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Holden was known as the standard car of business in Australia.
It was most renowned car people would love to drive. Holden was one of the best
selling cars in the country Australia. Before 2013 customer reviews was at the
top.

There was a siren of
shutting down of the Holden Plant on October 20, 2017. The factory was closed
for indefinite period. Holden car was the ongoing brand and was a very popular
brand in Australia, Melbourne. It has been considered that the Elizabeth Car Factory
for Holden was the secret plans. Various customers have various reviews before
the shutdown of the Holden car and after the shutdown of the Holden car. The
shutdown announcement was done in the December 2013.

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Customer review on before
shutdown of Holden Car

Customer was highly
satisfied with the quality and service of the Holden car. Before the shutdown
of the company, the Holden car ranked fourth overall and it has been reviewed
from the latest rankings. The survey has been conducted to know the customer
review before the shutdown of the Holden car. It has been known that
approximately 83% customers have told that the servicing of the car is done by
the promised time. It has been known that the quality of this branded car is
always in the improving stage. From the study of 2014, it has been found that
67% of the customers have said that the Holden has made the car estimation
higher than the year 2013 and it is up by 62%.

From the customer
review, it has been known that, 7% of the customers in Australia have reported
that the company provides repair and service bills higher that what it was
estimated at first. The customers of Holden car have said that it was the
biggest improver in the automobile industry and it has jumped to fourth
position in 2014 because its rating has changed from 758 to 794.  Holden
car aims at customer leadership and hence, for the company, customer review is
highly important. Customers have mentioned that Holden car always offers
24-hour testing service so that customers do not have to face any such
challenges regarding the service of the car.

The customers have said that Holden Company always
considered its customers’ needs first and they change their business strategy
based on the customer’s experience. Hence, it can be said

that before shutdown
of the company, the company had satisfied the Australian Consumer Law (ACL)
Schedule 2.

According to ACL,
consumer protection and fair trading is required as this is the national which
needs to be followed by every company from any industry. It has been seen that
Holden Company always follow the ACL (2011). Consumer protection is the main
concern for any business and the customers of Holden Company have said that the
company is highly concerned with the customer’s protection. According to Mr.
Jenni, he has mentioned that the service providers of Holden car ask about the
needs of the individuals in details and this implies that this brand earn the
customers for life.

The mindset of the
owner of the brand is excellent and due to this according to the customer’s
feedback, they can change and redefine the business strategies. Before the
shutdown, the company knew the strategy for increasing the customer retention.
For this purpose, the company has provided loan cars for the service customers.
In addition to this, the company has upgraded free sat-navs (satellite
navigation) and have taken the challenge of Test Drive that has been attacked
by advertising.

ACL covers law of contract terms has law covering
business contracts and consumer contracts. There is a national law, which has
guaranteed the consumer rights when the customer buys a particular product. As
per this law, it can be said that before the shutdown of the company, the
company abide by this law and that is the reason for the customer satisfaction.
The owner of Holden Company was aware that if the customer’s needs are not
satisfied properly, then that could lead to penalties. Consumer has the option
of consumer redressal and they have enforcement powers. Holden company is highly
obedient in satisfying the Australian legal framework. Australian Consumer and
Competition Commission (ACCC), has taken the step of investigation of Holden
Car. It has been seen that, Holden had accepted the findings and analysis of
the investigation of ACCC and from that investigations, it was found that
company has dealt with unhappy consumers. If the customer is unhappy, then the
case can be court enforceable. Moreover, ACCC has mentioned that the service
providers of Holden Company treat the customer in an unfair manner and it comes
under the obligations of ACL. Before the shutdown of the company, a case has
been identified which has mentioned that consumers did not receive the remedy
for the problem of the car as it had been already serviced by one Holden Dealer
and the car was second hand. According to the executive director of Holden of
customer experience, the brand was working with ACCC so that certain procedures
and protocols can be created that is beyond Consumer Law of Australia. This has
ensured that needs of customers are met. Before the shutdown of the company,
ACCC has accepted court enforceable policies that need to be followed by Holden
and there are 5 policies. Firstly, the company’s internal training program must
be conducted so that minor policies can be combined into a major failure.
Secondly, for the new vehicles Holden had committed to consumers that it would
offer replacement or refund if there is any major failure within sixty days of
the purchase date. Thirdly, external reviewer must be there for any type of
consider complaints and accordingly, remedy must be given to customers.
Fourthly, dealer procedures and policies need to be amended for ensuring the
policies of Consumer law of Australia in the context of consumer guarantees. Lastly,
Consumers must be provided with a capability of obtaining information about the
vehicle issues. ACL and ACCC had been proactive for the satisfaction of the
consumers. Due to this pro-activeness, Australians have trust on the brand
Holden. ACL coverage for the Holden’s examination has included the customer’s
service even if it is beyond the network area of the dealer. However, the ACL,
on behalf of the Holden Company, had ensured that customer’s satisfaction and
customer services are considered regardless of all issues that they have.
Hence, it can be said that before the shutdown of the company, there were both
positive and negative sides of the company based on the customer review and
consumer law.

