The French company Peugeot Citroen has serious financial problems about 5 years. Arrival of a new management didn't give positive result, present models of cars are far from perfect and from the main European competitors. This fact considerably squander car sales around the world.
Years of heyday of the company fell on the period 2000-2006. There was a new design in Peugeot corporation, the new form of a body was developed and improved. Today's model range attracts only buyers in the budgetary segment where the corporation speculates in price differences with competitors.
Citroen C-Elyssee - a lot of hope and failure start of sales
One of the most available sedans of a B-class received mass of advertising support and a set of money for the promotion from the company. Hoping for success of the new invention French staked on this car. But the segment was too competitive, the German Volkswagen Polo Sedan, the Czech Skoda Rapid killed price advantages of the car.
The main reason for the failure at the start of sales was the old 1.6-liter engine which doesn't provide the modern characteristics, and also the following features of a sedan:
- rather modest space in comparison with the main competitors;
- too low-quality finishing of salon which starts making sounds on the first thousand of kilometers;
- huge fuel consumption - about 9 liters in a route mode;
- too poor equipment in the basis version.
A buyer starts looking at cars, studying the available equipment and comparability of cost to indexes of competitors.
Sedan price starts with 14 000 dollars.
Crossovers Citroen C4 Aircross and Peugeot 4008
The crossover Citroen C4 Aircross became the complete technical copy of the donor - C4 hatchback. And Peugeot 4008 has more interesting story. His predecessor with an index 4007 is practically the copy of the Japanese Mitsubishi Outlander XL to which the French experts changed a little design.
As you can see, the background of development of crossovers go beyond the corporation. And it gives some problems which have both representatives of technique with the high cross in the French version:
- the main engine - the 2-liter turbocharget unit 150 horsepower with huge appetite;
- The CVT works far not ideally;
- the system of the full drive is rather old and effective only on asphalt;
- theinterior is not too high-quality material combinations;
- the prices of crossovers suggest the huge competition from Japanese rivals.
The cost of Citroen crossoveris more democratic - from 26 thousand dollars. Peugeot 4008 costs more than 29 000 dollars, but containsmore progressive technologies. With suchprice cars won't be able to compete with proposals of other European and east brands. For maintenance consumer interest the companies should reduce cost, or considerably improve their proposals.
Partner and Berlingo - successful step
For many yearsthe release to the world of two absolutely identical on the visual and technical characteristics of cars became one of the few successful decisions of corporations. These are Peugeot Partner and Citroens Berlingo, that became openers of a new class which received thankful responses in Europe.
With rather democratic cost, cars really proved themselves as excellent practical and reliablemeans of transportation for not only passengers, but also small-sized cargo. For this reason models became ideal purchase for the small enterprises and the large companies. Among excellent qualities of carsare:
- reliable engines without turbines and other novelties of technique;
- the elementary design which doesn't cause special emotions;
- very convenient driver's seat;
- inexpensive service and reliable basic units.
In new generation the cost of Peugeot Partner starts from 20 thousand dollars, and Citroen Berlingo can be bought for 19 thousand. Butin the cars there will be no special delicacy and comfortable equipment. For receiving all necessary optionsyou should overpay for more expensive configuration.
In general, cars continue to be sold good, but significantlyslowed their successful way in the market. It happened due to rumors about possible bankruptcy of corporation and stopping of deliveries of spare parts.
Summing up
Present position of the French integrated concern allows to say that the company won't fall a victim of the competitive market. Bankruptcy and disappearance of a brand doesn't threaten. The worst thing that can happen to the company, - absorption by more well-grounded and rich manufacturer.
But the fact remains. The company needs urgently to change approach to production of cars. Obsolete engines, not too qualitative materials of finishing - all this doesn't please potential buyers of the French cars.
About the authors
The CarAraC research team is composed of seasoned auto mechanics and automotive industry professionals, including individuals with advanced degrees and certifications in their field. Our team members boast prestigious credentials, reflecting their extensive knowledge and skills. These qualifications include: IMI: Institute of the Motor Industry, ASE-Certified Master Automobile Technicians; Coventry University, Graduate of MA in Automotive Journalism; Politecnico di Torino, Italy, MS Automotive Engineering; Ss. Cyril and Methodius University in Skopje, Mechanical University in Skopje; TOC Automotive College; DHA Suffa University, Department of Mechanical Engineering
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