Daimler wants closer partnership between Mercedes-Benz and Bmw

Article by Christian Andrei, on August 29, 2010

There are talks of a BMW-Daimler partnership are coming out and confirmed today by a pronouncement from Daimler that they would like to see a joining of forces between to equals. This is nothing unusual, considering the partnership between Fiat and Chrysler. Although Daimler recognizes that there are aspects in both companies that will remain totally separate.

Daimler did not reveal which areas would be off-limits, but says that there would be just a few of these areas, and they are eager to work around these just to get to the advantages that the partnership will create.

Both companies rely on the strength of their brands for success in the market, so brand integrity will remain an essential element and be a consideration, although it won't be an obstacle to a broader partnership.

Daimler has hit something important in its analysis, since BMW and Mercedes-Benz manufacture quite similar products in basically the same segment of the industry, in geographical locations that are just neighboring. Joining their resources together, which they have already done in a more limited scale, and using the power of economies scale could provide enormous savings for both.

Consequently, combining resources while keeping brand identities intact could do much to aid the carmakers entry into the high-volume and emerging markets of Asia, which has the possibility of becoming the world's biggest luxury segment.

A merger between Daimler and BMW will put both companies in a position to rival Asian giants like Toyota, which has been propelled to prominence in recent years, and also VW Group, particularly Audi, which has surpassed BMW and Mercedes in Germany and is also expected to do in all of Europe by 2010. There are still some snags to overcome in the whole plan of striking a partnership, namely, the Quandt family has already put a stopper on a proposed 7 percent stock exchange between BMW and Daimler.

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The Shooting Brake is probably the least rendered body shape in the automotive world. But it’s also the most sought after design among car nuts for its unique, old-fashioned charm....
by - January 23, 2017
Perhaps to make the upcoming Valentine’s day more special, Tinder dating app and Ford UK have cooked up a special blind date for all the single blokes and chicks in...
by - January 23, 2017
2017 is undeniably a very busy year for BMW. After introducing the new 4-Series, the German automaker has just released several new updates. In relation to this, BMW is also...
by - January 23, 2017
The renowned Shelby Super Snake is now 50 years old! As we greet the Super Snake a “happy birthday” or a “happy anniversary,” Shelby itself is celebrating half a century...
by - January 23, 2017
Nearly a year after the Subaru XV Concept was unveiled at the 2016 Geneva Motor Show in Switzerland, this SUV study is making its North American debut at the 2017...
by - January 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries