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No beating about the bush.
Tata Nano, the much talked about ‘lakhtakia’ car, may actually cost you around Rs2 lakh, including registration, insurance, taxes and loan repayment charges
Tata Motors’ ambitious ‘lakhtakia’ car, the Nano priced at Rs1 lakh—excluding taxes and duties—is in fact costing customers nearly Rs2 lakh. According to both new and used car dealers, when you include registration, taxes, insurance and the total value of instalments to repay the loan, the real cost of even the basic version of the Tata Nano goes up to Rs2 lakh.
“People had booked the car under the perception that the vehicle will cost only Rs1 lakh. But it comes to more than that or nearly Rs2 lakh, when all things (additional expenses) are considered,” a car dealer said.
Tata Nano comes in four different variants, namely Nano, Nano CX, Nano CX-Metallic and Nano LX. Including registration and insurance charges, the Nano’s on-road cost comes to Rs1.53 lakh, Nano CX costs Rs1.81 lakh, Nano CX-Metallic costs Rs1.85 lakh and the Nano LX comes at a cost of Rs2.09 lakh. Nearly 70% of the total bookings for the Nano have been done through bank loans. So when you add the interest component into the on-road cost of the basic version, it goes up to nearly Rs2 lakh. Prospective buyers had taken a loan ranging from Rs90,000 to Rs1.40 lakh—depending on the version of the Nano that they had booked—which attracts an interest of 10%-12% per annum.
Again, the fact that customers have to pay the interest first and then posses the car has not been well received by many prospective Nano buyers, car dealers said.
Most dealers said that customers did not like the fact that the price of the car was much higher than what they had initially expected, as the vehicle had always been touted as a Rs1-lakh automobile.
“They (Tata Motors) advertised the price of the Nano at Rs1 lakh, so everyone believed that they would get the car within that amount. However, that is not the case. Even the bare minimum or basic version of the Nano has an on-road cost of Rs1.35 lakh,” added a dealer. Also, since the Nano has a minimal resale value, potential customers are thinking twice before buying the vehicle, he added.
Last year in August, Moneylife had published news items regarding Nano cancellations from prospective buyers due to the delay of the actual car delivery date coupled with higher interest rates being charged by various banks.
However, according to media reports, Tata Motors managing director Prakash M Telang had said that cancellations are not very large in numbers and a few cancellations “here and there” were normal. According to reports, he said that the company was doing its best to ramp up and start production at its Sanand-based plant.
If at all you have to spend nearly Rs2 lakh for a small car, then why not go for something that can offer more features, asked a dealer. He said, “If you intend to spend Rs2 lakh on a car, then go for any second-hand Santro or Zen.”
The wellness & healthcare sector is looking at building up credibility for its services through a self-regulatory process of accreditation
The wellness and healthcare business has so far been unregulated and subject to quackery by players who make money using whatever means possible. These businesses are now looking at building up credibility for their services through a self-regulatory process of accreditation.
On 7 January 2010, the Federation of Indian Chambers of Commerce and Industry (FICCI) jointly with Quality Council of India (QCI) and National Accreditation Board for Hospitals & Healthcare Providers (NABH) released ‘the accreditation standards’ for wellness centres and healthcare institutions with the objective of striving for continuous excellence and better standards for both the organisation as well as the customer.
Milind Soman, model, actor and founder of Breathe Fitness, said, “There are a lot of organisations that are taking advantage of the ignorance of the public, the plethora of myths, misinformation about fitness and wellness just to make a quick buck. This can not only be detrimental to the physical wellbeing of an individual, but also the emotional wellbeing and has to be stringently guarded against. Malpractices by these people will adversely affect the credibility, profitability and growth of the industry in the long run.”
In order to make a difference, it is important to get oneself accredited. Accreditation is defined as a public recognition by a national accreditation body of the achievement of the accreditation standards.
Dr Girdhar Gyani, secretary general, QCI said, “Every player should adopt best practices and adopt self-discipline to become a role model. Whatever regulatory mechanism that is made will only improve the level of adoption of standards which most of you are already following.”
He added, “Customers would be the biggest beneficiary among all the stakeholders as accreditation results in high quality of care and customer safety, leading to satisfaction. It stimulates continuous improvement enabling the wellness centre to demonstrate commitment to quality service. It raises community confidence in the services provided by the centre and provides an opportunity to the wellness unit to benchmark with the best.”
