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Iranian Chill Thread

Exactly. The best thing to do is compete in industries that are profitable. I'm sometimes shocked at how cheap cars are these days and how well made they are. If I'm not wrong, Hyundai models in North America come with a 10 year warranty!!! 10 year bumper to bumper warranty on a car that costs 15K and is better than a 50K car that was being sold not even a decade ago.

The margins are ridiculous these days. Turkey is a massive steel producer (I've seen Turkish steel here on some job sites even) and labor is cheaper than the rest of Europe. There are some advantages, but not enough to make production profitable. Maybe in niche areas like heavy machinery, investment would go a lot further.

:agree: Mate, How can we compete against this. ?


Niche marketing ! :agree:
Not marketing bro....it is the only available option for us.
 
I know what you mean. But where else are you gonna be living in the long-term? Plus, you can buy a place, save on not having to pay rent and if you want to move somewhere else in 2 years time, just rent it out and have somebody pay your mortgage.

Why 50%? Calculate the service cost on a mortgage based on 25% and do the same for 50%. Write down the difference. Then calculate how long it'll take you to save up that extra 25% (to go from 25 down to 50 down). In that time period calculate how much rent you'd have to pay and how much you lose on appreciation. Compare it to the number you wrote down previously. It might be smarter to buy on 20-25%. You might also wanna take advantage of the low interest rates. The feds might increase the rates. American GDP will grow by more than 3% this year and an interest rate increase might be in the books.


That remains to be seen. Technically, cars today are light years ahead of what was being produced in the 90's and 2000's and Dena is still 90's tech. 15K is Iran's price. If they wanna export it, they have to add another 5K on top, minimum (creating points of sale in foreign countries, advertising costs, foreign exchange costs, transportation and other misc. costs). At 20-25K, Dena isn't competitive.

Some examples of the competition, all of which are better (MSRP means manufacturers suggested price and you can often negotiate it down and get it for less):

Nissan Versa: 11,600 MSRP
Ford Fiesta: 13,200 MSRP
Kia Rio: 13,600 MSRP
Suzuki SX4: 14000 MSRP
Chevrolet Sonic, Hyundai Accent etc... all under 15K

A Volks Wagon Golf starts at 20,000 dollars!! VW Golf is light years ahead of Dena in every department, even the exterior paint is miles better.

It's a great looking car, but it won't be a hit in foreign markets like you think. Iraq will import some probably and some more will go to the usual markets. But nothing crazy. Price is too high, quality is too low.

You are right bro, but because I don't pay for my place, I'm not really worried about that right now. You gotta have good credit if you want to buy a propery. I relatively new here, but it's definetely on the todo list.
 
@Abii joon

i asked a sales technician at IKCO headquarters in Kermanshah (thats where my car is getting repaired ) about the price of Dena for exports .

he said its maybe around 10-12 grands . and when i said so why is it about 14-15K in iran he just smiled .

he also said that the production quality of Dena has multiplied compared to Samand especially Runa .

thought i should share , cause i was really surprised when i saw those pics . its really nice
 
@Abii joon

i asked a sales technician at IKCO headquarters in Kermanshah (thats where my car is getting repaired ) about the price of Dena for exports .

he said its maybe around 10-12 grands . and when i said so why is it about 14-15K in iran he just smiled .

he also said that the production quality of Dena has multiplied compared to Samand especially Runa .

thought i should share , cause i was really surprised when i saw those pics . its really nice

Because the foreign buyer is paying in dollars (hard currency). It is more profitable for a company to be dealing in dollars than dealing in toman. Hence the difference.
 
The margins are ridiculous these days. Turkey is a massive steel producer (I've seen Turkish steel here on some job sites even) and labor is cheaper than the rest of Europe. There are some advantages, but not enough to make production profitable. Maybe in niche areas like heavy machinery, investment would go a lot further.
Thats some interesting stuff, didnt know there was a code hidden in those rebars. :)

2.png
 
@haman10 dada, Military.ir be fana rafte?Nemidunam chera nemitunam javab bedam tu pm.Javabe kutahe 2 soali ke porside:

1- na

2- javabe kutah nadare vali aksaran bale intorian.LOL
 
yet in the court of history.
Dude thanks again for the reply, to be honest if I were the president, I would definitely assign you as the spokesman of the state department as you have some exquisite oratory and eloquence capabilities in deforming the matter of the subject into a non relevant story. :lol:
Some simple questions asked and some obvious facts stated, and after reading your reply I feel bombarded by some high caliber artillery of accusations and disjointed big data, that I even can't manage comprehend it, :tup: congrats, we both know that's a high level capability in sophistry. :lol:
 
Because the foreign buyer is paying in dollars (hard currency). It is more profitable for a company to be dealing in dollars than dealing in toman. Hence the difference.
And because the car isn't worth more than 10K. If they try to sell it for any more, nobody will even look at it. Look at the features and quality. It's essentially the bare minimum in every area. A Volkswagen Golf starts at 18K. Even at 10K there are better choices. Dena and other Iranian cars can only succeed in markets where there is a systematic problem (war, sanctions, embargoes etc... where foreign manufacturers stay away and choice is limited).

