Rolls-Royce is opening a dealership in one of the most salubrious quarters of Paris in a bid to boost sales of its newest car.

Sales of the Phantom, the first new Rolls-Royce produced since BMW took control of the brand in January 2003, have so far been disappointing.

Rolls-Royce Motor Cars (RRMC), based in Goodwood, near Chichester, is aiming to sell 1,000 models worldwide by the end of the year. Last month just 358 had been sold.

But new Rolls-Royce boss Karl-Heinz Kalbfell reckons sales will pick up around Christmas when high-flying executives pick up their end-of-year bonuses.

The company expects sales to eventually reach 2,000 a year, probably by extending the range to include a stretched Phantom and a convertible version of the car.

Yesterday the firm launched the Phantom at the 2004 Paris Motor Show - exactly 100 years after the first Rolls-Royce debuted at the Paris Salon.

Rolls-Royce Motor Cars (Paris) will be the first Rolls dealership in France since the takeover by BMW and will open for business in the 16th arrondissement next week.

Mr Kalbfell said: "We are delighted to announce the opening of this new showroom in such a wonderful city.

"Rolls-Royce has a long and celebrated history in France and we are particularly pleased to announce our new Paris dealership during our celebrations of 100 years of the marque."

In the early years of Rolls-Royce the company tested its new models in France because of its long straight and virtually traffic-free roads and in 1924 a permanent test facility was established at Chateauroux, 155 miles south of Paris.

Founder Sir Henry Royce loved France and spent winters at his villa in La Canadel, on the Cote d'Azur, from 1911 until his death in 1933.

The connection continues today as the new £250,000 Phantom is equipped with PAX run-flat tyres, developed and produced specifically for this latest Rolls-Royce by French giant Michelin.

Numerous famous French men and women are among the list of Rolls-Royce owners, including Brigitte Bardot and Coco Chanel.

RRMC has now set up 67 dealerships in 26 countries, including one in Red Square, Moscow, and three in China.

Earlier this month the company produced the 1,000th Phantom at its new headquarters in Goodwood.