Mercedes Benz Essay Example | Topics and Well Written Essays - 1500 words

Mercedes Benz - Essay Example Innovation of new ideas, which brings forth new products, is a factor behind this success. However, global companies have failed due to lack of customer satisfaction. Mercedes Benz is a company that for years has realized its goals by providing best automobile products to clients although critics argue that the price is unfriendly. 2. Background of the company The Mercedes Benz is a leading German automobile manufacturer with global presence through subsidiaries in various parts of the world. It deals with production of a wide range of vehicles including luxurious cars, buses, coaches, and trucks. The world’s leader in luxury cars has its origin traced back to German citizens in the name of Karl Benz and Gottlieb Daimler. Over the years, the company has brought in diverse hi-tech and safety improvement that other vehicle manufacturers have borrowed (Kristin 112). Today, brand name is among the most popular brands in the world. The company grew over the years to become one of t he leading suppliers of automobiles around the world. 3. Products offered Since the formation of the company, it has preserved a global repute of quality and resilience, winning various quality awards around the world. ... However, as more companies ventured in the production of similarly deluxe, elegant and cheaper cars, its popularity started to exhibit a slowed growth and losing its grip as the leading supplier of quality and durable cars. Major competitors include the Audi, BMW, Toyota, Lexus, Land Rovers, Fox wagon, the Cadillac model, and the prestigious Porsche among others. The company prides in the production of the lavish Mercedes Benz models including cars buses, trucks and buses as well (Koichi 111). At some point, the company produced sport cars, but has since then withdrawn from it. 4. Related industries and competitors The year 1958 saw the company enter into a distribution treaty with Studebaker- Packard, a marketing company of Indiana in the United States of America, which marked the beginning of its numerous subsidiaries around the states as well as other countries around the world. At present, the company has many outlets in several countries for assembling or full manufacture of the luxurious brand automobiles. These subsidiaries are now operational in several countries in South America, Africa, Asia; especially south eastern parts, parts of Europe and North America, giving the company a global representation. The company has close relation with tyre industries including companies like Michelin, Dunlop, Ferari, Bridgestone, and Firestone among others, leather companies, paint and adhesive companies as well as several marketing industry players. 5. Marketing strategy The company’s marketing strategy has traditionally focused on the luxury, precise engineering, and safety of the cars it produces. However, more recently owing to increased competition from other manufacturers of luxury cars, increasing cost of production and changing consumer preferences, the