Our Vision & Philosophy

To improve the quality of life for everyone by providing used high quality vehicles.

Our Guiding Principles

1. To respect the culture and customs of Kenya communities and also contribute to their socio-economic wellbeing through our corporate social responsibility activities.
2. Dedicate to provide safe and reliable products to enhance the quality of Kenyan lives.
3. To provide outstanding products that satisfies our customer’s diverse needs.
4. To foster a corporate culture that enhances mutual trust and respect among all stakeholders and industry players.

Mission

To buy and sell a wide range of high quality used motor vehicles that are environmentally friendly and become Kenya’s family choice company for used cars.

Core values

We focus on meeting the needs of customers by providing low-cost vehicles that will improve their standard of living

We take pride in delivering high quality value added products

We are trustworthy, diligent and honest. We accept responsibility for our actions and follow our promises and commitment conclusively.

We have a dedicated field workforce that ensures customers satisfaction.

We are committed to comply with all laws, rules and regulations concerning the business. We are also committed to promote best business practices

Corporate responsibility

In our efforts to become one of the best auto companies in Kenya, Yuasa is deeply committed to conduct business in a socially responsible and ethical manner taking concerns of the community that surrounds us. We are continually improving our performance, actions and practices towards the community.

Our corporate responsibilities are supported by all our employees. They involve promotion of sustainable environment, promotion of good health and enhance safety.

We have a responsibility for the impact of our activities on consumers, employees, stakeholders and all other members of the public. We have embraced a strong culture of adherence to law, ethical values, transparency, good employees’ relations and compliance with international norms.

It is also our vision to work closely for the social welfare of the community, accomplish environment friendly campaigns, assist to improve quality of life and promote the society’s well-being as whole.

Description of the business

Yuasa was started in 2008 in Kenya and Tanzania as a private limited company by Mr. Chaudhary Homayoun Akhtar. Yuasa started its operations in Kenya and Tanzania in 2008 and has grown to become one of the leading suppliers of used cars in the country. The company deals with a wide range of Japanese vehicles of high performance.

Among the world known types of the cars sold by Yuasa include Toyota, Mitsubishi, Subaru, Honda, Suzuki, Mazda and Nissan. The vehicles are sourced from the biggest vehicle auctions and other dealers in Japan and reach Kenya’s customers at affordable prices.

Capital financing

Our company is fully financed by its shareholders. We employ the best accounting practices to maximize the success of our company.

Market and sales strategy

Our marketing strategy is adaptable to various factors such as season and market dynamics. However, we will have been consistent with our advertising through the local dailies and radio stations. We are also planning to open doors and start advertising in famous magazines and journals.

We have already embarked on advertising through radio. We are also sponsoring local soccer and cricket tournaments which may in future provide a forum for advertising. We are planning to dedicate 2% of our sales to develop business with an aim of creating more exposure.

Products and Services

Our Stock

Since the prices of the new cars have been on sharp increase, Kenya’s customers are increasingly relying on imports of used cars. Yuasa focuses on commercial vehicles and decent family cars that are affordable and meets our customers’ needs. We have continually increased the units of the used cars, trucks, and vans sold in Kenya and we have already carved a niche in the automobile market in Kenya.

Major suppliers

We buy vehicles we sell to our customers from japan and other auction houses in Japan based on the customers’ specifications. The auctions are our major suppliers. In Japan there are over 30 well known auto auction locations throughout Japan. Other vehicles come from trade-ins and private purchase units.

Processing and importing vehicle

After buying the vehicle on your behalf, we take it for inspection by JEVIC in Japan. At the same time, we organize shipment of vehicle to the port of Mombasa.

Clearing and Registering Vehicle

When the vehicle arrives in Mombasa, we organize its clearance, registration and arrange delivery of the vehicle to the customer.

Vehicle Tuning and Customization

Most of the vehicles imported from Japan required tuning and customization for use in Kenya. This may include marking side mirrors and window with the vehicle registration number to discourage theft, changing tires and adjusting vehicle’s ground clearance.

Critical Success Factors

1. The market for used vehicles is growing market, though there is tough competition.
2. Perception of the dealers; usually the top target market for used vehicles is influenced by perception. If it is positive, the results will be higher sales. Advertising is vital for creating positive perception of the product, which will result in higher product acceptance.
3. Compliance of the standards set by Kenyan Bureau of Standards.
4. Availability of the products.

Our strength

• Expertise in selecting high quality used cars.
• Low costs
• Prompt delivery
• Customers satisfaction

Manpower

Yuasa realizes the value of having a competent workforce to the success of any business. We have therefore put in place a high qualified and competent team of professional to run our operations. The company relies on both expatriates and local employees working on very competitive salaries. We have a non-discriminatory employment policy and people of all walks of life, ethnicities, race, ages, abilities and genders work for us.

The management team is also professionally trained. The team helps others to archive their career objectives. This is the team that has steered the company to the success we have witnessed for the last two years we have operated in Kenya.

Our team is capable of changing the dreams into reality and knows the corporate values to nurture. The main responsibility of our management is to create a friendly atmosphere where our customers are always given the first priority.

