Brand Finance’s latest Global 500 study of the world’s top brands suggests that, despite the grim economic outlook, consumers are turning their backs on traditional household favorites to embrace luxury lifestyle and indulgent brands.
BMW, Audi and Mercedes Benz, all German automakers, are the three top selling luxury brands in the world. With sales growing, Audi, owned by Volkswagen (VLKAY, quote) is projected to overtake Mercedes Benz (DDAIF, quote) for the second spot, according to an article in The Wall Street Journal, by Christoph Rauwald and Nico Schmidt.
In his book, “Adventure Capitalist: The Ultimate Road Trip,” legendary financier Jim Rogers prepared for his journey around the world by having a customized Mercedes-Benz (DDAIF, quote). The reason was simple: the global elite aspires to cruise in style in a Mercedes, not search for an electric outlet every 100 miles to recharge a Nissan Leaf (NSANY, quote).
Legendary investor Jim Rogers once stated that a weak currency was the sign of a weak economy, which was the sign of a weak government. Due to the strong Japanese yen, Toyota Motors (TM, quote) is operating at a significant disadvantage as German car makers such as Volkswagen (VLKAY, quote) and Mercedes Benz (DDAIF, quote) benefit from the weak euro.
China’s state-owned car maker Chery Automobile Co. and Israel’s biggest conglomerate, Israel Corp., are revamping their joint venture with the goal of targeting foreign markets amid slowing sales at home.
Sales of new cars in Brazil drooped by 10% in October, leaving this once vibrant market down 7.6% year-over-year. Is the emerging markets car story dead?