Mercedes to Launch Smaller Models in South Korea

If you ask Mercedes-Benz, the best way to ensure the company's long-term success is to snatch young buyers with high-quality but affordable models and bring them back at a later date for more expensive vehicles. This is exactly what the German carmaker tries to do in South Korea where it aims to roll out a range of small cars, all of them targeting young consumers.

According to a report by just-auto.com, Mercedes' success in South Korea was mostly among over 40-year old drivers who already had the financial power to buy one of its models. But in order to attract a younger clientele, Mercedes has to launch new, smaller and more affordable products.

"I am sure that a number of smaller cars will come to the market. The starting point will be next year,’’ Mercedes-Benz Korea president Harald Behrend was quoted as saying by the Korea Times, according to the aforementioned source.

"Korea is not only an important market to sell our products but it is also a major source of our product parts supply. Since 2004, Daimler [has had] a purchasing office in Korea,’’ he said. "Parts for cars and trucks from more than 30 suppliers are being sourced and exported to Daimler production locations worldwide. The annual volume of business is higher than a double digit million euro figure and will be increased further in 2011 with new projects.’’

The same affordable products could also be launched in India, as part of Mercedes' offensive in the country supposed to bring the German carmaker the number one position among luxury carmakers in the country.