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BMW Fights Mercedes With New Fuel-Efficient 3-Series Sedan: Cars

While Bayerische Motoren Werke AG won the race for the U.S. luxury car market last year, the world’s largest premium automaker is keeping a sharp eye on its rear-view mirror.

Facing increased competition from Daimler AG’s Mercedes-Benz, General Motors Co.’s Cadillac and Volkswagen AG’s Audi, BMW is determined to hold on to its hard-won top position with the arrival of the new entry-level 3-Series sedan in U.S. showrooms tomorrow.