Re Entering And Capturing The Malaysian Market Marketing Essay

The purpose of this study is to explicate and bring forth concern thoughts and market ploy for Chevrolet Malaysia. It intends to invent a market recapturing scheme for the local market section, by concentrating on three major factors ; Reengineering the Marketing Strategy ; Revising the Product design and making a Dynamic Product Promotion and Brand Awareness Campaign, all of which will be discussed at a ulterior phase.


Chevrolet was founded by Louis Chevrolet and William C. Durant. Louis Chevrolet was a race-car driver, and William Durant, laminitis of General Motors, had been forced out of GM in 1910. ( Wikipedia 2009 )


William C. Durant Louvis Chevrolet

Chevrolet had a great influence on the American car market during the 1950s and 1960s. In 1957, Chevy made the first fuel injected engine. In 1963, one out of every 10 autos sold in the United States was a Chevrolet. ( Wikipedia 2009 )

Chevrolet offers 18 vehicles and many different enhanced versions in its place market. The vehicles range from subcompactcars to medium responsibility commercial trucks. Its figure one marketer in the United States is the Silverado pickup. Chevrolet continues to be the public presentation, monetary value, fuel economic system, and value leader for General Motors North America. ( Wikipedia 2009 )

Chevrolet in Malaysia

On 28 August 2007, General Motors Asia Pacific Holdings LLC and DRB-HICOM BERHAD announced a joint venture, taging a new beginning for the Chevrolet trade name as a whole in Malaysia.

Ownership of equity

General Motors Asia Pacific Holdings has a 51 % interest while DRB-HICOM holds 49 % in HICOM-Chevrolet


They endeavor to be a prima automotive company in Malaysia, gaining their client ‘s enthusiasm through uninterrupted betterment driven by unity, teamwork and invention


Their end is to heighten their merchandises and services by concentrating on our clients ‘ demands and to make so with a spirit of excellence, duty, transparence and creativeness. The Chevrolet has got seven traders in Malaysia and distributed in different parts. They are in Petaling Jaya, Pulau Pinang ( two traders ) , Melaka, Klang, Johor Bahru, and Bangi.

The Market

As reference before, Chevrolet has got 18 different theoretical accounts of autos. But in Malaysia it provides a few here are some theoretical accounts:


Chevrolet Captiva


Chevrolet Aveo


ChevrolteOptra Magnum


Chevrolet Optra Magnum Estate


SWOT Analysis


Name recognition- The name Chevrolet is the most recognizable car maker in the United States.

Company image- Chevrolet ‘s image is that of tough, reliable, long permanent vehicles. A Its “ Like a Rock ” advertisement run equated Chevrolet trucks with cowpunchers, ranchers, and building workers in an effort to paint an All-American entreaty for these vehicles. A Its newest slogan “ Chevy, the longest permanent autos on the route, ” continues the company image of bring forthing lasting merchandises.

Product diversity- Chevrolet features many different merchandises for many different mark groups. A It has five divisions of vehicles: autos, trucks, athletics public-service corporation vehicles, new waves, and commercial vehicles. A Because of its diverseness it can market its merchandises to about any mark group. A It produces a 145 horsepower Cobalt for under $ 15,000 every bit good as a 505 horsepower Corvette for over $ 65,000.

Rushing Sponsor- One of Chevrolet ‘s biggest selling assets is its five racing squads: NASCAR Nextel Cup Series, NASCAR Craftsman Truck Series, Indy Car Series, American Le Mans Series, and NHRA Drag Racing. A These events provide Chevrolet with a alone chance to turn out to consumers that its merchandises are superior to rivals on an even graduated table. A A


No luxury vehicle- Chevrolet does non have, and has no purpose to have any type of luxury vehicle. A Without this they can non vie with foreign makers. A Even Ford and Chrysler have developed a luxury vehicle for their fleets.

Weak in Equus caballus power- Besides the Corvette, all Chevrolet vehicles are substandard to their foreign competition when comparing Equus caballus power. A The Chevrolet Impala features a 185 horsepower engine, while the Honda Accord, its direct rival, boasts a 240 horsepower engine.

Dull merchandise design- Once once more, with exclusion to the Corvette, Chevrolet vehicles have a very conventional and deadening design. A This hurts the company drastically because people are ever looking for a sleeker, more aggressive autos.


