Czech car company Skoda, a subsidiary of the Volkswagen (VW) group, will be realigning its products in India to reduce competition with similarly priced VW cars. The Skoda Superb and the Skoda Laura are already available at relatively lower prices than before. Their starting prices are now Rs 18.90 lakh and Rs 12.74 lakh (ex-showroom Mumbai) respectively. On the other hand, the prices of the VW Jetta and the Passat start at Rs 13.19 lakh and Rs 23.07 lakh respectively.

A number of Skoda and VW cars currently share the same platforms. The VW Jetta and the Skoda Laura, for instance, have been developed on one platform. Similarly, the VW Passat and the Skoda Superb too share the same platform. If the prices of these models overlap, they will eat into one another’s customer bases. Skoda is now planning to change the positioning of the new Octavia, to be launched after 2 years. The new version of the car will be placed in the Rs 6-10 lakh bracket. It is currently priced at Rs 10-12 lakh,

Meanwhile, Skoda India will launch its ‘compact SUV’, the Yeti, in the second half of 2010. The vehicle will be launched with a 2.0 litre diesel engine, and a petrol version will follow later. It will come with manual transmission and a 4X4 drive. Skoda may also launch the Yeti in a 4X2 variant. The SUV will be brought to India as a Completely Knocked Down (CKD) unit, and will be assembled at Skoda’s manufacturing plant in Aurangabad. It will be displayed at the Auto Expo to be held in New Delhi in January 2010.

Courtesy: www.driveinside.com