Major influences on the industry

SECTOR AND INDUSTRY ANALYSIS

Kenya is the biggest economy in East Africa. Its strategic location and its well-developed business infrastructure make it a natural choice for investors and many international firms have made it either regional hub. The African economic outlook report, which monitors the continents growth, says the regional comprising Kenya, Uganda Tanzania, Rwanda and Burundi are expected to register a six percent growth in the period 2010/2011.

In august 2009, Kenya became the biggest importer of Japanese used vehicles, overtaking Chile and Russia. Despite major recession and its effects on Auto industry, Kenya could achieve this feat providing the fact that buying Japanese used cars is way better than the new and used cars locally available. All the vehicle imports to Kenya come through Mombasa port.

Kenya and Tanzania like many other parts in Africa does not have smooth roads making customers to prefer vehicles which are sturdy and reliable than fancy looking vehicles. Used Japanese cars are in great demand all over the world for their performance and reliability.

For the same reason, Japanese used cars are very popular in Kenya and Tanzania. These days, due to high demand for used cars, there is intense competition amongst the dealers. Apart from used cars dealers, there are many private individuals who import Japanese used vehicles and sell them off at relatively lower rates as they save on the dealers fees.

Over the last few years, Japanese cars have become widely renowned as market leader. They are of exceptionally high standard and performance. It is true that over 70 percent of the vehicles on Kenya roads are from Japan. Japanese love their technologies and put a lot of efforts to make them look and perform well.

Japan is renowned for its prowess in producing state of the art technology and their car production and upgrading is no different. Japanese car can be every man’s dream.

Various surveys that have been carried out on Japanese cars such as on Mitsubishi, Isuzu, Mazda and Honda rank them very highly. Lack of bureaucracy in procuring Japanese vehicles could be the other reason for their huge demand in Kenya and East Africa region.

Industry trends

With the surge in retail prices of brand new vehicles, the focus has now shifted towards used vehicles. Once regarded as low-income earners, the used car industry has evolved to attract middle level income earners. The market trend has encouraged the growth of used car dealership nationwide. Brand new car dealers have also shifted their focus to dealing in used vehicles.

Other car dealers have opted to distribute their products by putting used cars in their showrooms to serve trade in buyers, in hope to spice-up sales and expand their windows of opportunity. Industry estimates show a higher rate of return for used cars as compared to the exclusive sale of brand new vehicles.

The vehicle import to Kenya and Tanzania has gradually increased since year 2000. The increase can be attributed to improving economic conditions. There is a high demand for low fuel consumptions vehicles models from Toyota, Nissan, Honda, Subaru and Suzuki. Import for heavy commercial vehicles (buses and trucks) from Isuzu and Mitsubishi has also increased.

The gloom in the new vehicle market is attributed to a resurgent of second-hand car market and increased importation of old used cars; thus customers find second-hand cars a more pocket-friendly option. Currently, it is estimated that second-hand cars accounts for 80% of total vehicle imports and Kenya motor association control mere 20% of the market share.

KENYA IMPORT DATA SHEET

TANZANIA IMPORT DATA SHEET

Government regulations

To import used Japanese car in Kenya, some criteria should be fulfilled. According to the Kenya’s vehicle import regulations, any used vehicle being imported should be less than 8 years (for Tanzania 9 years), the vehicle should be right hand drive (RHD) and all used vehicles should pass JEVIC inspection which checks vehicle for safety and road worthiness

Business cycle

Ups and downs go with any industry, but with the sale of used vehicles, there have not been many downs. When the economy is good, sale are great. When the economy is sluggish, used cars are still in demand because of the price factor.

Market Definition

Geographic

Our primary market target is Kenya and neighboring countries. Kenya’s population has rapidly increased over the past several decades, and consequently it is relatively young. Some 73% of Kenyans are under 30 years. Our targeted customer base is this group.

Market growth

An estimated population increase throughout our targeted regions can only mean more people with a need for transportation. Currently Kenya population is estimated 40.047m (July 2010).

Strengths and weaknesses of the competition

Our strength in the competitive environment is the ability to offer a wide variety of the vehicles. We are able to provide our customers sufficient information for them to make informed decisions.

In addition to increasing choice and information we also try to keep the market fair and functioning through our reasonable prices. We distinguish ourselves by offering vehicles to our customers with premium quality, reasonable price and good payment mode.

Pricing

Our fair prices are attributed to the financial models we have adopted which emphasizes on control of our overheads. This way we are able to offer our products fairer than other dealers. We are also able to make a huge profit margin and create capital for the future expansion. Our main goal is to sell more for less. The customer should get the value for their money.

Our future outlook

The company is actively pursuing hire purchase facility to extend within the reach of general public and to offer them favorable credit terms suited to the consumers. These schemes are managed by reputable banks and financial institutions. It is estimated that 60% of our car sales are through hire purchase facility and remaining part of the business pertaining to cash deals thus facilitating, fostering and accommodating the needs of our customers.

We provide to customer broad options for brand, suitability and affordability. We are dedicated to high quality, reliability and cost-effective options. We will continue to serve as trading partner in an effort to sustained economic, social and community development, expansion and growth of the Kenyan economy.

OVERVIEW (as of June 2010)