Hybrid Engines – With Malibu Hybrid, fuel efficiency is non merely the smart pick but a fashionable one excessively. With its patented GM Hybrid Propulsion Electric System and a surprisingly low MSRP, the Malibu Hybrid is the most low-cost midsize loanblend in America.


GM ‘s planetary footmark

Equity confederations:

Fiat Auto SpA: GM owns 20 %

Fuji Heavy Industries ( Subaru ) : GM owns 20 %

Isuzu Motors Ltd. : GM owns 49 %

Suzuki Motor Corp. : GM owns 20 %

Wholly owned subordinates:

GM do Brasil Ltda.

GM of Canada

Holden Australia

General Motors de Mexico, S.A. de C.V.

Adam Opel AG


Vauxhall Motors Ltd.

Fuel Efficiency – Making a difference in our environment is every bit simple as driving a more fuel-efficient vehicle. That ‘s why Chevy offers more fuel efficient theoretical accounts than Toyota or Honda with an EPA estimated 30 MPG main road or better. Choice theoretical accounts of Aveo Sedan, Aveo5, Cobalt, HHR and Malibu all autumn into the 30 MPG main road or better fuel economic system nine.

Revival Plan – The Chevrolet resurgence in Malaysia continues with the launch of three new theoretical accounts, the Aveo, Optra Magnum and the Optra Magnum Estate. This makes a entire of four theoretical accounts in the Chevrolet scope of autos that are available to the Malayan populace following the launch of the Captiva few months ago.


Alado Corp Sdn Bhd will be establishing 3 new Chery theoretical accounts over the following few months get downing with the Chery QQ, due to be launched this month. The Chery QQ, a small town run-about with an 800cc engine has been the topic of contention, with claims of it being a blazing transcript of Daewoo ‘s Matiz. The Daewoo Matiz is sold here by Hicomobil as the Chevrolet Spark.

The heist is so bad that a General Motors ( which owns Daewoo and Chevrolet ) interpreter said, you did n’t hold the name tags on the auto, you could n’t state them apart. Its a clone that you can draw a door off of the Chevy Spark and it fits on the QQ – and it fits so good that the seals on the door clasp.

Hicomobil ran an ad run when the Spark was foremost introduced seeking to inform Malayan consumers of the C transcript state of affairs between the Spark and the QQ. It went along the lines of “ This is the existent Chevrolet Spark ” or something like that, I ca n’t truly remember precisely how it went. The run ran aboard a publicity with KFC where you could win a Chevrolet Spark in a competition.C: Documents and Settings
azkhanehDesktopspark_qq_sidebyside threats.jpgThe Chevrolet Spark retails for RM46,588 here in Malaysia. The CBU vehicles comes with a 800cc engine every bit good, mated to a 5-speed manual transmittal. Alado Corp Sdn Bhd plans to monetary value it ‘s 800cc Chery QQ at about the RM40,000 degree, underselling the original Spark by about RM6,000. It ‘s non known whether the QQ will be CKD or CBU. Alado intends to accomplish combined gross revenues of 1,000 units this twelvemonth for the Chery QQ and Chery A160. The Chery A160 was introduced in December last twelvemonth and there are presently 200 of them on the route to day of the month.

IDEA Screening

Chevy autos at 0 % involvement:

HICOM-CHEVROLET Sdn Bhd is keeping a once-in-a-lifetime offer of 0 % involvement rate for nine old ages for its scope of Chevrolet cars.The offer is on-going while stocks last.

Its main executive officer, Sanjeev Garg, said the publicity comes at an appropriate clip as Malaysians everywhere are looking for attractive offers.

Strategy pays off

WHEN Hicom-Chevrolet took over the distribution of the Chevrolet trade name in Malaysia over a twelvemonth ago, the scheme was to do it a taking automotive trade name in the state, present on the trade name promise of quality and value, better trader web quality and present suited new merchandises for the market.

The launch of the 7th Chevrolet 3S Centre, offering gross revenues, service and trim parts, in Penang on Nov 29, went portion of the manner in carry throughing that vision.C: Documents and Settings
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Turning web: This is the 7th Chevrolet 3S Centre in Penang.

The newest Chevrolet mercantile establishment is operated by Cergazam Sdn Bhd, the trader ‘s 4th such mercantile establishment after being appointed by Hicom-Chevrolet a twelvemonth ago to run three 3S Centres in the state – in Petaling Jaya, Johor Baru and Prai.This latest add-on of Chevrolet franchise signifies a large measure for Cergazam in gaining theirdream of going a prima automotive trader in the state,


Market Cleavage

The mark market that we are taking for is of the immature urban professionals normally referred to as yuppies. These are reasonably successful immature skilled workers who have no important fiscal duties. This means they have some disbursement money, which could be rerouted towards a new auto.