Dr Harish Nadkarni, chief executive and managing director of Quality Care said, “The idea of accreditation is not to go and find out how many institutes will fail. The idea is to see how many you can pass or assist to pass.”
While this is a long overdue development, it does have its share of drawbacks. A major issue that was brought up by the industry was the capability of employees in providing acceptable levels of service. It was pointed out that some training programmes give an individual a certificate after just twelve hours of training. While the technical committee of the NABH washed its hands of the issue saying that it doesn’t accredit training institutes, industry professionals felt that setting acceptable standards of training was a topic that needed serious discussion.
A group even sat back after the conference to discuss and debate this issue of setting standards for the quality of service, stating that if the education minister doesn’t set a standard, they as an industry would set it themselves.
All major manufacturers like Maruti Suzuki, Hyundai Motor, Tata Motors, Hero Honda and Bajaj Auto registered healthy jumps, which were further fuelled by the low-base effect of 2008 due to the slowdown in the domestic auto market
The Indian automobile industry recorded an impressive 68% growth in sales in December last year, thereby continuing with the push it had received from two stimulus packages since 2008-end and successfully beating the year-end blues, reports PTI.
According to the Society of Indian Automobile Manufacturers (SIAM) data, total vehicle sales in the country rose to an astonishing 10,00,500 units last month against 5,97,241 units in the year-ago period.
All major manufacturers like Maruti Suzuki, Hyundai Motor, Tata Motors, Hero Honda and Bajaj Auto, registered healthy jumps, which were further fuelled by the low-base effect of 2008 due to the slowdown in the domestic auto market.
Thanks to the late surge in sales towards the second half of the year, total domestic automobile sales in year 2009 grew by 16.9% to 1,13,20,918 units compared to 96,82,113 units in 2008.
"In fact in the passenger vehicle segment, India was the third highest growing market in the world after China and Germany in 2009," SIAM president Pawan Goenka told reporters at the 10th Auto Expo.
While India's passenger vehicle sales were up 18%, China's 42% growth was propelled by a tax cut on cars announced in January 2009, he said. Germany saw 25% growth buoyed by the incentives given for buying new vehicles in exchange of old ones. Mr Goenka said sales in 2009 were also boosted by new launches totalling 11, the highest in recent years.
Passenger car sales stood at 1,15,268 units in December, the ninth straight month of growth, compared to 82,174 units in the same month a year ago, up 40.3%.
Motorcycle sales rose by 76.7% to 5,92,596 units in the month from 3,35,370 units in December 2008, it added.
Carrying forward the upward march that began in July, sale of commercial vehicles in the country soared by nearly three-fold to 48,614 units.
In the passenger car segment, sales of market leader Maruti Suzuki increased by 35.4% to 62,653 units in December 2009 from 46,262 units in the year-ago period. The country's second largest carmaker Hyundai Motor India registered 42.6% growth at 22,252 units compared with 15,600 units in the corresponding month of 2008, SIAM said. Tata Motors' sales went up to 12,944 units from 8,422 units in December 2008, a jump of 53.7%.
In the motorcycle segment, market leader Hero Honda's sales jumped by 78.7% to 3,51,953 units in December 2009 compared to 1,96,914 units in the year-ago month. Rival Bajaj Auto's sales soared by over two-fold to 1,46,262 units. Chennai-based TVS Motor Company registered a growth of 43.3% at 34,141 units in December. Honda Motorcycle & Scooter India (HMSI) saw its bike sales increasing by 29.9% to 40,241 units from 30,978 units in the year-ago period.
SIAM said that total two-wheeler sales in December last year surged by 66.6% to 7,67,796 units from 4,60,852 units in the corresponding month in 2008.
In the scooter segment, sales jumped by 41.4% to 1,27,597 units against 90,247 units a year ago, SIAM said. HMSI's sales were up by 24.7% at 70,048 units against 56,186 units in the same month in the previous year. SIAM said TVS Motor's scooter sales also increased by 43.9% at 20,735 units compared to 14,413 units in the same month in 2008. Hero Honda's scooter sales were up 30.1% at 16,081 units as against 12,363 units in the year-ago period.
Three-wheeler sales during December were up by 83.67% at 34,993 units compared with 19,052 units, it added.
Light commercial vehicle sales were up by over two-fold to 24,577 units against 10,997 units in the year-ago period. Medium and heavy commercial vehicle sales rose by over three-fold to 24,037 units compared to 6,900 units in the same month in the previous year.