Comments on: Mercedes-Benz Cars to become expensive next month http://business.techwhack.com/4910-mercedes-benz-india-2 News and Views from the Business World Tue, 24 Nov 2009 03:10:27 -0700 http://wordpress.org/?v=2.8.6 hourly 1 By: Sandeep Dhar http://business.techwhack.com/4910-mercedes-benz-india-2/comment-page-1#comment-88306 Sandeep Dhar Mon, 23 Mar 2009 12:50:37 +0000 http://business.techwhack.com/?p=4910#comment-88306 This is a ridiculous idea. I believe that BMW is outselling Merc by a wide margin. If that is true, this price increase will only further the chances of BMW to increase market share. That's a pity since Mercedes has committed to the Indian market for many years now and have been manufacturing in India for all this while. In spite of that, they will end up being more expensive than BMW for like for like models. I don't think customers will buy the argument of input prices having gone up. Almost all commodities have nose-dived in the last few months. With a much better levels of local sourcing, they should be much less impacted by Fx variation than BMW. Also, they did not reduce prices when the Re was appreciating against the dollar. My recommendation to Mercedes India is to not go ahead with this price increase. If they do, they will further lose ground. Sandeep This is a ridiculous idea. I believe that BMW is outselling Merc by a wide margin. If that is true, this price increase will only further the chances of BMW to increase market share. That’s a pity since Mercedes has committed to the Indian market for many years now and have been manufacturing in India for all this while. In spite of that, they will end up being more expensive than BMW for like for like models.

I don’t think customers will buy the argument of input prices having gone up. Almost all commodities have nose-dived in the last few months. With a much better levels of local sourcing, they should be much less impacted by Fx variation than BMW. Also, they did not reduce prices when the Re was appreciating against the dollar.

My recommendation to Mercedes India is to not go ahead with this price increase. If they do, they will further lose ground.

Sandeep

]]> By: Htnakirs http://business.techwhack.com/4910-mercedes-benz-india-2/comment-page-1#comment-85776 Htnakirs Fri, 16 Jan 2009 15:49:18 +0000 http://business.techwhack.com/?p=4910#comment-85776 Mercedes-Benz Cars to become "expensive" next month. Hello? Are they "cheap" now? Mercedes-Benz Cars to become “expensive” next month.
Hello? Are they “cheap” now?

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