Skoda Car Company

Established in 1895 as Laurin & Klement, the company started as a push bike manufacturer. In 1899 it added motorcycles and in 1905 they built their first cars. The first model was a Voiturette A, was a great success and the company was established both within Austria and globally. During the First World War Skoda was engaged in war production making vehicles.
When World War 1 was over they began building their first trucks, but in 1924, after running into problems and being hit by a large factory fire the company sought a partner. As a result it merged with Skoda Works, the biggest industrial enterprise in Austria & Hungary. Any later production was under the Skoda name. After a decline during the economic depression, Skoda was again able to become successful with car models such as the Popular in the late 1930s.
During the World War II Occupation of Czechoslovakia the Skoda works was turned into part of Hermann Goring Werke serving the German World War II effort.
After WWII Skoda became part of the planned economy and was separated from the parent Skoda company. In spite of unfavourable political conditions and losing contact with technical development in noncommunist countries, Skoda retained a good reputation until the 1960s, producing models such as the Skoda 440 Spartak, 445 Octavia, Felicia and Skoda 1000 MB. Skoda was internationally known for building very tough and reliable cars.
In the late 1980's Skoda was still manufacturing cars conceptually from the 1960s.
The turning point for the company came in 1987 with the Favorit car model. The Favorit's was design was done by Italian designers Bertone and3 with some motor technology licensed from western European companies. The technological gap was still there, but began closing rapidly. While still the target of jokes in the West, the Favorits were very popular in Czechoslovakia and other Eastern Bloc countries.
The Velvet Revolution brought great changes to the economy of and most industries were subject to privatization. With Skoda automobile the government decided to bring in a strong partner. VW was chosen in 1990 and on 16 April 1991 Skoda become the fourth brand of VWAG. The example of other Eastern-Bloc automobile manufacturers such as Lada-AutoVAZ and Zastava, and of Skoda works, once Skoda auto parent company, prove this was the right decision.
Backed by VW know how and investments the design both style and engineering has improved greatly. The 1996 model Felicia was still based on the floor plan of the Favorit, but quality made huge improvements and in the Czech Republic the car was popular as it was good value for money. The next models Octavia and Fabia finally made their way to the demanding EU countrys. They are built on common VWAG floor pans, e.g. Octavia on the Golf floor plan and therefore directly related to the VW Golf, Audi A3 and SEAT León.
The perception of Skoda in Europe has changed completely. While technical development progressed gradually, Skoda's image changed almost overnight. Skoda now uses this change in reputation as part of their advertising, with the slogan: "It is a Skoda, honest." In a 2003 advertisement on British television, a new employee on the production line is fitting Skoda badges on the car bonnets. When some attractive looking cars come along he stands back, not fitting the badge, since they are too good to be Skodas.
Skoda now has various manufacturing and assembly plants including one in Sarajevo, Bosnia and Herzegovina. Skoda also has an assembly plant in the city of Aurangabad in the western Indian state of Maharashtra.
Skoda is a participant in the World Rally Championship with Skoda Fabia WRC until 2005. The 2006 season saw Skoda represented by a private team.