Schubert, "I see it like VW putting 20 bucks worth of chrome rings on a Passat and selling it for 10 grand more as an Audi."
For one, in the case of VW/Audi (or Toyota/Lexus), they are the same entity.
Secondly, simply doing as you said leaves me doubtful such products achieving the success they have. When you buy the upper echelon product, you get far more than a few chrome rings. Those things may be improved suspension, uprated trim, superior interior materials, enhanced technology, higher-end options, a maintenance package, and so on. Spending more money brings more content; which represents the better value proposition lies with the consumer, and that choice is a good thing.
In terms of content and cache, I'm more of a VW guy, but the quattro option led me to Audi in the mid-90s. When and if VW decides to introduce 4Motion on a far larger scale, their offerings likely will win my business.
In the end, no attempt to hide anything under a bushel exists in the VW/Audi example you raised. However, one questions the intentions of those who simply relabel a cheaper product and up the price tag in the process, or are aware enough of the cache displaying name of their home country brings while making sure not to include the words "Made In".
