Bmw vs Mercedes

2101 Words Sep 1st, 2011 9 Pages
Executive Summary
The marketing mix elements are the basic, tactical components of a marketing plan. Also known as the Four P's, the marketing mix elements are price, place, product, and promotion. This report will compare the marketing strategies used by Mercedes Benz and BMW both of which are German car manufacturers. Mercedes-Benz will discontinue the CLK model after 2010 and replace it with a coupe and convertible based on the new E-class. In comparison BMW has been extending its product portfolio by including smaller and less profitable cars. During 2008 Mercedes-Benz USA appointed 27 dealers to open special AMG performance centers. BMW created an import/export operation which is the only U.S. manufacturing plant, it is located in
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Distribution During 2008 Mercedes-Benz USA appointed 27 dealers to open special AMG performance centers which are Mercedes high end luxury sport models. They opened these performance centers in top selling markets this year to promote the high-priced range of Mercedes vehicles.
By limiting the availability of AMG sport models Mercedes are creating a narrow product line, which makes this division of the brand more exclusive. These dealerships are full service retailers because they offer slower moving specialty goods ,This type of good creates higher operating costs which are passed along to consumers as higher prices.
The import/export operation of BMW's only U.S. manufacturing plant in Spartanburg South Carolina plays a major role in the German company's global strategy. The plant builds approximately 50,000 Z3 roadsters for U.S. and overseas markets each year. In addition, it processes German produced 3, 5 and 7 series models that are shipped in through the Port of Charleston at the rate of 35,000 a year for sale in U.S. dealerships.
This well planned marketing logistics network makes BMW more competitive. The company can attract additional customers by offering better service, faster cycle time and lower prices through these logistics improvements. Logistics

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