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Tuesday, 5 August 2014

Mercedes-Benz under monopoly investigation in China

A Mercedes Benz hood ornament is pictured at the Jacob Javits Convention Center during the New York International Auto Show in New York April 17, 2014. [Photo / Agencies]

German automaker Mercedes-Benz Shanghai office has been searched by anti-monopoly officials on Monday, China Finance Information reported Tuesday.

Investigators, sent by China's antitrust regulator, the National Development and Reform Commission, visited the automaker's Shanghai office and inspected several office computers, the report said.

It also said that almost all the staff there was questioned and several top management leaders were questioned until 21:00 pm.

The unexpected probe reportedly targets Mercedes-Benz's car price policies and price floor imposed on dealerships in China, said the report quoting people familiar with the matter.

The company has not confirmed the news yet. But an insider said to China Daily website that it is preparing a statement on the issue.

Under pressure from Chinese antitrust regulator's monopoly concerns, Mercedes-Benz was the first to officially reduce the cost of after-sales for its major models by launching its Start Maintenance Menu earlier on July 1.

Covering both smart cars and Mercedes-Benz models, including the A-, B-, C-, E-, GLK-, M-, R-, and S-Class, the cost of maintenance will be cut by 20 percent on average and the reduction for some specific models could be as much as 50 percent.

Then on Sunday, the German automaker announced that it will cut the prices of spare parts by an average of 15 percent in after-sales maintenance for all models from Sept 1.

Mercedes-Benz under antitrust probe: report Mercedes-Benz under antitrust probe: report
Mercedes-Benz cuts spare-part prices on anti-monopoly probe
Automakers lower prices following monopoly concerns

Source: Chinadaily/Asia News Network

Monday, 4 August 2014

Incompetent car service centres in Malaysia; Quality and standard need to be regulated!


No joy at car service centres

PETALING JAYA: Malaysians are getting increasingly dissatisfied with the quality of service provided by authorised vehicle service centres.

The J.D. Power Asia Pacific 2014 Malaysia Customer Service Index (CSI) study also found that the expectations of vehicle owners increased since last year. (see below).

Overall satisfaction among new Malaysian car owners slipped three points from last year’s score to 754 out of 1000, the study revealed.

Satisfaction with service provided by Malaysian national brands dipped below the overall average to 744 points, down five points from last year.

On the other hand, the study found that customers expected more from these service centres, compared to the year before.

“The study identified 22 service standards that enhance the overall customer service experience. Customer expectations in 2013 were for service centres to meet 17 of the 22 standards,” stated the study.

“In 2014, customers expected a minimum of 19 of those 22 standards to be met in order to have a positive service experience.”

The study also found that additional services improved customer satisfaction, such as washing and vacuuming vehicles at the completion of the service and making follow-up phone calls to customers after service had been completed.

It stated, however, that only 14% of mass market customers had their service centres carry these out.

Toyota ranked highest in overall customer service satisfaction with a score of 777, followed by Nissan at 776, while Isuzu and Mazda tied for third place at 775.

The study ranks the satisfaction of new vehicle owners on the service offered by these authorised centres in five areas: service quality (38%); vehicle pick-up (20%); service initiation (14%); service advisor (14%); and service facility (14%).

“Brands need to focus on the entire process – from helping customers secure service appointments, to providing top-quality services, to faster service turnaround times, to having friendly and knowledgeable service advisors – all of which contribute to overall customer satisfaction,” said J.D. Power country head Rajaswaran Tharma­lingam.

“Customers have higher expectations, so it’s vital that the automakers’ service centres strive to not only meet, but also exceed those expectations to deliver a satisfying experience for their customers,” he said.

The study measures the overall satisfaction level among vehicle owners who have taken their vehicle to any authorised service centre for maintenance or repair works during the first two years of ownership.

Contributed by P. Aruna & Tashny Sukumaran

Fomca: Quality of service centres need to be regulated

PETALING JAYA: The quality of vehicle service centres need to be regulated, either by the industry itself or by relevant authorities, said Fomca.

“We are also receiving an increasing number of complaints over the poor quality of service provided at vehicle service centres as well as on the quality of the vehicles.

“The industry needs to look at itself and make improvements.

“Malaysians are not getting a fair deal,” said Fomca secretary-general Datuk Paul Selvaraj.

He was commenting on the latest J.D. Power Asia Pacific 2014 Malaysia Customer Service Index (CSI) Study which found that the public’s overall satisfaction had slipped three points from last year’s score of 754 out of 1000.

