Sunday, October 5, 2008

Daimler-Chrysler has always been heralded as a champion on the ‘premium’ platform, in India & globally. But can it stand the test of time? B&E investi

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

“a larger variety of engines was rather uncalled for at this stage!”


 Mercedes-Benz Group The company also counts largely on its enviably widespread dealer & service network across the country, aimed at giving its esteemed customers a ‘global experience’. Hence, DC should capitalise on its first mover advantage, and focus increasingly on its distribution network and further increase penetration. The competition is however aware of its shortcomings in India and therefore wants to build a market on the ‘novelty factor’ alone. BMW, for instance, offers three-engine options for its volume product – the ‘3-Series’. Mercedes for that matter offers no more than just two! Even CBU dependent Porsche offers four options on its highly successful Cayenne SUV. When B&E inquired into the matter, the company officials told us that, “a larger variety of engines was rather uncalled for at this stage!” The danger however is that this could lead to the same rejection situation faced by DC back in 1995, when the company entered India with the Mercedes Benz E-Class (W124 version) which was rejected by the market and had to be replaced with the newer W210 version.

...but loves the world!

Surprising it is, for seven decades back, this German machine was feared by rivals and loved by speedsters for possessing the capacity to achieve on-road velocity in excess of a blinding 400 km per hour – considered a ‘superior motoring benchmark speed level’ during those days. You couldn’t have imagined so, could you? Well, for us to imagine that a ‘thrill-loving’ speedster should suddenly change its gears and transform itself into a brand, which is today some blinding sign of luxury, was more than a sweet surprise! Who could have even imagined that such a composite unit of the ‘Silver Arrows’ (a monicker given to Germany’s racing heritage) – which could outshine most four-wheeled creations then – would change it orientation completely within a span of about eight decades to stand out amongst equally capable Audi & BMW arguably as ‘the ultimate status symbol’?! Well, today the ‘three-pointed star’ has virtually outlived most of its brand rivals and become the face of Germany’s legendary mastery over technology-packed high-end cars.


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Source : IIPM Editorial, 2008

An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).


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