SA car prices

justplain

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Has anybody heard any further news with regard to vehicle prices in South Africa? It was all over the news when that enquiry was lauched in investigation of price fixing and high prices...but since then.....nothing. I guess they may think that if nobody mentions it we'll all forget about the investigation and they can continue to charge outrageous motor vehicle prices.!!!!! telco charges are'nt the only thing we pay too much for in this country!!!!
my 2 cents worth


"There is nothing more frightful than ignorance in action."
 

Goobie

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As sad as it is, I doubt the prices of cars in SA will ever come down. As long as you have people willing to pay the ripp off prices the car manufacturers will keep selling it that high. The anti-Telkom consumer awareness is unprecedented in SA and it is my hope that it will lead to a general consumer education process, making people more aware that we are being ripped off, in some cases paying twice what the car is worth. My personal list of ripp offs in SA, is 1) Telkom, 2) The banks and their bank charges, 3) Car prices.

sorry, probably doesn't answer your question, just had to vent a bit...
 

mbs

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Er - actually, no. When it comes to rip-offs, there are players in other sectors of the economy that are even worse than Telkrap, the banks or car manufacturers/distributors.

To my way of thinking, if you consider that a 'rip-off' may be defined as price fixing of goods or services at beyond that which the market would bear, without regard to the related factors that influence consumption in that market (as, for example, in a monopolistic situation protected by regulation <i>a la</i> Telkom), then there are even worse offenders.

All players who artificially mark-up prices without genuine value-add to that offered, are equally guilty. Currently, I believe these to include medical aid societies, the oil companies, the middle-men in the food distribution industry, and the so-called 'asset management' companies. Taking the first one as an example, how much more immoral or unethical can you get, by making a rip-off profit off someone's illness? This is absolutely sick (no pun intended)...

I also have a problem with those who fix their prices according to supposedly 'official tariffs' or 'scale of charges' published by their profession or coordinating body, which invariably is just a bunch of mafia-types interested in ensuring that their revenues are maintained and increased whenever possible - this includes doctors, lawyers, advertising agencies, contractual accountants, etc. Has anybody ever challenged the make-up of their tariffs in a real sense?

It should be clear that what we sorely need, is true consumer activism - perhaps along the lines of Ralph Nader's approach. I certainly see forums like MyADSL forming the nub of such future activism...
 

pat22

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The government also slaps VAT on medical services. Since when has potential life saving surgery or drugs been a luxury?????
 

nOhIwAy

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<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote"><i>Originally posted by mbs</i>
<br />Er - actually, no.
<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">

<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote"> <i>Originally posted by Goobie</i>
<b><font color="red">My personal list</font id="red"></b> of ripp offs in SA, is 1) Telkom, 2) The banks and their bank charges, 3) Car prices.
<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">

mbs, read carefully and criticize cautiously [;)]
 

mbs

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Your point being? Are you saying that I should 'criticise cautiously' somebody's personal crit list, when this has been published for public consumption? If so, why?
 

justplain

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here's an article from CARTE BLANCHE's website regarding car prices.

http://www.mnet.co.za/CarteBlanche/Display/Display.asp?Id=2316

I still think it's shocking what we have to pay for a new vehicle

taken from http://www.compcom.co.za/resources/Newsletter%20September03/CC%20Newsletter%20HTML/Contents/How%20competitive.html
"For example, between 1984 and 2003 the price of the entry-level Volkswagen Citi Golf shot up from R7 995 to R64 720, an increase of a staggering 709,5 percent. Similarly the price of its entry-level rival, the Toyota Conquest Tazz, increased from R12 060 in 1985 to R63 276 in 2003, a gain of 424,5 percent 1. It should be noted that no significant improvements on these cars took place during the periods concerned."




"There is nothing more frightful than ignorance in action."
 

Chris_the_Brit

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But more car prices have risen in ALL contries around the world but NOT so substainily
 

justplain

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well, the news is out.....August new car sales rose by 21.6% year on year.
taken from http://www.finance24.co.za/Finance/Economy/0,,1518-25_1582701,00.html

Of course the car manufactures can now safely say that their prices are not high or overly inflated, due to the increase in car sales.!!
Rubbish
I'd like know what percentage of the total number of cars sold were sold to fleet\car hire\transportation\government divisions\businesses.
I'm quite sure that the car rental guys dont pay nearly as much as what we pay, if they even buy the vehicles outright. They probably have some hire purchase type agreement with the manufactures.
After you've taken all the fleet cars etc out of the equation...see how many are left that are bought\financed by private invidiuals..
I'm sure it's not as a much as the fleet cars etc.
anyway.........i'm still saving for a car..........wonder if i'll ever have enough? ..perhaps I should start blaming the banks?
hmmmph....[;)]

"There is nothing more frightful than ignorance in action."
 

andres101

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what about importing cars? should be perhaps not try and get goverment to lower import taxes so that SME's/ppl can import cars at cheaper prices. that will force them to lower their price!
 

stoke

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But then the motor manuf.'s will cry long and bitterly about how the strong rand is killing the poor bastards and how they cant make any profit exporting and now people can import cars for cheaper than they can make them and they are going to leave the country and a lot of people will be jobless and ...

