Business Consulting Report: Mercedes-Benz, Problems and Strategies

This business consulting report analyzes the challenges faced by Mercedes-Benz, focusing on battery issues, market dynamics, and external factors. The report clarifies the client (Mercedes-Benz) and summarizes the core problem of battery maintenance. It explores the target consumers, competitors, and market position of Mercedes-Benz, along with the influence of political, economic, social, technological, legal, and environmental factors (PESTLE analysis). The report identifies and ranks the top three issues, including political uncertainty, inaccurate measurements from mass airflow sensors, and engine wiring harness problems. The analysis provides insights into the brand's strategic positioning, target market, and the impact of various internal and external factors affecting its performance. The report concludes by summarizing key findings and offering recommendations for addressing the identified challenges, supporting the company's future growth and sustainability.

Business Consulting

Table of Contents
INTRODUCTION...........................................................................................................................3
Question 1........................................................................................................................................3
Clarify the client and summarize problem...................................................................................3
Question 2........................................................................................................................................4
Target consumers, competitors, market of Mercedes Benz and influence of external factors on
company.......................................................................................................................................4
Question 3........................................................................................................................................6
Three issues that client is facing and reason of ranking them as top three..................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
A business consulting is a professional who is provides professional or experts advise in
the particular areas. This creates more effectiveness for business to improve their services by
consulting others. In respect of that, report is based on improving battery life of cars of
Mercedes-Benz. The report will firstly summarize the problem which are facing by company.
This will analysis the importance to the client like competitors, target market and influencing
factors from the external environment. Further, analysis three issues which the client is facing.
Question 1
Clarify the client and summarize problem.
In respect of analysing problems which are face by companies. For that here is client for
this report is Mercedes-Benz. This is German global auto mobile marques and division company
which is known as luxury vehicles, vans, lorry and buses manufacture. The company is well-
known for their impressive technology list and many of their modern cars have the two batteries.
In this company is required regular maintenance for car batteries in effective and valuable
manner. Recently company have face issues which their Hybird battery issues and others which
is creates negative impact for the businesses (Problem face by Mercedes-Benz, 2019). Hybird
battery is aside ability to recharge. This has two electrical which sits in an iron rich solution for
working. Hybird Battery issues, Car batteries can lose charges and diminish their capacity to
perform over time. This leading to an inevitable replacement eventually. Usually when voltage
converter fails, will see the flashing on the board computer errors fault. Those faults are created
negative impact on the businesses. The second battery is fault, because the car still on the same
functions will still work. This is unexplained drop in battery bars and unusual engine noises
which is creates negative impact and issues for the business.
Electrical issues, the another common problem which is face by company is Mercedes-
Benz cars that leads starting problems is electrical issues. This issues blown fuses and circuits
generally caused by company. This creates higher issues, which having to do with failing spark
plugs. The writing on the engine in particular to damage or failure which leads to starting issues
for business. Hybird battery have some electrical issues which cannot be plugged in to charge the
battery. The battery charged through regenerative braking and the internal combination of the
engine. Further, electrical issues which is determined by proper equipment and fixed by the
professional with specific experience. Another one is Fault starter, which is like giant motor

which spins the fly wheels of engine to instantly begins to the ignitions process. This is the main
problem which is face by company Mercedes-Benz (Vié, Zufferey and Cordeau, 2019). Further,
the issue is faces by company is leads to blown fuses it is working properly.
Faulty spark plugs, is the complex inter working of the many of the parts and the
components which musty works with various functions at the time. The issues related with
Hybird battery is reduced gas mileage and lack of acceleration. The main issues with this is to
spark plugs may with Hybird battery in lead to issues with electrical components. The problem is
result of fuel system issues as well. The issues are relating to the starting points can causes a
chain of reaction of problem and failing parts. The ongoing vehicles maintenances has must be
important and effective for proper management of company. Those are the main issues which are
faced by Mercedes-Benz which creates negative impact on the businesses at working level.
Those affect the purchasing power of customers.
Question 2
Target consumers, competitors, market of Mercedes Benz and influence of external factors on
company
Competitors of company-
Mercedes-Benz is one of the most popular and highly luxuries car brand in the world. Its
competitors are giving tough competition, list of business rivals such as BMW, Audi, Ferrari,
Volvo, Volkswagen, Porsche and Aston Martin. It is German global auto mobile marque &
division of Daimler AG.
Market-
China is one of the top market for Mercedes-Benz, brand sold total of 2,382, 800 vehicles
in this nation. Whereas they mainly focus on commercial consumers with Vito, sprinter and cita
models. Target market for this company is middles aged people of middle to high income
between at of 25 to 44 year.
Target customers-
Rich and high income people are target consumers of Mercedes-Benz because they are
able to buy luxuries cars instead of low income people who cannot be able to pay large amount
of money. Its target clients usually consists of upper class people an age group of 40 and up
those who prioritize high as well as luxury and feel over everything. They do not manufacture
low prices cars because they target rich people. This brand is not so popular within younger

