Mercedes Merges Distribution Units in China

Daimler AG's Mercedes-Benz Cars unit has combined its two sales networks in China in an effort to better coordinate its operations in the country.

The new unit, Mercedes-Benz Sales Service Co., will merge distribution of imported and locally made vehicles, which had been handled separately.

Analysts have said the previous unwieldy setup was one reason that Mercedes-Benz lags its German rivals in luxury vehicle sales in China.

Daimler appointed Hubertus Troska to a newly created a management board post for China last week to revamp operations there and boost volume.