Corporate Editions from BMW and Mercedes to raise a price war

With the luxury car segment in India going through a robust growth phase, the segment of Rs 20 to 25 lakh has become highly competitive, with major car makers like BMW and Mercedes launching their luxury cars in this segment. Just one year back, the segment was dominated by cars like Honda CR-V, Skoda Superb and Toyota Camry, but the equation has changed considerably in this segment with the entry of corporate editions by BMW 320d (at Rs 23.95) and Mercedes Benz C-Class (at Rs 26 lakh).

The newly launched 'corporate editions' from BMW and Mercedes are equipped with all new generation safety and comfort features like electronically controlled mirrors, LED indicators, sun-roof, multiple airbags and ABS (Anti-lock Braking System). However, these newly launched corporate editions of BMW and Mercedes lag behind models like Skoda Superb and Toyota Camry, due to the absence of some features like 4WD, 6-speed manual transmission, driver and passenger airbags, CD player, leather seats and sunroof etc.

Overall, in the luxury car segment, the main fight is between Audi, BMW and Mercedes, as all three of them are planning aggressively to snatch the top spot from each other. At present, the Mercedes Benz is at the top position in the Indian luxury car segment, topping the charts in the sales of April 2010. Audi India bagged the third position following the BMW at the second spot.