Jurgen E. Schrempp is exasperated. The athletic CEO of DaimlerChrysler is a risk-taker who always trusts his instincts--in the African bush or in the boardroom. To him, the need for bold moves is so evident that it's annoying when investors question his strategy. So when asked by reporters why he didn't stick to the high-margin luxury segment Daimler knows best--powerful Mercedes-Benz cars--he springs out of his chair to explain. On a blackboard, he draws a big rectangle that represents the luxury-car market and then begins: "Let's say you only made Mercedes S- or E-Class cars with very high margins. And there you would live peacefully forever because no one would attack you? What nonsense! Everyone's moving into that segment. Everyone." That, he explains, is why he bought Chrysler: to outflank his rivals before they outflanked him.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.
- Tesla Unveils ‘World’s Fastest Production Car’ and Electric Big Rig
- Norway Idea to Exit Oil Stocks Is ‘Shot Heard Around the World’
- Honda Recalls 800,000 Odyssey Minivans Linked to Injuries
- Goldman Sachs Sees Four 2018 Fed Rate Hikes as U.S. Growth Gains
- Getting a Dog May Save Your Life, Especially If You’re Single