“The findings of the survey is the reflection of the quality of service being provided.”

An engineer, K. Ramesh took his one-year-old car to an authorised service centre after experiencing some problems.

“My car started jerking. I took it to the centre twice but they could not figure out what was wrong.

“They finally said I would have to change the fuel pump and asked me to wait two weeks until they purchased the part. Then, they asked me to leave my car with them for a week for troubleshooting,” said the 29-year old.

Before sending the car in, Ramesh decided to check with several online forums, and found a simple solution shared by other car owners.

“I tried it and managed to fix it by myself in less that two hours.

“Because of their incompetence, I was given the runaround and would have had to be without a car for a whole week,” he said.

Another car owner, Eric Chia, 27, waited two hours before the centre started servicing his car despite having made an appointment a day earlier.

“I waited two hours before realising that others who came in after me had their cars attended to first.

“When I asked the customer service advisor, he said it was his mistake and apologised,” he said.

To make things worse, the service, which was supposed to take an hour, took three hours to complete.

“I thought they did a thorough job, a month later, my air conditioner was blowing warm air and my engine mounting was loose.

“I had to send my car in again before they finally fixed the problem,” he said.

Contributed by P. Aruna The Star/Asia News Network

J.D. Power Asia Pacific Reports: Well-Informed Customers in Malaysia Have High Expectations for Customer Service


Likely due to cars are expensive in Malaysia, customers are expecting better service when they take their vehicles in for service or repairs, and authorized service centers are not meeting those expectations, according to the J.D. Power Asia Pacific 2014 Malaysia Customer Service Index (CSI) StudySM released.
J.D. Power Asia Pacific 2014 Malaysia Customer Service Index (CSI) Study
The study, now in its 12th year, measures overall service satisfaction among owners who took their vehicle to an authorized service center for service maintenance and/ or repair work during the first 12 to 24 months of ownership. For the first time, the 2014 study examines service satisfaction exclusively on the mass market segment.

Toyota ranks highest in overall customer service satisfaction among mass market brands, with a score of 777. Toyota performs particularly well in the service facility factor. Nissan ranks second with a score of 776, while Isuzu and Mazda rank third in a tie at 775 each.

The study evaluates new-vehicle owner satisfaction with the service experience by examining dealership performance in five factors: service quality (38%); vehicle pick-up (20%); service initiation (14%); service advisor (14%); and service facility (14%). Satisfaction among mass market brands averages 754 index points (on a 1,000-point scale) in 2014, which is a 3-point decline from 2013.

 J.D. Power Asia Pacific: 2014 Malaysia Customer Service Index Study
The study identifies 22 service standards that enhance the overall customer service experience. In 2014, customers expect a minimum of 19 of those 22 standards to be met in order to have a positive service experience. In comparison, customer expectations in 2013 were for service centers to meet 17 of the 22 service standards. On average, authorized service centers are implementing 18.1 standards per service visit in 2014.

“Customers have higher expectations, so it’s vital that the automakers’ service centers strive to not only meet, but also to exceed those expectations to deliver a satisfying experience for their customers,” said Rajaswaran Tharmalingam, country head, Malaysia, J.D. Power Asia Pacific. “Brands need to focus on the entire service process—from helping customers secure service appointments, to providing top-quality services, to faster service turnaround times, to having friendly and knowledgeable service advisors—all of which contribute to overall customer satisfaction.”

The study also finds there are additional services some service centers provide that also improve customer satisfaction, such as washing and vacuuming vehicles at the completion of the service and making follow-up phone calls to customers after service is performed. Currently, only 14 percent of mass market customers indicate their service center delivered on both of these services, among whom satisfaction is 797, compared with 729 among customers whose service center did not deliver on both those standards.

Saturday, 2 August 2014

Xinjiang's terrorists kill religious leader Imam Jume Tahir in China


Xinjiang imam´s murder: 2 suspects killed, 1 detained
The murder of Jume Tahir, the imam of China´s largest mosque in the Xinjiang Uygur Autonomous ...

Imam’s murder is death-knell for terror

Police in Xinjiang Uyghur Autonomous Region announced on Thursday that they had shot dead two alleged religious extremists and captured one man, all of whom are believed to have murdered Jume Tahir, the imam of Id Kah Mosque, in Kashi.

According to a report by Xinjiang's official news portal ts.cn, the three suspects, who had been influenced by religious extremism and intended to do "something big" to make a name for themselves, killed the 74-year-old imam Wednesday after he finished the morning prayer service.

