In the automobile industry, many vehicles never received popularity during their production period. It is only when their production is discontinued, their value inflates. The same is the case with Suzuki GS150SE. Initially, the GS150 and GS150SE used to sell for less than MRP but now Suzuki GS150SE is selling at a premium.
Suzuki GS150SE Discontinuation:
After the discontinuation of the Suzuki GS150SE, the dealers who had its stock held their inventory. This caused fake hype about the motorcycle in the market and they started charging a premium for it. Motorcycles were sold for 3 lac rupees at that time. This malpractice of our market caused fake hype. The situation is not different now too. The used Suzuki GS150SE are being sold for much higher prices at old motorcycle websites.
According to many motorcyclists and dealers, the increase in inflation is also affecting the price of used vehicles in Pakistan. Surprisingly depreciation and devaluation do not work here. If you had bought a Suzuki FX for 85,000 rupees in 1980’s, you will be very astonished to hear that now a Suzuki FX brings around 2 lac rupees easily.
Our devaluating currency is one of the key reasons behind this difference. Other than that the malpractices in our automobile industry spread from companies to dealerships and customers. That is also one of the reasons this premium charging phenomenon can not be put to an end. Also after the recent price hike by Pak Suzuki their motorcycle sales will suffer more. The entry-level GD110S now costs 290,000 rupees and the GR150 costs more than 450,000 rupees.
If new motorcycles are so expensive, its simple that people will try their luck in the used motorcycle market but the situation there is also the same. That is one reason why our automobile industry is so sluggish.