They are whiney greedy bastards and the whole "We hire x amount of people" argument is a strong one. The argument of - well - you are a business - cut costs does not seem to fit in the picture.
 

ettubrute

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Heard a guy telling the following: while visiting his family in Oz, he bought a car there, imported it himself, paid all the taxes, and still scored about 35% in the deal. Hmmm, maybe should try it myself....



Et tu, Brute?
 

Jerrek

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Where would you import cars from? Your steering wheel is on the wrong side of the car, and British cars are about as expensive as yours.
 

Jedisword

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Japan is also left-hand lane drive country,its the no 1 car production country by volume,but our import duty are way too high at the moment,local manufacturers increase their prices when Rand dollar exchange rate was nearly R11/$ ,now exchange rate stands at R6.7 /$ ,but prices has not come down ,partly due to protect the value of the lease for the banks,a dramatic decrease of new cars prices can create big headaches for the banks.

Transportation cost in South Africa is too high ,damaging SA competitiveness,some solutions must be found !
 

TheVoice

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<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote">Where would you import cars from? Your steering wheel is on the wrong side of the car, and British cars are about as expensive as yours.<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">

No they're not, buying a car in the UK is far cheaper (especially second hand) than buying it here. Plus you get the benefit of having special editions and a wider range of models.
 

Andre

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This topic reminds me of why I drive a motorcycle instead of a car.[:)]
 

koffiejunkie

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I recently bought a second hand car, eight years old. I got quite a good deal, considering what they go for. I paid more for it than it cost new eight years ago. In fact, what I end up paying after financing, interest, ect, is more than what I would pay for that exact same car brand new, if I paid cash. That is disturbing.

I had a look the other day out of interest at Volkswagen Australia's website. Guess what I found? Theirs are a lot cheaper than ours, and Australia is known for its high car prices. I wouldn't be surprised if the Golfs they sell are imported from us, but I'm not sure.

In S.A. as per http://www.volkswagen.co.za/models/golf/prices.php a Golf4 1.6 costs R166,500.00

In Australia, the same car is $25,990 (http://www.volkswagen.com.au/personal/golf/price.asp?model=&Car=golf) . Auzzie dollar is R4.59 to the Rand (http://www.golfing-safaris.com/currency.htm) giving R119,294.10. That's R47,205.90 cheaper than here, where they are manufactured locally.

For a somewhat less applicable, but interesting comparison, the Golf 5 2.0 with 4-motion costs 22,480 Euro (http://showrooms.volkswagen.de/golf/) - about R180,289.60

Please note that I'm not trying to pinpoint Volkswagen, the situation is similar for most manufacturers.

--
koffiejunkie
 

Jerrek

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Hmm, this is very interesting. Lets see.


Volkswagen entry level Golf CL 2.0L 115hp: $18,300 [R94,141] (Keep in mind this is a 2.0L car. There is nothing smaller from Volkswagen available in Canada.)


Here are some more prices in Canada. I don't know what your prices are, but feel free to compare. I'm listing the CHEAPEST price, which is probably the cheapest version you can buy (smallest engine, without any extras):

2004 Audi A4 1.8L 170-hp I4: C$34,500 [R177,481]

2004 Chevrolet Aveo 1.6L 105-hp I4: $13,500* [R69,448]

2005 Toyota Corolla 1.8L 130-hp I4: $13,500 [R69,448]

2004 Toyota Camry 2.4L 157-hp I4: $24,800 [R127,580]

2004 Honda Civic 1.7L 115-hp I4: $16,100 [R82,824]

2004 Honda Accord 2.4L 160-hp I4: $23,900 [R122,950]

2004 Mini Cooper 1.6L 115-hp I4: $22,600 [R116,263]

2005 Ford Focus 2.0L 136-hp I4: $16,800* [R86,425]

2004 Mazda3 2.0L 148-hp I4: $16,300 [R83,853]


*Those with a star have interest free (0%) financing available up to 60 months. Most asian cars are 1.9% or 2.9% financing, and European cars are 2.9% or higher.
 

Perdition

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The problem is that SA is a very "status driven" society, for some reason every monkey and his brother NEEDS to have a BMW (or similar) car. They would rather go hungry and drive a nice car and while people do that car manufacturers will reap the benefits. I still don't understand why people need to drive these bigass 4x4's to go grocery shopping... only in SA [;)]
 

nOhIwAy

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<font color="blue">The local industry has a world-beating cost ability on short or low-volume runs, competitive tooling costs. and a high degree of manufacturing flexibility.</font id="blue">

http://www.southafrica.info/doing_business/sa_trade/exporting/autoexports.htm

You can import a "made in ZA" car from Australia (duties excluded) for much less than the same "made in ZA" car in ZA.

Time for action on this front [}:)]

Time to break down ALL monopolies - the banks, insurance and many more .
 
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