The plans Porsche had of building a small entry-level two-seater sports car have yet again been put on hold.
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According to reports, Porsche CEO Matthias Mueller believes a smaller and cheaper mini-Boxster model would risk diluting the brand and alienate traditional customers. "We would do no good to the brand if we were to lose traditional Porsche customers," Mueller was quoted as saying in the German newspaper, the Stuttgarter Zeitung.

Signs haven't been promising for a possible modern take on the 1950s Porsche 550 since Mueller downplayed the possibility of the car's launch in January, telling Wirtschaftswoche, "Possibly we need to wait until the next generation of customers before the idea of a small roadster will work for Porsche".

Mueller also told Stuttgarter Zeitung that Porsche has no immediate plans to develop a smaller version of its four-door Panamera sedan, nicknamed the Pajun – Panamera Junior – though he confirmed reports the model could become an option in five or six years.

A Porsche 'Pajun' would compete with the likes of rival German luxury brand's Mercedes-Benz E-Class and CLS four-door coupe.

Porsche is set to start production of its fifth model, the Macan compact SUV, in 2013.

The company's expansion plans stem from its goal to double annual deliveries to about 200,000 sports cars and SUVs by 2018 with the assistance of Volkswagen, which owns 49.9 per cent of Porsche's core business, and is looking at ways to take control of the remainder.