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Genesis cars win accolades, offer value — so why are sales so bad?

My high-school buddy Brent Cormier was so smitten with the Genesis G80 when he saw it at an event I hosted at SXSW in 2016 he bought a used 2013 Hyundai Genesis a short time later and fell in love with the car. "It surpasses my every expectation," said Cormier, a self-described "renaissance man" who owns and runs a real estate agency with his wife Laura, is a food service executive chef and part owner of Austin-based Thin the Herd Guitars. "I was locked into Mercedes and Audi for 10 years," he added. "And felt trapped in an endless pit of maintenance costs." After owning the Genesis over the past two years — including using it as an Uber and Lyft driver to earn extra cash — Cormier learned what some frugal luxury sedan buyers and a handful of car reviewers have discovered: Genesis offers great bang for the buck compared to other premium brands and can compete with the best in terms of performance, features and comfort. Hyundai's luxury brand also earned a prominent third-party endorsement last week when for the first time Genesis topped J.D. Power's 2018 APEAL study, surpassing German luxury-performance icon Porsche. The APEAL study (which stands for Automotive Performance, Execution and Layout) "measures owners' emotional attachment and level of excitement across 77 attributes," ranging from performance to comfort, and asks nearly 68,000 owners of new 2018 models to score vehicles on a 1,000-point scale. In its second year ranked as a stand-alone brand, Genesis earned an APEAL score that bumped it up 15 points to 884 and helped push it past Porsche — and past BMW, Lincoln, Mercedes-Benz, Audi, Volvo, Cadillac, Land Rover and Lexus, in order of ranking. Last month, Genesis also topped J.D. Power's Initial Quality Survey (IQS) for the first time this year. And both its models were awarded Top Safety Pick Plus ratings by the Insurance Institute for Highway Safety, among 11 Plus ratings in all for Korean vehicles. Despite high J.D. Power rankings and great reviews, Genesis U.S. sales were off 50 percent for the first six months of 2018 compared to 2017, and in June Genesis sold only 796 vehicles — the first time U.S. numbers dropped below 1,000 in a month. Part of Genesis's APEAL and IQS success can be attributed to its small product lineup: just two models, the G80 and G90 sedans, with a third, the 2019 G70, launching later this year. And while those numbers may help in J.D.

Mercedes picks Gensler to design new Atlanta HQ

Mercedes is planning to move of its US headquarters from Montvale, NJ, to Atlanta, GA – and with over a thousand employees to house, the project will surely be massive. In order to pull it off, the automaker is going to need the right architects. And Mercedes seems convinced that Gensler is the way to go. Never heard of Gensler? The San Francisco-based architectural giant (incorporated as M. Arthur Gensler Jr. & Associates, Inc.) has done the headquarters for Facebook, Coca-Cola and General Electric. It designed the Shanghai Tower, the tallest building in China, and crafted the master plan for the Olympic Games set to take place in Rio de Janeiro next year. It's done hotels, sports arenas, military facilities, airport terminals... the works. It also redesigned Cadillac's showrooms and Hyundai's new US headquarters, and among the many offices it operates in 46 cities and 16 countries around the world, it has a branch in Atlanta. So of the dozen firms Mercedes considered for the task, Gensler got the nod. The 250,000-square-foot facility is earmarked for completion in 2018, occupying a 12-acre plot at the corner of Abernathy and Barfield roads in Sandy Springs, Georgia. In the meantime, MBUSA is preparing to move temporarily from its current offices (pictured here) in Jersey down to another facility in the Atlanta area, also being set up by Gensler, in nearby Dunwoody – just a couple of miles down the road from where the permanent site will be. Mercedes-Benz USA Selects Gensler As Architect For New Atlanta Headquarters Facility Award-winning global firm to design 250,000-sq-ft office building in Sandy Springs, GA April 30, 2015 - MONTVALE, N.J. Mercedes-Benz USA (MBUSA) today announced it has selected Gensler as the architecture firm for its new headquarters facility in metro Atlanta. Gensler will design an approximately 250,000-square-foot office building that will house around 1,000 MBUSA employees upon its completion in 2018. "We talked to many, many firms and saw some amazing designs, but Gensler was the one that stood out for us," said MBUSA President and CEO Stephen Cannon. "They understood our brand and our culture, along with the ambitious goals we have for the next chapter of Mercedes-Benz in this market, and they were able bring that to life in their designs." MBUSA selected Gensler from a dozen global design firms for its creative building concept, which seamlessly integrates functionality and the beautiful surrounding landscape.

How tariffs in China could cause a meltdown in the American South

While BMW is clearly a German company, the crossovers that are exceedingly important to it are actually made in Spartanburg, South Carolina. And more than that, the Spartanburg plant (physically located in the town of Greer) is where the corporate know-how and capability for those vehicles is concentrated. These are the vehicles – specifically, the BMW X3, X4, X5, X6, X7 – that drove record growth for the company in 2018, according to BMW. But whatÂ’s most notable about BMW Group Plant Spartanburg, given current events, is that according to the U.S. Department of Commerce it was the largest automotive exporter by value for the fifth year running in 2018. ThatÂ’s worth emphasizing: largest automotive exporter by value. Not GM. Not Ford. BMW. And where might one assume that more than a few of those X vehicles are shipped to? China. Some 360 miles southwest of Spartanburg is Mercedes-Benz U.S. International, Inc., in in Tuscaloosa County, Alabama. It started building vehicles in 1997. Since then, Daimler AG has invested in excess of $5.5 billion in the facility. It manufactures the crossover now known as the GLE, formerly the ML-Class. It also makes the GLE coupe and GLS. Daimler describes the Tuscaloosa facility as “the traditional home of SUV production” for those vehicles. When it reported its global 2018 sales, Daimler noted that on a global basis SUVs account “for more than a third of all Mercedes-Benz sales.” According to the Chinese finance ministry, on December 15th the Chinese government will impose a 25% tariff on automobiles (and a 5% tariff on auto parts) from the U.S. Certainly this is going to have a direct effect on the sales of vehicles that are manufactured in the U.S. and exported to China. BMW and Mercedes are going to take it on the chin for the vehicles that they make in plants that they invested in so heavily in the U.S. Which could potentially mean that people in places like Greer, South Carolina, and Vance, Alabama, are going to find themselves in the crosshairs of the combatants. Soo too could Lincoln, which produces vehicles in places like Louisville, Kentucky (Navigator), Chicago, Illinois (Aviator) and Flat Rock, Michigan (Continental). Although the Tesla Gigafactory 3 is rapidly nearing completion in Shanghai, it is worth noting that vehicles built in Fremont, California, are being sold in China in numbers that donÂ’t make Musk unhappy.