Customer review on after shutdown
of Holden Car

There were various
reasons for the shutdown of the company and the major reason was the tariffs on
the Australian Car company, Holden. Due to the shutdown, there were financial
crisis. After the shutdown of the company, the perceptions of the customers
have been reviewed. It has been found that there is positive effect on the
consumer perception regarding the closure of the Holden car.  Another
reason for the closure is slow down of sales. In 2014, it has been seen that
sales of Holden car has dipped down from 112059 to 106092. This has represented
that there was approximately 5.3% drop in the sales. The news of the company’s
shut down was shocking to the customers because Holden is the iconic brand of
Australia and the customers have said that the brand always tried to strengthen
their brand.

According to some
customers, the poor sales of Holden was not at all accepted, however, it is
good move for the transition of the company. The company has lost its huge
market share in the year 2016. Hence, the company needs the restructuring of
their business. As per ACL, Schedule 2, the major concern of the company must
be fulfilling the expectations of the consumer. Hence, if there is any type of
transformation, that can affect the customer’s expectations.

A customer named
Frank had faced a Transmission issue with his 2010 Holden Cruze. He has told
the service providers to handle this issue, however, the service provider have
said as this is an old car, it can have this type of problem. Hence, it cannot
be repaired anymore. From this instance, it can be said that the company has
not followed the Consumer Law of Australia and the service provider had behaved
unfairly with the customers. Moreover, the service provider has said that as
the car is 7 years old, hence it is out of the warranty period. Therefore,
replacing cannot be done anymore. This is the reason for which, the sales has
dropped down because the company was not giving proper after sales service to
the customer. This is one of the reasons for the shutdown of the company.

Another customer,
Francois, had an electrical issue with his Holden Barina of 2007. There was an
issue with the central lock of the car. The car got locked very fast and that
created a problem for the customer. However, when the issue had been taken to
the service providers, they just told that it was an electrical problems and
wiring problems. Hence, in this case, they cannot help. The customer needs to
consult with the auto-electrician. Hence, the service providers of Holden did
not supported much the customer. This is against the ACL, Schedule 2.

In addition to this,
Holden car has an issue with its advertising strategies, which affects the
consumer largely. The decision of the shutdown of the company is sure, however,
there was no news regarding this issue.

For obtaining the
consumer review, it is required to follow The Survey of Australian Consumer
2016 (ACS) has been taken into considerations. This law involves 5408 surveys
with the consumers and approximately 1210 surveys can be done with the business
person in Australia. After the shutdown of the company, consumer protection is
the major concern because there are still several consumers who are using
Holden car. View of the consumer towards the Holden Car is shifting abruptly
day-by-day and that is related to government intervention and laws of consumer
protection. There are certain particulars that are related to the survey of the
customers and that are considered while collecting the reviews of the customer
after the shutting down of the company. As per this law, Government provides
adequate advice and information. 54% of the customers have agreed in comparison
to 38% consumers. It has been detected that Holden Company has behaved unfairly
with the customers and it has been detected under the law of ACS. Consumer was
highly confident about the product of Holden car before the shutdown of the car
factory; however, after the survey it has been found that has declined because
at some point of time they have cheated with the customers.

According to ACS, the consumers of Holden Company have the right to
resolve their own problem that they faces while handling the car issues of
Holden Company. Approximately, 82% of the consumers have said that they
resolved their problems on their own. After analysing the problems of the
consumer, it can be said that industry must take the certain actions to solve
the problem. The issues that the customers have faced must be solved during the
ongoing services. After the shutdown of the company, it has been found that
there are many consumers who do not want to solve their problems of their own.
In this situation, the company must take certain steps even if the company is
shutting down. Based on the law of ACS, the customer’s review has been taken
after conducting the customer survey. It has been seen that after shutting down
of the company, the customers have to resolve all the issues of their own. It
can be concluded that as per Australian law, the consumer’s problems regarding
the Holden car must be decreased at any cost and customers need to be satisfied
properly.

 

 

 

 

 

 

 

 

 

 

 

 

 

REFERENCE

Akbar, D., Kinnear, S., Chhetri, P., & Smith, P. (2017).
Assessing Road Travel Conditions in the Bowen Basin Region: Implications for
Transport Planning in Australian Mining Communities

Bebbington,
Terry (1998). 50 Years of Holden.

Davis,
Tony; Kennedy, Alistair; Kennedy, Ewan (February 2007), The Holden Heritage – 13th Edition,

Holden
Website (holden.com.au)

Holden’s
long goodbye (www.theaustralian.com.au/news)

MIRO
QUESADA PACHECO, A. L. B. E. R. T. O., & JIMÉNEZ ESCAMILLA, C. C. (2014) The
retreat and relocation of the FDI in the automotive industry in Australia:
analysis of the Toyota case.

Muhos,
M., Oloruntoba, R., Wagner, B., & Bask, A. (2017, September). Exploring
Survival and Failure on the Edge of Commercialisation in Australian
Technology-Based Start-Ups.

Robinson,
Peter (2006).  The inside
story of Holden’s all-new VE Commodore.

Stanwick, J., Circelli, M., & Lu, T.
(2015). The End of Car Manufacturing in Australia

Sinha, P. (2017). Trade Unions and Industrial Relations in the Car
Industry in India

 

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