Any automotive engineer will tell you: Small, inexpensive vehicles are the hardest ones to make. Low selling prices mean small profit margins, which means small development budgets. Issues that could be improved or solved with a bit more work or more expensive parts go unaddressed when there isn't any money left in the budget. To make a good car at a bargain price, you have to compromise somewhere, and the 2021 Hyundai Venue shows how it's done right.

No one expects a Rolls-Royce for R400,000 fully loaded, but expectations for entry-level cars have risen over the years, so they can't be disposable, either. The Venue comes out of the gate strong by focusing on emotional appeal. Editors appreciated the stylish exterior with its optional two-tone roof.

We were also pleasantly surprised by the upmarket interior design and large standard infotainment screen. This top-shelf Denim trim level packs a lot of visual appeal for such an inexpensive car.

Poke around a bit, though, and you quickly figure out where Hyundai found the money to spend on bringing fun design to production. Quality, soft-touch materials are strategically placed where the driver and front-seat passenger are most likely to look and touch, but everywhere else, it's hard, cheaper plastic.

And that's in the front. Sit in the back seat, and you'll discover far more of that plastic. Hyundai engineers clearly prioritized the front occupants, as even on this loaded model there are zero features for those sitting in the back—and almost as little legroom. You'll find the same plastic in the cargo area, which might as well come pre-scuffed from the factory considering the wear it'll show once you use it.

Low-cost materials are to be expected in cars that start at R265,000, so fair enough.

The standard CVT (the six-speed manual is no longer available) does a good job of making the Venue jump off the line, but once you're moving. Pressing the acceleration harder makes noise, not more power. Its most redeeming quality is the fuel economy it returns, above 12.8l/km across the board. The price of that, though, is being relegated to the right lane for the life of the vehicle.

Then there are the philosophical issues. For one, Hyundai does not offer all-wheel drive on any of the Venue models in the range. Although it looks like a convincing little SUV, this choice makes the Venue more of a tall hatchback car. We also were reviewing the most expensive Venue. If you're on a really tight budget, you'll have to settle for even fewer nice features.

Still, we have to give the Venue credit. For R407,000 fully loaded, you get Apple CarPlay and Android Auto, a big touchscreen running Hyundai's excellent software, keyless entry and starting, lane keep assistance, automatic emergency braking, blind-spot warnings, LED headlights, and a boatload of style.

Any car at this price is going to have compromises. Hyundai has tried to make the Venue's as livable as possible. We've seen better compromises, but we've also seen much worse.