Id Kah Mosque is the largest in Xinjiang. Imam Jume Tahir was a patriotic religious leader who enjoyed a wide reputation and respect among Uyghur Muslims.

He publicly condemned the brutality of extremists after their recent deadly attacks in the northwestern region, which authorities believe to be connected to overseas terrorist groups.

The murder of the respected imam is a hideous crime. It only indicates that the extremists felt growing anxiety and fear over the patriotic religious leaders' public criticism and elaboration of the real spirit of Islamic teachings. They were attempting to create a sense of terror.

The death of Imam Jume Tahir has once again shown the world that the terrorists are the public enemy of all ethnic groups in Xinjiang. They mean to destroy the peace and stability of Xinjiang. They have created one bloody atrocity after another to draw global attention and promote their extremist causes. Whoever stands in their way will become a target.

The repeated deadly attacks have hurt the livelihood of Xinjiang, especially in the southern part of the region, including the tourist resort of Kashi. Local business people, mainly Uyghurs, have felt the biggest impact.

The terrorists are sacrificing the local economic and social progress for their purposes.

Terrorist attacks in Xinjiang seem to be on the increase in recent years. It is no surprise if you also learn about how the separatist World Uyghur Congress has been spreading false information to foreign media, and how the Western media have often been amplifying their prejudice against the Chinese government.

Prosecutors in Urumqi, the capital of Xinjiang, on Wednesday announced they were prosecuting Ilham Tohti, a former lecturer at the Minzu University of China, for separatism. The US Department of State demanded the release of Tohti on the same day. The stance will encourage overseas Uyghur separatists to create more troubles.

However, the extremists' goal to split Xinjiang or mess up the entire country will never succeed. It has become clearer than ever that ethnic integrity is the only choice for people in Xinjiang.

Source: Global Times

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Friday, 1 August 2014

Property prices in Malaysia to continue to increase, says REHDA

Property prices in Malaysia will continue to increase due to the supply and demand factor as well as the high land cost, according to Real Estate and Housing Developers Association (Rehda) president Datuk Seri FD Iskandar Mansor.

Notably, the average annual housing completion stood at 100,000 compared to the average annual household formation of 140,000, revealed the National Property Information Centre.

According to Iskandar, who also serves as managing director and chief executive officer of Glomac Bhd, the public have the misconception that developers are responsible for the rising property prices.

He explained that it is impossible for developers to maintain or lower the selling price for new launches due to land cost and high conversion premium, which has recently increased by up to 300 percent.

He also noted that the cost of doing business has been expanding each year, and, unlike before, developers no longer enjoy the 30 percent profit margin.

In fact, developers now only make around 15 percent profit margin because of high development and infrastructure charges, compliance cost, stamp duty and quit rent.

Moreover, land is getting scarce and more expensive.

“In early 2007, when Glomac bought land nearby the Petronas Twin Towers, the seller asked for RM1,000 per square feet (psf) but we wanted to pay only RM600 psf. I knew what we wanted to build on it so we paid RM1,000 psf,” said Iskandar.

“Now, that same piece of land is worth RM3,500 psf and the value of the building has risen. Land cost has tripled in the last seven years.”

Source:


 
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Thursday, 31 July 2014

China probes Microsoft monopoly

BEIJING: China’s State Administration for Industry and Commerce (SAIC) has launched an investigation into US software giant Microsoft’s Windows operating system, a day after officials showed up unannounced at several Microsoft’s offices in China.



Microsoft Corp faces China anti-monopoly probe



http://english.cntv.cn/2014/07/30/VIDE1406708763748561.shtml

The anti-monopoly regulator had sent some 100 inspectors to Microsoft’s offices in Beijing, Shanghai, Guangzhou and Chengdu on Monday and had obtained internal documents and seized two computers. “The regulator is also investigating a Microsoft vice president and senior managers and have made copies of the firm’s financial statements and contracts,” it said in a statement on its website.

The SAIC said it has also seized documents, e-mails and other data from Microsoft’s computers and servers. The probe could not be completed as some of the key personnel of Microsoft were not in China or unable to be contacted, it said. Xinhua news agency reported in June last year, the SAIC had investigated complaints from enterprises that Microsoft had used tie-in sales and verification codes in its Windows operating system and Microsoft Office application, causing software incompatibility issues.

It said Microsoft has agreed to cooperate with the government on the investigation.

In November last year, China’s economic planner and watchdog, the National Development and Reform Commission had launched a probe into Qualcomm Inc, the California-based world’s largest mobile chipmaker, to determine whether it has abused dominant market position. — Bernama

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