Harmonizing to the Malayan authorities statistics the population of Malaysia stands at 27.37 million.

The bulk of the population ( 63.5 % ) is between the ages of 15 and 64. Within this population group it the mark market of yuppies. By contracting our range there is fewer elements we need to see and this means the run is focused and has increased opportunities of succeeding.15 to 64, This in society eyes is the age that everyone wants to be. The immature look up to and the older want they were still within this age group. These are people who are in college, university or about to venture into the work environment. They are normally adventuresome, hazard takers, up-to-date and techno understanding ; they are waxy and want to do a statement. Their gustatory sensation is eclectic but is unified in that it ‘s immature fresh and it has evolved from traditional and embraces the modern universe. They have the “ It ” factor that we are looking to fulfill. Through understanding the demands and the wants of the market we will be able to put the coveted merchandise within range of our mark market.

Merchandise placement within the market

Here I intend for Chevy to come in the market as an low-cost luxury auto that does non compromise on manner, fuel efficiency ( the scope is 40MPG and safety. We bank on the fresh, vivacious, cool, sole image it portrays. This is what will appeal to the mark market, as autos are now a contemplation of the proprietor personality and manner.

The market scope in which I have chosen there are some industry leaders in luxury autos. The market age of Chevy will besides play a large function in act uponing the way market and success of scheme. The recession has affected the car industry really badly and advanced and make bolding approached may intend the difference between industry leaders and tendency followings. The competitory advantage of Chevy in the Malayan industry will be that it is a foreign auto that is produced locally. This means that is will be more low-cost than most of the autos in the market scope significance that for lower monetary value clients can acquire top of the scope quality.

Re-entry Scheme:


This is the Beat ; Chevrolet Concept Car for 2009, revealed some early this twelvemonth. Here I propose that Chevy Malaysia spouses with Naza. This is the synergism scheme that promises to convey benefits for the parties involved. Naza is a Malayan company that has been in the market for a long clip and has built a repute of first-class service and sturdy manner. Over the old ages it has gained the trust and the trueness of Malayan automobilist. Chevy BEAT will convey great manner, capaciousness and versatility to the section of highly fuel-efficient little autos. The determination to add the BEAT to Chevrolet ‘s portfolio reflects the trade name ‘s committedness to being a fuel efficiency leader in the industry. The defect of Naza is their deficiency design squad to come up with their won design since the design and prototyping can easy travel into the 100s O of 1000000s. Chevy could come up with the design and Naza could supply the agencies to come in the market.


The Chevrolet Cruze hit Malayan roads in July 2009 and it is imported from Korea as a CBU theoretical account. The Cruze is a C-segment saloon in the same category as the Civic, Corolla Altis

and Focus.

Degree centigrades: Documents and Settings

The Cruze is by and large a instead good looking auto and it has a pleasant inside every bit good. It has been touted over and over that this auto together with the approaching Chevrolet Volt will be the new planetary auto that saves GM. Unlike old GM C-segment offerings where the Americans got the Cobalt while the remainder of the universe got the Daewoo-derived Optra, the Cruze is one individual theoretical account that will function the planetary market.

Another new Chevy will come subsequently – the D-segment Chevrolet Epica. Look after the leap to see a full featured high declaration inside & A ; exterior exposure gallery of the Cruze and its Daewoo-based version, the Lacetti Premiere.

Business ANALSIS

DRB-HICOM Bhd ‘s and its joint-venture ( JV ) partnership with General Motors Corp ( GM ) .

There has been guess that the partnership between the two has been on the stones but DRB-HICOM Monday denied via a statement that the partnership had been terminated.

GM, on the other manus, is said to be in the center of a strategic reappraisal of its operations and concern in the Malayan market with ongoing treatments but had non signed understanding with any companies yet, harmonizing toA Bloomberg.

GM was believed to be speaking to five parties for a new JV or partnership that included the Naza Group. DRB-HICOM and GM ‘s partnership was incorporated via a JV company, Hicom-Chevrolet Sdn Bhd, with GM Asia Pacific having a 51 % interest and DRB-HICOM the staying 49 % .

