Blog: Filled out: Peugeot's small car range
Dave Leggett | 29 March 2006
Interesting that Frédéric Saint Geours, CEO of Automobiles Peugeot, draws a distinction - in looking at cars for emerging markets - between the 'modern' 206 and Renault's Dacia Logan approach. While the 206 has been around since '98, it is only just going out from developed markets and wasn't obviously off the pace in areas like safety (NCAP four stars).
Newer Logan owes some of its development to carryovers from older models and some of the corners cut in its engineering have also left it lagging on safety criteria.
The 206 was a product engineered for West Europeans not all that long ago. Logan, was engineered with the objective of getting something that will retail in emerging markets at a target €5,000. The cloth was largely cut accordingly under 'design to cost', even if there is some 'toploading' of the price in some markets (oh, you would like a steering wheel, sir? Let's look at the options list...). What will the market bear and what level of product sophistication do people want or, more crucially, what are they prepared to pay for?
Four 'aces'? Some would argue that two small cars is enough and that Peugeot is over-egging the pudding with four...but if 206 does well in emerging markets and 1007 finds a discreet market niche, then maybe a case for four small cars under the Peugeot badge can indeed be made. And at least the development costs on 107 were shared with Toyota and there are also synergies with Citroen models.
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