Volkswagen AG's effort to reposition Skoda beneath its VW brand has angered the Czech brand's dealers.
The de-contenting of the vehicles is hurting customer satisfaction, said Thomas Peckruhn, chairman of the Skoda dealer association.
VW's management believes Skoda has moved too close to its main brand and is luring its customers away from VW.
VW CEO Martin Winterkorn said the company will reduce Skoda production costs by cutting back on equipment levels.
"We cannot have a [Skoda] Fabia with a higher value instrument panel then the [VW] Polo,” he said at the Paris auto show.
Skoda is VW Group's entry-level brand, and the technically similar VW models cost thousands of euros more than a comparable Skoda.
Skoda dealers don't agree that the brand attracts customers who would otherwise buy a VW.
"We conquer customers from French brands such as Peugeot and Renault, including Dacia,” Peckruhn said.
He said Skoda will lose sales if its cars are decontented. "It is impossible to believe that customers will not notice something like that."
A public debate over the repositioning of Skoda is also damaging, Peckruhn said.
As an example, Skoda's Climatic semi-automatic climate control system with a cooled glove box has been cut. This extra feature was a particularly popular selling point in dealerships.
On the Superb, the brand's higher-end mid-sized model, the umbrella integrated in the rear door – likewise a highly regarded feature – can now only be ordered as an accessory.