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Among the theoretical accounts marketed by Hicom-Chevrolet is the Chevrolet Captiva athleticss public-service corporation vehicle

The 10-year partnership that sees Hicom-Chevrolet as a distributer of Chevrolet autos in Malaysia is renewable every year.According to an industry analyst, if the understanding is non renewed, the impact to DRB-HICOM would non be excessively damaging based on the gross revenues of Chevrolet autos in the state.

As at terminal June, Hicom-Chevrolet ‘s gross revenues stood at 60-70 units per month with around 1,000 autos sold last year.The one-year gross for the gross revenues of Chevrolet autos is close to RM1bil and if the guess is right, DRB-HICOM may merely lose RM15mil to RM20mil in part at most to its one-year bottomline, .

Beta proving

One of the major challenges that Chevy presently faces is the revenue enhancement that is imposed on import autos which deters most prospective purchasers. If this partnership were realized an off-shoring rule could be implemented. The assembly of the autos could be done in Malaysia invalidating the foreign revenue enhancement imposed on import autos. This would intend that the works and distribution channels would hold to be put into drama to ease the operation and fabrication in Malaysia. Subsidies may be given to the companies for making employment and lending to the car industry and the economic system to promote and pull investors. To cut on set up costs, bing assembly workss simply need to be extended and the same distribution channels used. The issue of trim parts will be done off with due to the propinquity of franchises and assembly workss.

Tax return on investing

Chevy will harvest the benefits of implementing these schemes in phases. I proposed extended and thorough moral force and localised advertisement schemes.

Short term Benefits

Get bombilation and ballyhoo traveling about Chevy

Get people speaking about Chevy

Reposition Chevy on the Market

Long term Benefits

Re-brand Chevy as a auto for the MY people

Associate Chevy with astonishing Quality characteristics at an low-cost monetary value

Create trueness and trust in the Car

Long-run growing in gross revenues

Technical Execution

Design & A ; Technology

Technology architecture is a wide topic, which can be divided into two subdivisions, one being in the office and the other on the auto.

These yearss, autos, which are integrated with cool engineerings, are extremely sort after by clients, particularly clients who are immature at bosom, hip and spirited. Nowadays many autos come with GPS, air bags system, ABS ( Automatic Break System ) , and other usual things we can see in autos. It is non a surprise to see this sort of engineering in autos, but now we would desire to present some systems, which may be unfamiliar but should be extremely regarded as a necessary safety characteristic.


Keeping in head that our mark market is the Yuppies, which consist chiefly on immature grownups, are people who enjoy holding a beautiful drive and velocity. Speed of all things, particularly after 120 kilometers per hour is really unsafe for autos with power guidance, because any little alterations in the guidance will be felt particularly at high velocity. When rushing if you lose control of your maneuvering wheel that ‘s reasonably much the terminal of the auto, and sometimes the driver and riders.

To battle these dangers, we have decided the engineering, which can assist the auto stay in control. The Steering Wheel Technology, this engineering will do the guidance heavy after a certain velocity that is set. With this engineering, you ca n’t all of a sudden sheer in the center of the route at high velocity because it has already steadied the wheel with weight.

Besides another safety engineering we ‘ve taken into consideration would be the tyres. Talking in personal experience with a household member who was rushing at about 180 kilometers per hours when his tyre got punctured by a nail which caused him to lose control of his auto but due to his speedy thought he managed to salvage his unrecorded by banging his auto to the cement splitter to decelerate his auto down before he reached a ditch.

From here we can see how of import a tyre is to the auto and what it can make, even at a lower velocity like 80km/h it would do a sudden pull which might dismay the driver who ‘s non cognizant of what ‘s happened to his tyre. Therefore we proposed a engineering for the tyre where it is partitioned into 10 subdivisions, each subdivision is connect by an air passage at the rims. This manner if one of the subdivisions is punctured, the driver will non lose control of the auto but will be cognizant of the state of affairs and non in a panicky order. He will hold to slowly drive his auto to the nearest tyre store to hold it patched up.

Take for illustration this tyre, is partitioned, that if it were to puncture one portion it will non do entire harm but sing the other parts still contains air. Subsequently on extra engineerings like self-inflating tyres where there ‘s a little pump could be added. Note that these engineerings already exist but we would wish to integrate it with a MyChevy Car.

