Is the IRGC’s Move to Pull Out of the Automotive Industry a Logical one?

(August 23, 2017 – This article was translated to English from khodroname.com) – Earlier this year, news was published in the media, which showed that the economic arm of the Revolutionary Guards decided to withdraw its foot from the Iranian automotive industry. This news, though initially with many buttocks and ambiguities, eventually took place, and the majority shares of the Bahman Automobile Group are part of the Crude Manufacturing Company, one hundred percent privately owned and one of the country’s largest producers, granted. There are two major questions in this assignment. First, why the army decided to withdraw its foot from the Iranian automobile industry and stop its activities in this industry, and secondly, whether the Bahman buyer was able to locate the company at a lower level and only has properties and niches In Tehran and around it, has turned to a large automobile to play a role in the car market of the country?

In response to the first question, there are several views. Some believe that, given the current downturn, the best opportunity to buy and sell stock in large companies is that both the buyer and the seller can be satisfied in the event of a transaction. Naturally, given the lack of liquidity and the rising value of the rials in the Iranian economy, Bahman’s owners, taking into account the economic realities and prospects, have decided to sell the car manufacturer and try to use the resources made to invest in other Economic sectors of the country. On the other hand, experts believe that due to the lack of importance of the role of the automotive industry in Iran’s economy and the lack of profitability of this industry, as in the past, the secret of survival in this valley is a joint venture, research and development, and the transfer of know-how to the country. Given the nature of the previous owners of Bahman, this work could not be prioritized. The economic arm of the IRGC, in terms of its power and equipment, is able to take larger projects and use its power in those projects. Industrial is not like a car where many actors are present and do not have the same demand as before for their purchase, but now it does not have much to offer for investment unless small car makers are integrated into large automakers and as a subsidiary of them Production lines so that their production lines are not empty.

The Bahman Group’s record in recent years has shown that with the departure of Mazda as one of its main trading partners from Iran, Bahman’s production lines could not, as before, have gained momentum, and the executives of the company tried to invite The Chinese are about to revive these lines, but eventually they were giving out their lines to Chinese automakers to get their products in Tehran to earn money. Like all other automakers, the Bahman Group has suffered from international constraints, and the fact that its products did not use internal construction and were actually being assembled in it, was more harmful than other automakers. Hence, its financial strength was reduced to a point where there were a lot of changes in the level of senior executives, but nothing happened in the group until the customer was criticized, the homeowners decided to sell the car. And manage it privately.

But Cruise, as the buyer of the avalanche group, has come up with a recapitalization and spent some of his capital on buying a Bahman car factory.

By studying the development of Cruz, we conclude that the company’s executives have grown up after three decades of operations in the field of electrical engineering and automotive parts production, which have decided to bring their activities to the automobile in the fourth decade and have a chance to Develop this industry. Today, with more than 5,000 employees, the cruise is one of the largest manufacturing units in the country, managed by the private sector, adding day-to-day business and economic activities. Due to the fact that it produces a large part of the electric and non-electric parts of domestic automobiles, the company is one of the largest creditors in the country’s automakers, which has not received a large amount of its liquidity due to its demand from automakers, Extends its work and comes to a place where it will meet the needs of domestic exports as well as supplying European automotive parts.

Cruz seems to have decided to make the next loop of value added and to enter the car industry through the purchase of Bahman Group. Given the fact that it is able to provide a significant portion of the parts needed in a car, it can easily turn into a vehicle of the country by turning it into a genuine partner and getting its own as a new actor The country’s automotive industry will introduce the car market.

Due to the establishment of new Cruiseweight avalanche managers, there is a new evolution in the minds of the employees of the Avalanche Group and its productivity and efficiency increase. Consequently, experts believe that with the blow of private thinking in the Bahman Group, the automaker can play a role in the automotive market of the country, given its capacities in the production of passenger and diesel cars and commercial vehicles.

Source » khodroname

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