I agree with dennis' statement

Kenya is very inefficient in non agricultural production hence why we import a lot.

People will blame power, maybe someone on the list can compare power bills in Europe and Kenya and give us feedback. Nigeria which sits on oil has been unable to churn any cheaper products for us to import
Importing raw materials will also be raised, but lets not forget that Europe and China get most of their raw materials in Africa
In my opinion There are two other main reasons to this issue

There is a lack of adequate technical expertise in Kenyan factories. Technical trainings and technical upgrades range from little to non existent. Skills are imparted on people who are unable to convert them to tangible outputs as people are hired not on skills but on who they know. Our engineering gear is decades behind other industrial giants. A good example is the refinery which admits that the cost of an upgrade is far more expensive than the cost of setting up a new factory.
Management focuses on the product and ignores the system creating the product. So much is spent on marketing and so little is spent on technical. Over time the system becomes inefficient, obsolete and it becomes cheaper to source products from other countries import duty and all inclusive.

If we cannot set up our own R&D, we must at least try to keep up with the R&D of our peers in other industrialised countries. The thing with technology is in most cases its progressive in that its based on a previous upgrade. Once you miss a couple of upgrades, moving the system as a whole to the current upgrade will be a most expensive affair, and might lead to one closing up shop

On Wed, Oct 29, 2014 at 10:48 AM, Dennis Kioko via skunkworks <skunkworks@lists.my.co.ke> wrote:

1. What's the cost of doing business in Kenya?
2. If you did business, which ideally is taught for all courses including CS, you should have been taught that countries export what they are efficient in producing. Kenya is very inefficient in non agricultural production hence why we import a lot.

Taking the above 2, the price is fine. Ideally, if business environment improves and as Mobius does more cars, their pricing can come down.

On 29 Oct 2014 10:10, "Mark Mwangi via skunkworks" <skunkworks@lists.my.co.ke> wrote:
Lemme be the devils advocate. The innovation is just in the branding. And maybe the chassis. The price point is exorbitant in my view compared to other locally sourced second hand vehicles. I am interested in knowing how much KVM charge to assemble a car given all the parts.

Dont the likes of Toyota Kenya build local Variants of their models? Also What percentage comes from local industries? I know Wind-shields are made locally and the bodies of buses and trucks.

Either way, good effort and I call bullshit till I see one sputtering along Moi Avenue (Nairobi or Mombasa) in our ugly No. Plates.

On Tue, Oct 28, 2014 at 8:54 PM, Ahmed Mohamed Maawy <ultimateprogramer@gmail.com> wrote:
Actually the business model is Rural Africa. That is why.

On Tue, Oct 28, 2014 at 8:20 PM, Mark Mwangi <mwangy@gmail.com> wrote:
Am wondering what is stopping the first one to be riven around Nairobi. Even KVM can sponsor this no?

On Tue, Oct 28, 2014 at 6:08 PM, Ahmed Mohamed Maawy via skunkworks <skunkworks@lists.my.co.ke> wrote:
True, if the investors have bigger pockets than any local ones then that can be the case. Its interesting to see how this will shape up.

On Tue, Oct 28, 2014 at 5:18 PM, Patrick Kariuki <patrick.kariuki@gmail.com> wrote:
PIC is out to make money right?

Expect some buyout as an endgame to this investment.

On Tue, Oct 28, 2014 at 4:05 PM, Ahmed Mohamed Maawy <ultimateprogramer@gmail.com> wrote:
Patrick, that is an interesting look on things, I would love to understand how a foreign company may be better suited that a local investment (what makes you arrive to that conclusion maybe)?

On Tue, Oct 28, 2014 at 4:02 PM, Patrick Kariuki <patrick.kariuki@gmail.com> wrote:
Might be too early to tell, but expect Mobius to be acquired by a foreign company which might bring it more into the limelight as the required funds check in. Note the focus on the moment is on the pricing not the total number of sales.

On Sun, Oct 26, 2014 at 2:16 PM, Ahmed Mohamed Maawy via skunkworks <skunkworks@lists.my.co.ke> wrote:
Now we have a Kenyan Motorcycle called Mobius, 4WD in the market. Personally the only reason I would think this company is going places is it also has a strong managerial and advisory team.

I would love to hear out what others think about this move. But I think its about time, if BRCK (which is also Kenyan Developed Hardware) is not something that can bring in more confidence then I don't know what will basically.

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Executive Director - M-Power (CBO)
Shaper - Global Shapers
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(KE) +254 714 960 627
Skype: ultimateprogramer

m-power.or.ke
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m-power.or.ke
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