Speedy & A ; Smooth

Now we can bask automatic speedy and smooth transmittal at the monetary value of a manual passage. By this significance that even with an car gearbox the fuel efficiency is still like a manual gear box. As we know, automatic transmittal consumes more fuel than a manual transmittal would. It is a 6-speedgearbox, which can salvage up to 9 % of fuel depending on application.

PowerShift Gearbox

PowerShift will show the full comfort of an automatic but with a more sophisticated drive dynamic, thanks to uninterrupted torsion from the dual-clutch engineering, which consists chiefly of two manual transmittals working in parallel, each with its ain independent clasp unit. The first clasp holds the uneven cogwheels ( 1,3,5 ) while the other holds even cogwheels ( 2,4,6 ) following gear alterations are coordinated between both clasps as they engage and disengage for a unflawed bringing of torsion to the wheels

Dual-Clutch Technology

Power Shift provides great displacement quality, overall thrust moral force, which is facilitated by brilliant electro-mechanical systems, standardization, controls and package characteristics. Some of the cardinal differences from the conventional automatic transmittal and PowerShift:

aˆ? Neutral seashore down – When brakes are applied the clasps will withdraw therefore bettering the coasting downshifts and clasp hardiness, which besides increase fuel economic system.

aˆ? Precise clasp control in the signifier of a clasp faux pas to supply torsional damping of the engine quiver – This map improves noise, quiver and abrasiveness ( NVH ) at low engine velocities and enables lower toting bounds for improved fuel economic system.

aˆ? Low-speed drive or creep manner with incorporate brake force per unit area – To command the sum of turn overing torsion is exactly controlled which increases as brake force per unit area releases. This map simulates the low-speed control drivers are accustomed to from an automatic transmittal.

aˆ? Hill manner or launch assist – By keeping the brake force per unit area till the engine delivers plenty torque it prevents the vehicle from turn overing backwards. This provides drivers with the assurance of comfort, safety, and clasp hardiness.



Chevrolet Company should better the publicity portion if they want to win in the car market in Malaysia. I even attempted to number the figure of Chevy autos in a individual thrust through Kuala Lumpur. I managed to number approximately 4 autos in the busy streets of KL. This, in my position, it shows that Chevy ‘s has a difficult clip branding itself into the Malaysian ‘s car market.


Our mark market spends some clip watching telecasting. While watching their favourite soap or films, commercials come in between. Great films have proved success to a batch of trade names because people will remain to watch the commercial, afraid to travel and lose concentration on their favourite plans.

Great commercials will do people remain in their seats, and, the trade name in the commercials stay in people ‘s head.

Nowadays, one of the most watched sites is YouTube. YouTube is a great medium to make the consumer because it can expose the picture to the consumer, at anytime, anyplace with the debut of nomadic Internet entree ( nomadic YouTube ) .


YouTube Logo

Chevy ‘s Commercial on YouTube

Cars Magazine

Car Magazine is one of the most expensive types of magazine in this state. Peoples bought auto magazine for a batch of ground. One of the chief grounds is to look into out the new trade name auto without even traveling to the cyberspace.

Reappraisals, Ads, and even postings can make trade name consciousness by station it in the magazine.

Below is a twosome of most celebrated auto magazine in Malaysia.

Popular Car Magazines

MOTOR TRADER 2.jpg000coverjanuari2009kerecm6.png

Motor Trade KERETA

Augmented World

One of the most interesting synergistic advertisement mediums is practical world ; it is really cheap to implement and for the consumer to utilize.

Peoples visit the site, and by utilizing a symbol on a piece of paper ( for illustration, a page on a auto magazine ) , can look into out the latest theoretical account ( or the old one ) in 3D right in forepart of their eyes.

Here ‘s how it works:

MagicSymbol.jpg miniaugmented.jpgAugmented Symbol Website that offers the service Experience the Augmented World

Test Drive

For our mark consumer, that is yuppies. Chevy should allow them prove thrust. Have them experience the auto first manus. They are most likely to non purchase the auto yet, but it will make the trade name consciousness, trade name association, and get down to do Chevy a default auto in their heads. Subsequently when they are sing purchasing a auto, Chevrolet ‘s name will start in to their heads.

Ad Campaign Using Public Transport

Cab, Bus, LRT, Commuter, and even Monorail should be posted with Chevy ‘s ads. For illustration, people want to drive a really comfy auto in a traffic jam. Ads that being posted on public conveyance will make trade name consciousness by utilizing a small spot of wit.