Zetsche savors Mercedes-Benz rise after his tenure was criticized

Article by Anita Panait, on February 10, 2014

In February 2013, the contract of Dieter Zetsche as Daimler AG’s chief executive was extended by two years less than the norm in Germany, no thanks to critics that included both investors and labor leaders. Unions have also pressed Zetsche to swap two of his top lieutenants. That was after a series of profit warnings and years of slow growth gains at Mercedes-Benz.

A year later, Zetsche seemed to have proven his critics wrong. His strategy, especially for Mercedes-Benz, is working and the luxury brand is now catching up with its German rivals.

In fact, Mercedes – armed with the new entry-level CLA – managed to outsell Audi in the final months of 2013 and even gained more in the year than BMW. For 2014, Mercedes has in its arsenal a fully available S class and a refurbished C class as well as the GLA compact SUV.

"The criticism last year wasn't completely unexpected, but it was based on conditions that were rooted in the past," Zetsche told Bloomberg News in an interview.

"I was convinced we were at the beginning of an upward trend. We're seeing clear signs of that now, and there's more to come." More encouraging evidence of advancement at the carmaker are seen when Daimler publishes its fourth-quarter results.

Earnings before interest and taxes from current operations are expected to grow 37 percent to EUR2.39 billion ($3.23 billion), according to the average estimate of 12 analysts polled by Bloomberg.  Zetsche has pledged three years ago to reclaim the luxury car sales crown by 2020 after falling behind BMW in 2005 and Audi in 2011.

If you liked the article, share on:

Topics: mercedes-benz

Comments

Recommended

It has been nearly eight years since Toyota entered a new era of sports cars when it officially unveiled the production version of the Toyota 86 – also known as...
by - February 27, 2019
The new Audi TT RS – yes, the top version of the German carmaker’s facelifted TT model series – is now officially here. If you could remember, the range-topping TT...
by - February 18, 2019
Nearly half a year ago when McLaren Automotive unveiled the McLaren 600LT Coupe, the British carmaker is now introducing a version that lets its passengers enjoy the thrill of an...
by - January 25, 2019
German carmaker Volkswagen is now making the latest evolution of the new Volkswagen Golf GTI -- the new Golf GTI TCR. First unveiled as a concept at the annual GTI...
by - January 24, 2019
It has been three and a half years since BMW unveiled the sixth generation of the BMW 7 Series. Thus, it is really about to give the 7 Series a...
by - January 17, 2019