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France’s PSA wants to get more expensive and cheaper at the same time. PSA plans to up-position their Peugeot and Citroen plans. Probably envious of Renaults success with their Dacia brand, PSA wants to create a completely new low-cost brand, says Automobilwoche [sub].
PSA doesn’t want to sell this brand through their existing network, PSA chief Jean-Marc Gales said. “We need a completely new distribution system for that.” On-line sales are not out of the question.
It is undecided where these bargain basement French cars will be made. Production in emerging markets or in China is possible. “We are running the numbers on the different options,” said Gales. In Europe, PSA is currently capacity constrained.
5 Comments on “PSA Plans Bargain Brand...”
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In the 80s PSA had the Talbot brand which they used for cars from the former Chrysler Europe stable, then killed it due to lack of sales. What will they do differently this time round ?
Return of the Simca 1100?
Talbot would probably be wrong. IIRC correctly it was a lux brand back in the day. SImca always competed heat to head with Renault and Pegeout. Chrysler killed it (sadly!). So, maybe SImca could be back, but that brand probably belongs to Chrysler-Fiat now. I’d bet though they’d be willing to sell the rights to it.
Completely new distribution network sounds like a good idea. Scion was ruined by the sabotage of existing Toyota dealers, who did not want low-margin sales.
Saturn, Pontiac, Mercury, Plymouth, Oldsmobile. You want ’em, we got ’em.