Skoda, the new driving force behind VW profits

Long gone are the days when Skoda was the targetSkoda used to be thefavoured target of all the
of cruel jokes in themotoring industry. Sokda is nowcruellest jokes in the motoring industry where itused to
rapidly catching up with Audi in increasingthe profits forbe called a skip on wheels etc. Preset day analysts
VW which incorporated Skoda almost fifteen yearspredict a verybright future for Skoda and admire the
from now. Skoda cars wereonce considered soVW efforts and the decision to stick itthrough hard
dangerous to drive that the VW executives refuse totimes for Skoda and give it an image where it is no
commutein them but all that has now changed andlongerconsidered a low class name.
Skoda have come down a path ofThe Geneva Car Show in March, 2007 will see the
steadyimprovements in their models.launch of the new generation
The VWs Skoda venture had been written off bySkoda Fabia Roomster Multipurpose vehicle and with
many analysts in the motoringindustry citing thea 5.5% increase in demand forthis model plus a 45%
un-predictable future of the Czech state. At the timeincrease in car sales due to manufacturing in China and
of theinitial VW involvement with Skoda, the newIndia, Skoda is well on its way to improving the market
government after the velvetrevolution had startedshare price for itsparent company VW. The main
selling off state assets and Skoda only had onereason for the popularity of Skoda models is thoughtto
model,the Skoda Favorit in production at the time.be due to the consumer wanting a similar feel as one
Skoda executives were told by VW toeither go backwould get driving an
to the drawing board and design a brand new car orAudi or a VW but at the fraction of the cost. Skoda
its the endof the line for Skoda. Mr. Detlef Wittig, aseems to fulfil this desirenicely and the quality of the
VW executive at the time of the VWtakeover oflatest generation models seems to improve withevery
Skoda and who now runs Skoda, jokes about hownew model launched.