DaimlerChrysler to Invest $40 Billion in North America despite Cutbacks by GM and Ford

"We do not only defend our position as the technology leader among automobile manufacturers," commented DaimlerChrysler Board

The automaker hopes that its top-tier innovation and impressive improvements in quality control will help it stay competitive as the market continues to heat up. (Photo: Trevor Hofmann, Canadian Auto Press)

Member Thomas Weber in his address Tuesday morning, "we also do set new trends."

The automaker, which engages some 29,000 research and development employees worldwide and spends $18.3 million USD every day, or $7 billion USD for 2004, in developing new technologies and improving on current designs, safeguards its leadership position with some 4,700 patents per year.

The automaker hopes that its top-tier innovation and impressive improvements in quality control will help it stay competitive as the market continues to heat up with more Asian automakers entering the fray, particularly a stronger opposition by Japanese premium brands Lexus and Infiniti, and an expected luxury nameplate from South Korea's Hyundai.

To that end, the Mercedes-Benz brand moved up in J.D. Power and Associate's Initial Quality Study (IQS) from 15th place out of

DaimlerChrysler is mindfull of the stronger opposition by Japanese premium brands Lexus and Infiniti, and an expected luxury nameplate from South Korea's Hyundai. (Photo: Trevor Hofmann, Canadian Auto Press)

37 automaker nameplates in 2003, with a score of 132 problems per 100 vehicle, just ahead of the 133 problems per 100 vehicle industry average but behind most of its premium brand rivals, to 6th place out of 37 nameplates and a score of 104 problems per 100 vehicles in the 2005 study.

While Chrysler Group's three brands have scored fewer problems per 100 vehicles year after year as well, other manufacturers have increased their efforts as well allowing them to surge ahead. The Chrysler nameplate sat at 17th place out of 37 automakers in the same 2003 study, with a score of 136 problems per 100 vehicles - not much worse than Mercedes-Benz but still slightly below average. In the 2005 survey the brand has dropped to 19th place, despite achieving only 121 problems per 100 vehicles, a reduction of 15 problems per 100 vehicles.