Lean on Me: Incoming Daimler CEO Aims to Tap Alliances, Get Models Out the Door Faster, Cheaper

Planned successor for Daimler CEO Dieter Zetsche, Ola Källenius, says Mercedes-Benz will significantly reduce development costs under his supervision by accelerating alliances throughout the industry. This, of course, has everything to do with electric cars, as that’s all auto executives seem capable of discussing anymore.

“The cost structure of the electric car is above that of the combustion engine car. We are working hard on lowering this,” Källenius said on Monday. “We need to work on the cost of vehicle architectures. From where we are now, we need to make a significant step by 2025 in terms of cost.”

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BMW Pulls Ahead With Investors

The S-Class Mercedes has been the default choice for the global taste-and-wealth set for a very long time, probably since the demise of the Elwood Engel Continental. The 7-Series BMW, by contrast, has always been a slightly embarrassing purchase, the choice of the man cut out from the classy club by birth, ignorance, or a slightly unseemly insistence on driving dynamics. BMW is the striver’s brand, launched into the spotlight by a man who was sort of the Nadia Comaneci of sweaty social climbing. Mercedes is the real thing. Hasn’t it ever been thus?

German investors, on the other hand, seem to like the Roundel.

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Mercedes Benz: Smaller, Cheaper, Greener

Ever get the feeling that the car game is dealing with some malaise? Dieter Zetsche sure seems to. “The definition of luxury will be somewhat different,” Doctor Z tells the Wall Street Journal. “It will be fewer CO2 emissions and more modesty in appearance.” And this from the company that sells cars on the back of a brand dripping with immodesty and ostentation. But no matter, the decision has been made: Zetsche wants to chase what the WSJ terms “Americans’ growing interest in downsized models that offer upscale features and finishes.” Wait, growing interest? The MINI sells decently, but the A3 (fewer than 3k units sold year-to-date) and 1 Series (fewer than 10k units year-to-date) are hardly setting the luxury segment on fire. Damn the torpedoes, people want green modesty, and Zetsche’s going to give it to them with four compact models planned for the US sometime after 2011.

For sure, there will be another B-class, which will be pretty similar, address the same customer as the B-class today. The three other body styles clearly intend to target additional and different segments from the one that we can target today, including gender barriers.

Smaller, greener and more identity-politics-y. That sounds like just what the luxury market has been begging for! And we haven’t even started in on the cost-cutting yet.

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  • Scott Do any car companies research demographics?going after a shrinking car buying market isn’t a recipe for success.hazrd a guess that most people in their prime car buying years don’t know anything about broncos or give a sht about a heritage model. Going to die on the vine. Bad strategy and failure for future growth
  • MaintenanceCosts The Jeep 4xes are impressive vehicles, even after accounting for the expected Stellantis/FCA lack of reliability. A Wrangler is not of any use to me but this powertrain in a Grand Cherokee L will be on my test-drive list when it inevitably happens.I just wish the gas engine were something other than a coarse and ugly-sounding four. These cars with either the Pentastar or the six-pot Hurricane would rocket right to the top of the list, although I'm sure they would sacrifice a couple of mpg when running on gas.
  • Mike Beranek The suicide door T-Bird in blue is a stunner. I love the look of that car.
  • Cprescott Interesting car. Even in its current condition it looks better than any Honduh made in the last decade. Honduhs already come with a built in junkyard designed look - mishmash of elements that don't work well together.
  • Arthur Dailey Sigh ............. now we are getting to the 'interesting' part.1st tier PLC: Mark III, IV, V and Eldorado. 2nd tier: Toronado, T-Bird, Riviera, Cougar. 3rd tier: Regal, Gran Torino Elite, Cordoba, Cutlass Supreme, Grand Prix, Monte Carlo.