Honda Atlas Cars Pakistan Profit Decreased : There is a monopoly in the automobile Industry in Pakistan. Honda and Toyota are the most preferred brands. The competitors have had certain agreements which have made things difficult for the customers.
Honda usually does not bring rapid changes in the feel and look of their cars as compared to Toyota. The sturdiness of the cars’ suspension of Honda is below the mark. It is not considered encouraging for the country like Pakistan which has rough and tough roads and streets. The shape of their cars is more or less same as compared to previous ones. They have brought some changes in Civic and City, thus their sales have surged recently. On the whole, the industry has seen a noteworthy decline in sales and profits of the cars.
Honda Atlas has encountered a sheer fall in profit for its first quarter ending on June 30 2018, down by a immense 50% from Rs. 2.08 billion in the same quarter of last year. There is a decline in the sales of 13% 1Q18 to 1Q19. On the other hand, Toyota has a hike in the sales and profit of cars. There has been a huge demand for the cars of Toyota and even Suzuki.
The representatives from Honda termed it owing to rupee depreciation. He added the government has also banned non filers from the purchase of cars which is also a big hindrance in the sales and profit of automobile industries. The investors are lacking interest in investing in automobiles industry and pulling of the finances.