete with major Japanese and Korean brands, and present a suitable alternative to buyers throughout the world.
Dato Dr. S. Vijayaratnam,
Vice President,
Parti Gerakan Rakyat Malaysia.