Why Mercedes-Benz needs Aston Martin? I would like to keep this article short and simple. Mercedes-Benz has been trying to gather a market in ultra luxury segment for more than a decade, started with the reboot of the Maybach brand. Mercedes-Benz tried their best to create an ultra luxury brand with the Maybach but due to using same structure with the W220 S-Class and lack of adequate sophistication, Maybach could not keep with Rolls-Royce and Bentley.
What I mean by sophistication? Basically, Maybach never offered the same hand built car experience like Bentley or Rolls Royce. The amount of plastic used in interior and exterior were beyond the acceptable level. And the huge resemblance with the S-Class W220 completed the picture.
Now, Volkswagen Group owns Bentley and Bugatti. BMW owns Rolls Royce and Mini. And Mercedes-Benz or Daimler Group own literally nothing in ultra luxury market. There is no brand under the Daimler Group or Mercedes-Benz to compete with Bentley, Rolls Royce or Bugatti. And Mercedes-Benz knows that their product range is not capable of running at the same pace with the iconic hand built British automotive icons.
And there is one option is left! Buying the Aston Martin. This sounds too rough! And also hinders many potential problems. Instead of that Mercedes-Benz is going to develop the relationship through engine manufacturing and automotive technology sharing. Because, Aston Martin purchases the V8 and V12 engines from the Ford and Aston Martin doesn’t have enough money to develop sophisticated automotive technologies. On the other hand, Mercedes-Benz burns more than €1-billion to R&D and have a lot technologies that are years above their competitors. But it is still Mercedes-Benz.
Harmonising the technology of Mercedes-Benz with the soul of the Aston Martin will reveal a very strong competitor to Bentley and Rolls Royce.
This article represents my own personal views. It does not advice, consult, suggest or predict an investment suggestion, or business strategy to be used for an investment. I do not provide consultantcy or service for any type of investment or similar advices.
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