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Is Audi getting complacent and suffering from brain drain?

The argument is made in a Reuters article: Audi is falling behind other luxury brands, such as Mercedes-Benz and BMW, due to a lack of research-and-development spending and "brain drain," or the migration of top executives and R&D chiefs to other parts of the Volkswagen Group. Reuters notes that Audi's current R&D chief is the third in 16 months.
Audi, which contributed to 40 percent of VW Group's $11.6 billion in profit the first nine months of the year, is delivering cars at a record pace: 1.31 million were delivered from January to October 2013 versus BMW's 1.35 million. Yet Audi, Reuters reports, doesn't have a halo car akin to BMW's new electrified i3 and i8 or an answer to Mercedes' plug-in-hybrid S-Class, and the R&D spending at Audi is less than BMW and Mercedes by a fair margin. It's noted in the article, however, that Audi benefits from other R&D spending within VW Group.
Reuters mentions that BMW "trumpets its new 'i' series" and the new Mercedes CLA and GLA ranges are winning "rave reviews" as part of its argument that Audi's recent lack of technological innovation could hurt future sales. Those cars do pack tons of new technology, some of which are firsts for mainstream production cars. But last time we checked, the i3 could be causing BMW's stock to slide, the CLA isn't receiving the rave reviews that Reuters would have you believe and the GLA hasn't been reviewed yet.

X1, 3 Series power BMW back into global luxury autos sales lead

BMW managed to eke ahead of Audi for the global luxury sales crown in February. According to Bloomberg, BMW saw deliveries swell by 7 percent in February, besting the 3.2 percent jump enjoyed by Audi and giving BMW a 407-unit delivery lead over its rival last month. Mercedes-Benz, meanwhile, continued to falter, with the brand selling some 37,229 fewer machines than BMW, whose factories are running at full capacity to keep up with demand. Models like the X1 (shown above) enjoyed a sales increase of 40 percent in February while the company's bread-and-butter 3 Series jumped by 26 percent.
Mercedes-Benz hopes to stem its continued market share loss with the addition of the entry-level CLA sedan to its portfolio in April. The company is set to roll out an updated version of its cash-cow E-Class at the same time, and a new-generation S-Class will follow along shortly thereafter. Meanwhile, the company is increasing production to meet demand for its A and B-Class models.

Mercedes takes VW Westfalia Camper idea upscale with new Marco Polo

Earlier this year, Mercedes-Benz revealed the new V-Class. Slotting in below the popular Sprinter, the new V-Class replaced both the Viano and Vito upon its debut at the Geneva Motor Show. But Mercedes isn't quite done with it just yet. At the upcoming Caravan Salon in Düsseldorf, Germany, Mercedes will reveal the Marco Polo - a versatile, stylish and decidedly contemporary take on the classic camper van.
Named after the famous Italian explorer, the Marco Polo was converted by Westfalia, an outfit which you might more closely associate with classic VW camper vans but which Daimler absorbed over a decade ago. Offering, according to the press release below, "a maximum of opportunities to be independent, free and spontaneous," the Marco Polo sleeps four thanks to the rear bench that electrically folds flat into a bed and the second berth under the pop-top. The flexible interior is decked out like you'd expect a modern Mercedes to be, with ambient LED lighting as well as wood, metal and piano black trim.
It's got an onboard kitchenette with two gas burners, a sink and fridge with a 10 gallons of fresh water and an even bigger waste tank. All that gear is shlepped around by a choice of four-cylinder turbodiesel engines ranging in output from 136 to 190 horsepower. The relatively compact form boasts a turning circle similar to a full-size sedan and a height designed to fit into most garages and car washes. All of which just might make us reconsider the appeal of traveling by camper van.