29-2015-vw-golf-fd.jpg

2015_vw_golf_tdi_rear.jpg
 
Dude thanks again for the reply, to be honest if I were the president, I would definitely assign you as the spokesman of the state department as you have some exquisite oratory and eloquence capabilities in deforming the matter of the subject into a non relevant story. :lol:
Some simple questions asked and some obvious facts stated, and after reading your reply I feel bombarded by some high caliber artillery of accusations and disjointed big data, that I even can't manage comprehend it, :tup: congrats, we both know that's a high level capability in sophistry. :lol:

It is really sad, that you can not understand the science behind my reasoning. But obviously being emotional is much easier than thinking. I did not find any reference to science (or for that matter any empirical knowledge) in your reply-(ies). Typical of a reactionary. Have a good day.

And because the car isn't worth more than 10K. If they try to sell it for any more, nobody will even look at it. Look at the features and quality. It's essentially the bare minimum in every area. A Volkswagen Golf starts at 18K. Even at 10K there are better choices. Dena and other Iranian cars can only succeed in markets where there is a systematic problem (war, sanctions, embargoes etc... where foreign manufacturers stay away and choice is limited).

29-2015-vw-golf-fd.jpg

2015_vw_golf_tdi_rear.jpg

You can not compare the productivity level of Iranian labor force with Germans. It is rather laughable to bring the German examples. You being an accounting graduate, should know better on these matters (btw where did you get your ed? Humber college? Centennial?). Iranian work force is a subsidized labor market that has been living off the oil rent for too long. It can not compete in global markets, even if it wanted to. The reason for existence of Iranian auto-industry is not to compete with Germans. It is to provide subsidized (via oil rent) jobs to about a million or so workers and their families, in this sector while producing cars for national need.
 
It is really sad, that you can not understand the science behind my reasoning. But obviously being emotional is much easier than thinking. I did not find any reference to science (or for that matter any empirical knowledge) in your reply-(ies). Typical of a reactionary. Have a good day.
See, that's exactly what I was talking about. :lol:
However, I intended no offence bro, have a good day you too.
 
@Daneshmand baba why do you always miss the fucking point? You're saying they're selling it cheaper in foreign markets b/c of exchange rate advantages, I'm telling you they can't sell it for more b/c of competition. Exchange rate doesn't even come into the discussion when you literally can't go over 10K for that thing. And German cars are part of the competition. WTF do you mean we can't compare them? Why would I not compare it when they are both being sold in the same markets for similar prices?

I don't care about the reasons, nor did I ask for the reasons why Iranian cars aren't competitive. Nobody here went there, except you. Haman earlier said that Dena is going to sell like hot cake in foreign markets, I told him why it won't. Why? Because you can buy a Ford Fiesta for 13K, a comparable Nissan family car for 11K or splurge just a little on a brand new or barely used Golf. That's why it won't do well.

Instead of clicking reply to everybody's comment, read first.
 
See, that's exactly what I was talking about. :lol:
However, I intended no offence bro, have a good day you too.

No offense taken. Just empirical observation. It would have been more fruitful for you to go and understand the concepts of "economic rent" and "resource curse", rather than offering me a mundane job. Emotional solutions to complex economic problems is not among my interests. So, let it be. Have a nice day.

@Daneshmand baba why do you always miss the fucking point? You're saying they're selling it cheaper in foreign markets b/c of exchange rate advantages, I'm telling you they can't sell it for more b/c of competition. Exchange rate doesn't even come into the discussion when you literally can't go over 10K for that thing. And German cars are part of the competition. WTF do you mean we can't compare them? Why would I not compare it when they are both being sold in the same markets for similar prices?

I don't care about the reasons, nor did I ask for the reasons why Iranian cars aren't competitive. Nobody here went there, except you. Haman earlier said that Dena is going to sell like hot cake in foreign markets, I told him why it won't. Why? Because you can buy a Ford Fiesta for 13K, a comparable Nissan family car for 11K or splurge just a little on a brand new or barely used Golf. That's why it won't do well.

Instead of clicking reply to everybody's comment, read first.

No, actually it is you who do not understand. As I said the reason the car is being sold cheaper in foreign markets is because of benefits in getting paid in dollars not because of exchange rate advantage. It is because toman is not a reliable currency. A company that gets paid in toman, has to immediately convert them either to a hard currency or to stock up on feed material which it might not even need at the moment since toman loses buying power. A company that gets paid in dollar, has the advantage to keep them and use them as the company need dictates. It has nothing to do with competing with Germans.

It is rather futile for Iran to compete with Germans. The marketing of Iranian cars outside of Iran also depends on those foreign markets subsidizing these Iranian imports (via tarrif etc). Iranian cars can not compete on their own. As you can see, Iranian cars are not sold in Japan, UK or Spain, they are sold in places where such subsidizing conditions exist. Iranian labor can not hope to compete in a fair market since its productivity is not upto global standards.
 
Here is Dena's promotional video :


Here is Samand's burnout lol :


Here is an iraqi Samand 1.8L taxi riding along a 3L sonata :


^this one is funny :D

the guy with sonata actually enjoys beating samand :D

and here is samand EF7 acc. :

 
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