The battle for the luxury segment was on the way between the two German giants Mercedes-Benz and BMW. The latter introduced the second generation of the 7-Series in June 1986 with a shy, inline-six engine. The manufacturer knew that over the time the car will need more power and they offered that with the V8 and V12 engines later on.
The design sketches started in 1979 and the final project was ready in 1984. But the BMW management held the project for another two years. In June 1986 the first series E32 left the factory. It was produced in over 300.000 units until April 1994.
The 7-Series was developed with a driver-oriented cabin, while Mercedes-Benz tried to offer more for the rear passengers. This is one reason why the E32 was very popular in countries where a lot of executives used to drive their cars. In this segment, BMW won hands down. The technological improvements such as the ASC (Automatic Stability Control) that prevented the wheelspin and the central console tilted toward the driver won the customer's hearts. For the rear-seats owners, the 7-Series was offered with a long wheelbase that offered ample legroom.
Under the hood, there were various engine choices. While the V12 was famous for its performance, the 6-cylinder units were known for fuel-efficiency, especially when mated to the 5-speed manual.