Sources say R&D is already underway on a multiple compact car platform that will spawn more than one premium small car offering in emerging markets like India by 2013-14.
An India specific small car built on that Euro 1 billion MFA platform will likely debut alongside A and B class cars from Mercedes Benz's existing portfolio.
Mercedes Benz India has already initiated discussions for these products with its vendors in India to ensure more localizat Mercedes Benz said "As a policy, we do not comment on the company's future plans."
“Mercedes-Benz also plans to nearly double the headcount at its Bangalore centre from the present 600, by next year,” Mercedes Benz India's Chief Financial Officer and Management Board Member Uwe Jarosch had said.
As a part of its business strategy, the German carmaker also plans to set up brand centres with investment from its existing dealers, which would show-case around 20-odd models.
The first such centre is expected to be set up in Delhi by March this year, Jarosch said, adding Bangalore, Chennai and Mumbai centres would come up at a later stage.
The competition is also keenly examining the premium small car space with BMW likely to launch the Mini brand this year and Audi contemplating local assembly for its A1 city hatch, but are the volumes going to justify this bullishness?
For now Mercedes Benz is focusing on its bread and butter premium segments in the immediate future.
With BMW perched on top of the heap in India, Mercedes Benz hopes to wrestle the crown back from its traditional rival in India and expects over 30 per cent sales growth in 2011 to try and ensure that.
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