group because it is very expensive. Mercedes' goods also target female and male as they produce
and design vehicles to fit both specifications (Huang, 2019). While thinking about Mercedes-
Benz it appeals individual who have money and like to have particular status. Rich people
require everything will be organized while travelling, they want all the thing at one place, for
those people Mercedes-benz is best, it helps them to be more organized and also offer long life
guarantee. With rich people, they also target middles aged individual who have high incomes,
they also target youth as well as females the most. Form past few eras, company targeted wealthy
farmers also, because they can buy their products. It targets young purchasers who love to travel
and drive, car emphasizes style & design rather than speed. Due to their high prices and use of
quality materials, Mercedes-Benz is only affordable for rich people (Cao and Fu, 2019).
Although, it continues to target many of their models to middle-aged drivers, it targetting them
with lower prices, but still luxury stage.
PESTLE analysis-
Political factor-
Due to political uncertainty across Europe, Middle east and Latin American markets, it
influences Mercedes-Benz business activities. Europe faced political challenges after exit of
Britain, it results in changing of sourcing ways and causes essential volatility in GBP. In Latin
American markets political uncertainty exacerbated by economic and corruption woes, these
development impact sales of brand in above markets.
Economic factor-
Recessions are considered as major economic factor that impact on manufacturing
process of Mercedes-Benz. Development in effectiveness degree lead to enhanced production
which causes recession, it impacts on pricing structure of company and lower revenue of
organization.
Social factor-
It actually additionally support in direction of progress of Mercedes-Benz, the
perspectives of people are changing towards life, they want comfort while travelling from long
distance (Chan, 2016). It was really in favour of company because Mercedes cars specially
designed for those people to want to live luxuries life and always keep in comfort zone.
Technological factor-

Technology advancement is one of the best opportunity for Mercedes-benz which they
gain in order to improve their batter power. This factor impact positively as it enhance batter
performance much better than before and allow users to enjoy the ride for longer.
Legal factor-
Legal environment of this brand concerns in type of IP legal rights and legal agreements
as well. Mercedes-benz follow all the rules and regulations governed by the government of
nation and always supports to enhance reliance of others. They follow autonomous vehicles
regulations without taking any risk.
Environmental factor-
Due to high pollution and environmental damage government put pressure in auto mobile
sector to contribute in sustainable environment. They have to product low emission engine that
save air and land from being polluted.
Question 3
Three issues that client is facing and reason of ranking them as top three
Political uncertainty across major market of Mercedes-Benz is one of the main issues that
company faced. It is ranked as 1 positions because it directly impacts on sales of business rather
than consumers base. It put pressure on firm to make changes by considering further
requirements of markets. It decreases the growth of sales and organization productivity which is
one of the biggest barrier for firm to continuously progress. It is enormous threat to success of
business operating in international supply chain market. Political instability also affect quality of
work.
Inaccurate measurement from Mass airflow sensor is the second issues faced by
Mercedes-Benz while operating their business at global level (Haman and et.al., 2018). People
are experiencing hard start, rough idling and engine hesitation while driving Mercedes cars
because of having clogged mass airflow sensor, it is not maintained and cleaned that give faulty
measurements that makes ride difficult. It leads to high, unstable and low idling speed, that
impact on mind of consumers when they think to buy car again. This issue is ranked at second
level because few people experienced it which is not good for brand image within market.
Some people face problems while driving car, they may experience issue with engine
wiring harness and batter power, the elements are not cotted with heat protective layer that

damage engine and lower down the performance of battery which need to be run for longer as
possible as according to the exportation of consumers.
CONCLUSION
From above analysis it has been summarized that Mercedes-Benz facing three major
issues which they will solve in effective manner. Furthermore, different types of external factors
affect positively and negatively on organization which directly impact on their sales.

REFERENCES
Books and Journals
Cao, Y. and Fu, G., 2019. Research and Application of the Image of Brand Users Based on
Schema Theory: A Case Study of Car Brands. In Development of a Society on
Wheels(pp. 259-283). Springer, Singapore.
Chan, C.Y., 2016. Factors affecting consumer purchasing decisions in Malaysia automotive
industry (Doctoral dissertation, Asia e University).
Hamann, M and et.al., 2018. Impact of compressor induced acoustic excitations on the accuracy
of the air flow measuring signal. In 18. Internationales Stuttgarter Symposium (pp. 105-
122). Springer Vieweg, Wiesbaden.
Huang, S., 2019. Research on the Activation Path of the Old Brand From the Perspective of
Brand Value Shaping and Consumer Emotion Cultivation. In 4th International
Conference on Contemporary Education, Social Sciences and Humanities (ICCESSH
2019). Atlantis Press.
Vié, M. S., Zufferey, N. and Cordeau, J. F., 2019. Solving the wire-harness design problem at a
european car manufacturer. European Journal of Operational Research. 272(2).
pp.712-724.
Online
Problem face by Mercedes-Benz. 2019. Online. Available through:
<https://dutchfixmycar.net/why-is-my-mercedes-having-a-starting-problem/>