Cycle and Carriagevs. Parallel Importers of Mercedes Benz Cars

Khai Sheang Lee () and Gaik Eng Lim
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Khai Sheang Lee: National University of Singapore, Singapore
Gaik Eng Lim: National University of Singapore, Singapore

Asian Case Research Journal (ACRJ), 2002, vol. 06, issue 01, 45-54

Abstract: Cycle and Carriage (C&C) was a leading distributor of motor vehicles in Singapore. So successful had its efforts been in developing the market for its flagship brand of Mercedes Benz cars that parallel importers entered the market to compete for a slice of the pie. C&C had tried to counter the parallel importers through various means such as negative advertising, withdrawal of warranty services and discrimination against Mercedes that were not purchased from the company in the provision of maintenance services, but all to no avail. To worsen matters, DaimlerChrysler withdrew the exclusive distributorship status of C&C with effect from 1 January 2001, leaving the company with a distribution right that is restricted to retailing only.

Date: 2002
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DOI: 10.1142/S0218927502000178

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