How Mercedes-Benz grew to become so prestigious, and why it’s challenged
Many shoppers say proudly owning a Mercedes-Benz is an indication they’ve lastly made it in life. It’s thought-about probably the most aspirational manufacturers amongst bigger automakers — even by luxurious automotive consumers preferring automobiles from its rivals, in keeping with analysis by business survey agency AutoPacific.
However the automotive world is altering. Governments and some shoppers are pushing for electrical automobiles, and corporations are racing to develop new types of transportation, together with automobiles that may drive themselves.
A few of these new applied sciences, equivalent to electrical energy trains, problem Mercedes-Benz’s conventional strengths. In spite of everything, one of many issues the three-pointed star was identified for was its superior engine expertise.
Mercedes-Benz, say some business watchers, has been a bit slower than some to adapt to the electrification problem. Mercedes-Benz stated in early 2021 that it deliberate to delay the introduction of its EQC electrical sport utility car in the US for the foreseeable future, though SUVs are the most well-liked gentle car within the American market at the moment. The corporate stated it nonetheless plans to launch its electrical sedan.
The German luxurious model and its conventional friends, equivalent to BMW and Audi, additionally face challenges within the rising and intensely vital Chinese language market from electrical upstarts like Tesla and Chinese language makers equivalent to Li Auto, in keeping with some analysts. Traditionally, the three massive German manufacturers have managed 60percentof the posh market in China, however that share is eroding as Tesla continues to open new shops in China, in keeping with a report from Piper Sandler.
Mercedes-Benz has heritage, status, expertise and loads of expertise in its favor. However the automotive business is making some massive pivots.