Czech automotive sector faces strategic shifts and high vehicle depreciation

Analysis of the Czech automotive sector highlights a need for structural change among suppliers. Experts suggest that relying on revenue and margins is insufficient for long-term survival; instead, companies should focus on Return on Invested Capital (ROIC) to ensure economic viability.

In the consumer market, a study by carVertical regarding vehicle depreciation in the Czech Republic reveals significant value loss for certain models. Luxury SUVs, specifically the Range Rover, experienced the highest depreciation, losing an average of 71.6% of their value over five years. Other models with high depreciation rates include the Ford S-Max, Opel Insignia, Opel Astra, and Ford Mondeo.

Conversely, more economical models tend to retain value better due to lower maintenance costs and higher demand in the used car market. In the Czech Republic, the Fiat 500 and Hyundai i30 were noted for their relatively better value retention.