Mercedes Benz Aav Essay

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Mercedes-Benz AAV 1. What is the competitive environment faced by MB? The competitive environment faced by Mercedes Benz is one filled with many different car manufactures and car models. Mercedes has several competitors in terms of price and quality on all of their product platforms. Historically, Mercedes biggest competitors have been Lexus, BMW, Audi, and Cadillac. The economic downturn coupled with the restructuring of domestic auto manufactures has shifted Mercedes competition. In recent years there is gaining popularity in domestic vehicles. Rather than just competing with luxury automobiles, Mercedes is now competing with newly designed domestic automobiles, including those manufactured by Jeep and Ford. These vehicles are …show more content…

In 2007, Mercedes showed dramatic improvement in quality surpassing the quality leader Toyota. In 2011, J.D. Powers ranked Mercedes Benz above average in quality (ahead of BMW and Audi) but behind Lexus. Price – Mid-Upper Range – Mercedes offers most of its products at a price similar to other luxury car models, with the exception of a few specialty high-priced products within each of their platforms. The Mercedes SUV platform is an example of this. Mercedes currently offers two SUVs, the G-class and the GL-class. The GL-class is priced competitively with Lexus, BMW, and Cadillac at $85k. In contrast, the Mercedes G-class is currently the most expensive SUV on the market priced at $107k, which competes with upper-range priced SUVs such as the Porsche Cayenne and Land Rover Range Rover. Mercedes follows the same pricing strategy for the sedan platform as they do in the SUV platform - offer most of their vehicles priced similarly to other large luxury auto manufactures such as Lexus and Audi, but also offer a product that exceeds the competitor’s normal pricing within that platform. Mercedes offers several sedans that are priced similarly to Lexus, Cadillac, and Audi, which includes the E-class and S-Class lines, but they also offer something else. With the introduction of the Maybach in 2002, Mercedes Benz became the manufacturer of the highest priced luxury sedan vehicle in the world. The Maybach is currently the most expensive luxury sedan

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