Mercedes Benz Aav Essay

When it comes to all cars Quality is what all people look for, between American cars vs foreign cars. In this battle foreign cars won it.Nonnative cars last way longer than American cars for a fact that why young people cars are the foreign ones like Toyota.They are very Reliable and longevity. The Japanese made Toyota, Camry for twenty years with no problem, Europeans brands are often recognized

(1) The distance learning system would enable MBUSA to scale its training systems without building additional training facilities, instructor salaries, administrative staff, and building utilities and maintenance.

Toyota is benchmarked as the best in class by all of its peers and competitors throughout the world for high quality, high productivity, manufacturing speed, and flexibility. Toyota automobiles have consistently been at the top of quality rankings.

The industry for superior luxury cars is a highly exclusive one with a few automotive makers making their presence felt. The major market share is held by Porsche which is known to have formidable rivals like Benz and BMW. The SUV supercar segment is a highly evolving one where manufacturing style localities and units are the decisive forces that ultimately culminate towards the cost of the car.

One of the most notable outcomes of the competition between Ford and General Motors has been their control of the global automobiles industry. Both companies enjoy have many clients within the United States of America and other parts of the world. This would not have been the case had the two companies not been in direct competition with each other. Whenever Ford introduces a new model in the market, General Motors is always quick to do the same (Ford 14). Similarly, the development of a new model by the latter company serves as a lead for Ford Motor Company to introduce a new brand. This neck-to-neck tussle for the American and global market for automobiles has positively affected the exceptional success of both companies. In most cases, companies tend to view competition with a perception that is more or less negative.

Mercedes-Benz operates on the differentiation strategy. Luxury, prestige and technological innovations drive the company 's production from the high quality small cars and e-bikes of the smart brand, to the premium automobiles of the global corporation.

Competition is good for producers but better for consumers, more competition in the market means more: ideas, channels of distribution, market stability and competitive (lower) prices for consumers. Ultimately, healthy competition forces producers to offer better products and services at lower prices. Automobiles provide people with “…aspirational value in addition to a basic mode of transportation…” (Reinhardt, Yao & Egawa, 2006) consumers make purchasing “decision based on the styling, color, and concept of the cars in addition to functions and pricing” (Reinhardt, Yao & Egawa, 2006). So far, TMC has been trying to catch up with Honda and Nissan in the ‘innovative’ department. Let’s not forget the criticism the company previously faced for offering its customers “…proliferation of look-alike cars…and following rather than setting a trend” (Reinhardt, Yao & Egawa, 2006).Since, Mr.

Mercedes doesn't only seek for horse power & top speed , it also seeks for taking care of engineering and designing parts . It's a joyful thing to ride a fast car that can go from 0 to 70 in 50 seconds but your car won't be a good performer unless all it's parts are taking a good care in their details .

MERC v/s the BMW: Mercedes-Benz CL-Class 500: Engine Engine Type V-Type Engine Engine Description 5.5L 388bhp V8 Engine Displacement (cc) 5461 No. of Cylinders 8 Maximum Power 388@6,000 (PS@rpm) Maximum Torque 54@2,800-4,800 (kgm@rpm) Valves per Cylinder 4 Valve Configuration DOHC Fuel Supply System SEFI Bore x Stroke 98 x 90.5 mm Compression Ratio 10.7:1 Transmission Transmission Type Automatic Gear box 7 Speed Drive Type RWD Overdrive Yes Suspension System Front Suspension 4-link with antilift control & stabilizer bar Rear Suspension Independent Multi-link with antisquat & antidive system

Although Mercedes Benz marketing strategy used to focus on safety, precision engineering of its cars and safety, they had to make sure that the Mercedes’ cars would suit the customers’ changing attitude. Now, they focus more on fun loving, energetic and approachable side of Mercedes Benz in their marketing. When its market expanded this caused an evolution in its marketing strategy. Mercedes Benz has found that they have to expand their market by including younger customers. Slicing prices to make the product more affordable was one of the marketing strategies also.

As a result of the increased demand of cars, the competition among car companies is becoming intense. Although the market of car is the biggest growing market in the world, there are still some companies who make cars failing year after year. However, there are some outstanding car companies such as The BMW Group performing distinctly.

The increasing numbers of sub-model cars can also affect the brand quality through increasing any risk issues once launched to the public. Furthermore, according to (Stephen, 2004) Mercedes customers have high expectations about the high quality promised by the company. In 2003, the company disappointed many customers when they sold over 2000 vehicles with an extra option for a navigation system, which were not ready to be delivered at the right time, also accompanied by other mechanical issues. On the other hand, the company made an announcement about its new high quality hydraulic breaking system, which increased its competitiveness in terms of safety and quality against other competitors in the industry.

For example, the company's Mercedes-Benz cars segment holds a 5% share of the Western European market, 1.9% share of the US market, 1.4% of the Chinese market, and 0.9% in Japanese market. Similarly, Daimler Trucks hold 37.5% market share in Germany, 22.3% share of the Western European market, 25.2% share of the Brazilian Market, and 20.8% share of the Japanese market. Mercedes-Benz Vans holds 18% of the Western European market and 28.1% of the German market. Additionally, Daimler Buses has a market share of 27% in Western Europe, 50% market share in Germany, and 43.1% market share in Brazil. Strong brand recognition allows Daimler to charge premium prices than its competitors and thus register relatively higher margins. In addition, robust market share across different geographies gives Daimler a competitive advantage over its peers and helps it to maintain a niche in the market place. Extensive production and sales network Daimler has a diversified geographic presence with production facilities in 18 countries worldwide. Daimler operates a total of 66 production locations worldwide. The company owns 29 locations in Europe, 17 locations in the North American Free Trade Agreement (NAFTA) region, six locations in Latin America (excluding Mexico) region, three locations in Africa, and eight locations in Asia. The company is actively involved in manufacturing cars,

Strength of Competition-Very high. Toyota, Mercedes-Benz, Audi, Jaguar, Porsche, and more have invaded BMW’s market niche.

However, due to its unique targeting strategy, it has not win compatible brand recognition among the public. Although Audi enter much earlier than BMW and Benz in the luxury car market, its marketing strategy limited increase of public brand recognition even Audi has over 100 years’ history. Besides, although its styles are highly accepted by the targeting customers, there are a growing number of people who can afford luxury cars for family use in China. Lack of vitality is limit of its further market expansion. On the contrary, its major competitor in China, BMW, has launched a series of marketing strategies to promote its high-performance, manoeuvrability, as well as stylish design to attract young people (BMW, 2009) in order to expand its market share. Therefore, although Audi has achieved success in the targeting market, it may consider further development through diversification in product line and advertising campaign.