Mercedes Benz Organization Behavior Essay

2124 Words May 1st, 2013 9 Pages
Part A (Ari): Mercedes-Benz is a division of Daimler AG, manufacturing luxury vehicles, buses, and trucks. Mercedes-Benz organization has been around for well over a decade, submitting their first patent for the first car invented by the organization in 1886. Since the creation of the first car, "Mercedes-Benz has set the pace for what all cars might someday become" (M-BUSA). The company's first vehicle not only changed the way people moved about, but it also sparked a future of innovation that Mercedes-Benz still boasts about today. Until 1931, Mercedes-Benz devoted its resources to the production of a three-wheeled vehicle. However, in 1931 Mercedes released details of the four-wheel independent suspension; the first-ever fully …show more content…
Peter Zieringer, CEO of Mercedes-Benz Bank, stated that Mercedes consistent lending policy kept a good relationship with banks at a time when consumers were looking for reliable lenders(Dietmar). Not only has Mercedes been consistent, they have also been innovative to keep up with the competition. Mercedes-Benz provides many affordable models while still keeping its prestige. Mercedes has recently developed lower costing cars in response to their biggest competitors, Audi and BMW. In 2011, profits fell for Mercedes-Benz while BMW’s profits rose once again. BMW sold 287,000 more cars than Mercedes in 2011. This is largely due to the fact that BMW offers a wider range of models. Mercedes-Benz countered with additional models of their own including the C-Class, CLA-Class, and E-Class. They have a brand new CLA-Class beginning at $29,000. The C-Class sedans begin at $35,000(Edmunds). Mercedes-Benz now offers 12 different models. Although the sales in 2011 compared to BMW may seem like bad news, Mercedes sold the most cars in their history that year, earning $5.2 billion dollars. Mercedes-Benz innovation and brand enables them to be a top competitor in the auto industry year in and year out.

Hawranek, Dietmar. “Daimler Struggles to Regain its Spark.” Spiegel Online. 28

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