Mercedes 2003 Annual Report Download - page 63
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Please find page 63 of the 2003 Mercedes annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Additional significant benefits are to be gained with transmissions,
as well as with further reductions in the number of engine families.
An important milestone in this respect is the “World Engine”, which
is a cooperation between Mitsubishi Motors Corporation, Hyundai
Motor Company and Chrysler Group for the joint development and
production of a four-cylinder gasoline engine. This joint venture
will manufacture more than 1.5 million gasoline engines each year –
a record for the industry. The first engines will come off the
production line in South Korea in 2004.
In the future, DaimlerChrysler’s car brands will profit from a shared
electric and electronic architecture. This is an important step on
the way to the shared use of advanced technology, with the added
effect of reducing development costs and achieving substantial
economies of scale. Additionally we have itensified cross-divisional
cooperation between procurement, design and research and
development.
Effective implementation of Asian strategy. The tasks of the
EAC also include supporting and coordinating the Group's regional
strategies. Last year, the focus was on our China strategy, which
plays a key role in DaimlerChrysler’s overall Asian strategy. Daimler-
Chrysler has been active in China for many years and has gained
extensive experience there. The joint venture between Daimler-
Chrysler and Beijing Automotive Holding Corp. (BAIC), which
started in 1983, was the first joint venture between a western
company and a Chinese partner in the automotive industry. In
order to participate in China’s growth potential more in the future,
DaimlerChrysler AG and BAIC signed a framework agreement
last September covering, among other things, the production of
Mercedes-Benz E-Class and C-Class cars. In addition, together
with Beiqi Foton, in which BAIC is the main shareholder, Daimler-
Chrysler will produce heavy and medium-duty trucks, including the
Mercedes-Benz Actros, as well as engines and components
for the Chinese market. With our partners, we are building up an
effective sales organization for the distribution of the vehicles
produced by our joint ventures. We also intend to provide financial
services for these vehicles upon receiving approval from the
Chinese government. This will make DaimlerChrysler the first
western automobile manufacturer with a product range in China
that includes passenger cars, commercial vehicles and financial
services.
Growing importance of multi-brand management. Customers’
requirements are becoming increasingly individualized. This trend
will lead to further fragmentation of the automobile market and is
likely to strengthen brand awareness. Experience shows that this
will boost demand for premium vehicles in all segments. Daimler-
Chrysler is extremely well prepared for this development. The
company has strong, unmistakable brands with their own distinct
character. These brands together form a comprehensive portfolio
offering tailored solutions in each segment so as to fulfill every
customer's requirements. Comprehensive brand management
ensures a balance between the realization of economies of scale
and the protection of brand identity. The “Brand Guidelines” are
the basis of brand management for the passenger-car brands, and
these guidelines were further developed last year. They secure
the optimal positioning and differentiation of the individual brands
and thus guarantee that brand value is not only maintained, but
continuously enhanced.
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DaimlerChrysler presents a vision of the automobile future at the 2003 Frankfurt Motor Show
Organization of the Executive Automotive Committee
Board of Management
Decisions
Executive Automotive Committee
Preparations
Chairmen: Schrempp, Hubbert
Mercedes
Car Group
Hubbert
Chrysler
Group
Zetsche
Commercial
Vehicles
Cordes
Corporate
Development
Grube
Alliance
Partner MMC
Grube
Integration Areas
Brand and
Product
Portfolio
Technology Production/
Procurement
Sales &
Marketing
Strategic
Alliances