Mercedes- Benz has always claimed bragging rights for being the first production Automobiles. Its innovation and relentless pursuit for quality and engineering excellence have been non-pareil.
It is identified as one of the most aspirational brands, even by its grudging competitors. Owning a Mercedes-Benz is a signal of “having arrived in life”.
But, the transition of the Automotive Industry to Electric vehicles and other modes of transportation are a serious threat to the Old World sensibilities, including the Prestigious image of Mercedes Benz and its Engineering Technology.
Electric Power Trains and other new technologies challenge the traditional strengths of the iconic Mercedes-Benz.
As per industry watchers, the brand was slow off its tracks to the new challenge of Electrification. Mercedes-Benz had said in early 2021 that it will be delaying the launch of its EQC electric sport utility in the US for now. And this when the SUV segment is the most popular segment in the US. The company will instead launch its Electric Sedan.
Not just Mercedes-Benz but its traditional rivals like BMW and Audi too are facing a fierce challenge from the electric upstarts like Tesla and the Chinese Auto brands like Li Auto. In China, Tesla is already opening new stores and this will impact the 3 major German brands that control over 60% of the Chinese Luxury Market.
Mercedes- Benz with its proud heritage, prestige, talent, and engineering excellence has a lot going for it still but … is being challenged by the upstarts.