No, Sir, Daf is no loser!
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PROF. BHASKAR, in his study of the UK and European Motor Industry (CM March 19) deserves bouquets and brickbats for his wide-ranging and comprehensive conclusions! On the one hand, he deserves to be complimented on having produced a most useful analysis of the industry, but, on the other hand, Prof. Bhaskar has drawn a number of conclusions about Daf Trucks which are decidedly off-beam and which causes some concern.
He predicts that Daf is likely to be a "loser" in the 1980s if and when it has severed its ties with International Harvester. But he has failed to take a number of highly significant factors into account which will ultimately, we believe, prove him wrong.
He ignores the fact that Daf's European market share rose by 15 per cent in 1982; that the company is operating close to its 1970s manufacturing capacity, unlike most of its competitors; that it broke even in 1982 when most of the major manufacturers were operating at a loss; and that we have recently taken the number one position in the UK tractor market.
Indeed, his prediction is at odds with his comments elsewhere in the report where he says that Daf is likely to be a $.'Nfinner in its segment of the market, increasing its sales and improving its market position! The professor does highlight the fact that Daf has the third highest efficiency in dealer networks. His comparison of sales per outlet shows that Daf is only behind Leyland and Ford, and when one considers our relative market share, it is clear that Daf dealers are in excellent form.
Daf Trucks, will, we believe, continue to improve its position in both the UK and European markets, in the foreseeable future, remaining independent and profitable.
P.O. IVES Managing Director Daf Trucks (GB) Ltd Marlow, Bucks