New Petrol Station Chaofa West

[madmitch]

I have never understood the Thai business concept of opening a similar business practically next door to another one.

I have seen that there's a new petrol station soon to open about 400 metres after the large PTT and a couple of km before the Shell/Honda.

I could understand it if it were on the other side of the road or even if it were a few hundred metres before PTT, but with oil prices controlled (by the Govenment and hence PTT), they can't even compete on price. Maybe they can offer a freebie or two (never ever available from and PTT stations from what I have seen).

Can anyone explain the logic behind this?

[BillR]

Yes, people need petrol. Its what makes the engine go boom.

[steelepulse]

The gas station business is very profitable. Somewhere in the motoring it showed the breakdown of what constitutes the final price of a litre, and they gov't allows for a tidy profit per litre.

[stevenl]

I'm with you Mitch on this one.

Maybe meant for people who are unfamiliar in the area and missed the PTT station?

I can't see them being busy.

[Lannatyne]

She who can read Thai reckons it could well be one of these 'specialised' stations just selling LPG, or whatever the lorries and taxis use these days.

We'll have to wait until the 'wraps' come off the pumps!

[madmitch]

She who can read Thai reckons it could well be one of these 'specialised' stations just selling LPG, or whatever the lorries and taxis use these days.

We'll have to wait until the 'wraps' come off the pumps!

Very good point Lannatyne, but it looks quite a small station if it is targeting the lorries.

It doesn't explain why you drive for 30km without a petrol station, then there are four practically together, then no more for the next 30km.

[steelepulse]

>>I have never understood the Thai business concept of opening a similar business practically next door to another one.

In the west, having a number of similar businesses next to each other is pretty common. This way each shop gets more customers and each customer gets more choice by going to one location. I can think of used car lots as one prime example. I was just in the States and in some locations there were literally 10-15 shops next to each other with a few thousand cars available. If you're looking for a car, do you want to drive from tent to tent as in Bangkok, or would you prefer to go to one location where there were 20 tents all next to each other.

>>It doesn't explain why you drive for 30km without a petrol station, then there are four practically together, then no more for the next 30km.

I would like to say supply and demand/heavy traffic and all that, but I can't give full credit to the locals for this.

[ScubaBuddha]

Maybe this one plans on staying open past dusk.

RE the 30km of no stations, maybe there is some zoning in effect. Maybe there is some economical benefit regarding gas delivery.

In the states it's common to see each corner of every major intersection have a gas station, so it must work.

[Valentine]

As Mitch said it would make more sense & money if it was on the other side of the road plus it would cut out a lot of dodgy right hand turns.

[KarenBravo]

Maybe the owner doesn't have land on the other side of the road?

Maybe he plans to under-cut the opposition on price?

[katabeachbum]

Slowed down passing yesterday. There is no indication they will be selling petrol, gasohol or diesel, so it is not a new petrol station.

It is a LPG (Liquid Petroleum Gas) station. Finally is alternative, inexpensive environmentalfriendly fuel availble in south Phuket.

Those wanting more info, have a look here in ThaiVisa, Thailand Motoring Forum