Proton is a sinking ship. The people on top know that, and they're panicking.

With production halved to 5000 units/month, can you imagine what the downstream supply line is doing? Hardly anything. Manufacturing-wise, it's a bit no-no to slow or stop the production line. There should be accurate enough projections and targets to ensure that once started, the line will not stop. Anything other that 100% means that Proton is losing more money on the line, and that they've either messed up the projections, or are losing their confidence in their ability to sell. Unfortunately it has gotten to the point where cars aren't moving fast enough, because customers are losing confidence in quality, and because of all this uncertainty about the car industry, and the entrance and development of other players in the price range, offering better cars for the same money. If Proton goes down, it'll take a heck of a lot of related industries with it.

Now, they've tried. They've put out new models, they've done new marketing campaigns. Unfortunately they're still selling a two-decade old chassis, and they're running out of ideas. Now, VW has experience, expertise and more than a little clout. I'd reckon letting them run the show, and have the Proton people take an ego blow, is better than letting Proton sink. Cos if this continues, Proton will flounder eventually, and it'll drag the entire economy down with it.

Of course, one wouldn't know what VW's true agenda with Proton is. Obviously it's to make money, but whether there's anything in there that'll adversely affect us here in Malaysia, it's impossible to tell. Fact is, Proton is stuck between a rock and a hard place, and something drastic has to happen.

This post has been edited by j05h: Nov 9 2006, 11:34 AM