Dear RRiver
I think we have to segment the reply to parts a and to avoid getting lost inside the reply body, we have to tackle each point separately, so the below will be the feedback
I have numbered the point to make it easy for quote and citation in the future
Point #1: I have to agree with Tmoose about this.
Reply: noted
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Point #2: You lost me in your description of what you believe is needed. Here is an example of CV axle along with what's included for a 2005 Ford Taurus that is less than $35 US:
Reply: I have stated that 35 USD is online price is the state, and I'm intensively using rockauot website. however this price can easy be converted to 120 JOD , JOD = 0.71 USD, so somehow you can find it on the shelf of dealer sold at 150 USD.[/color]
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Point #3: First off, from what you describe it sounds like the major problem you're seeing in Jordan is poor maintenance, axle protection that isn't surviving your road conditions, and additional costs that really have nothing to do with CV axle failure but are related costs. Reminds of warranties that state "labor not included." A $4 part will gladly be replaced for free when installation labor is $100. Accountants will probably never stop laughing over that deal!
Reply: Road quality and topography is the main issue, combined with you have stated above.the 4 USD is the labor cost for one hour when you pay it for your staff, in Jordan non-educated labor is earning 600 to 700 USD per 208 Hrs per month. however, when you are stepping in Garage owner shop, the fees will never be estimated or given by the stopwatch. they will charge 20 JOD which is around 27 USD , I was referring to the mass production and salary rate with my figure 4 USD.
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Point #4: I'm curious, instead of repairing CV axles have you considered designs and materials that would extend the life of the axle protection? Something like a secondary boot impregnating a metal fabric mesh? You did ask about rubber so I assume it is something you are capable of molding?
Reply: The vehicle will step in the garage on a recovery truck after big failure in the street or when the owner fed up with clicking noise. I will search for Boot impregnating with metal fabric mesh, but I think the boot will lose a salient portion of it is elasticity.
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Point #5: I had no idea about the SAE standards Tmoose identified but in my opinion they sound expensive unless your remanufacturing volume well exceeded the damaged axles from such a small pool of vehicles with damaged axles.
Reply: I will do my best to explore the SAE Standards, the business of CV repair already existing but in the primitive level of skills. there is a queue of shafts stands on. I will arrange in the future to send you some footage of the process and shops even.
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Point #6: You also stated the majority of vehicles come from 5 manufacturers. That has to drastically define where the work and income are at. Have you considered pursuing bulk purchases of CV axles concentrating on where the work is at covering those manufacturers and the predominant vehicle models in Jordan? Heck, you could even warranty the parts also and your accountants can laugh at the labor charges and additional vehicle damage repairs.
Reply: the journey of soliciting the price of CV joints and CV axle full assembly started already with chines, Korean, Indian and Turkish factories, initially, there was some hindrance of fetching out the OEM #, but I came over this point.
Indeed Korean and Japanese vehicles dominating the market, see the below list
A: Ford Fusion 2006-2017 /Escape Hybrid 2005- 2017
B: Hyundai Accent 2000-2017 / Sonata 2000-2017 / Elantra 2000-2017/ Tucson 2005-2017 / Ioniq 2017-2019
C: Kia Optima 2001-2017 / Sephia 2000-2001/ Sportage 2000-2016 / Rio 2001-2017 / Spectra 2002-2009 / Soul 2010-2017/ Sorento 2003-2017/ Niro 2017-2018.
D: Mazda CX-5 2007-2017 / Mazda 6 2003-2017 / Mazda 3 2012-2017
E: Mitsubishi Lancer 2002-2017/ Mirage 2000-2017
F: Nissan Leaf 2011-2017 / Sunny or Sentra 2000-2017
G: Toyota Camry Gas & Hybrid 2000-2017/ Corolla 2000-2018/ Prius 2001-2017 Prius C 2011-2017/ Prius Prime 2011-2017/ Yaris 2007-2017
H: Honda Civic 2000-2017/ Accord 2000-2017
Some of those manufactures is using soft metal, cheap boots, to reduce the cost of parts.
By talking about warranty, the Asian MFG will never provide a warranty in any shape, in return as a dealer you can’t provide.
Point #7: Considering 1.6 million vehicles as you say, if you replaced an axle on 10% of your potential customers every year (which is outlandish to even consider) it would be a long time before you saw a profit if ever. Manufacturing is a plant, equipment, overhead and labor extensive\intensive business to pursue in the automotive parts business your considering. I can't even imagine what a center or centerless production grinder, production spline cutter, the required production welding machine, carburizing machine (or whatever it's called), production oven(s), the required QC equipment for the required SAE, ISO or whatever standards are required for the necessary certifications for axles, a skilled machining labor force, etc., etc., etc. Again, somebody at a bench with a torch, mig or tig welder and someone at a Bridgeport is not an axle repair. That's just doing what's necessary to get a vehicle on the road until it can be repaired. It just might be more profitable to get a couple of trucks and drivers to go out and track down all the failed axles you mention and recycle them as scrap. I don't mean to be harsh but that could be true.
Reply: the 1.7 mil. Vehicles is the overall ocean of vehicles, there are heavy vehicles, motorcycle, special vehicle, logistic vehicles, I have a long model for funneling the market.
There will be no spline cutting. We will treat the joint, not the axle.
carburizing machine = heat treatment oven
QC testing station is quite simple. Motor and clamps.
Tools and welding machine is not that costly since we are not talking of 400 Amp welding machine.
Recycling of CV Joint damaged is what is going on currently, the scrap price is 0.10 USD/Kg, so joint scrap sold at less than 1 USD. The business idea is not based on fixing standing on customers CV joint [ fixing the cars arrived to shop], the model is about collecting what has been considered scape and we see it not crap.
“I don't mean to be harsh but that could be true” I will never feel offended by your comments, it is so positive and health criticisms.
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Point #8: Again I agree with Tmoose, I applaud your initiative but I know next to nothing about automotive parts production and I'm questioning your plans. I know there are members of this forum that know this business and they've remained silent. Sometimes silence says a lot. If you're dead serious about this the best I can say is find someone experienced with developing business plans for automotive parts production and start there. I honestly wish you all the best and success Tarekzad.
Reply: all of the encouragement from you and from Tmoose is really appreciated.
By talking about the business plan, I’m owning a boutique business consulting firm, so feasibility studies and business plan are our daily bread and butter, if there is a chance to have an online meeting, I can present my business plan and feasibility study, with excel file, have 3 MB data file and 60 MB MS presentation file. I’m not pretending Owning the success, but success has a key and I own a couple of them.
The business model has certain tractions, which makes it viable is a specific geographical area more than others.
My company name is ZAD consult, located in UAE – Abu Dhabi city [ capital of UAE ].
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I know that writing such a reply took much time from you, as well as the reading my reply will take, but it will be a good business and technical brainstorming.
Have a good day RRiver & Tmoose