It's all relative. I think that not too long ago, Mercedes products were world class and MB reliability and durability was the envy of most makers. When cars were first ranked on such things beginning in the late 80's, MB stood on top. Today, they have been caught and surpassed by most makes and now sit in the basement of rankings with respect to quality.
In many ways, the newer MB's are better, but better is not enough when it's possible to buy much better from other makes.
I prefer driving our C230 compared to our Subaru, but the Subaru is much better made. I am not even remotely considering replacing the C230 (which is a very reliable and well made car, the best MB we've owned) with another MB product. The newer Japanese products we've had are just too good. Check engine lights? Never. Electronic failures? Never. Emissions controls failures? Nope. In six years and 180K our Scoob has required almost no non-service repairs. The HVAC blower motor failed a coupe years back. That's it. The stereo works like new, the power accessories all work perfectly, the SRS system has never given a fit, the air-mass-meter (or whatever it has) has never failed, the fuel level sensors have never broken, the vacuum system for the fuel system (emissions) has never had a part fail. Spring perches are not rusting, control arms are not in need of replacing and the paint work looks great. The HVAC control system works and seems like it always will.
If you compare the ownership of our Subarus (this is our third) to our MBs (a series of them too) the Subarus are vastly superior in terms of build quality and reliability. They're a different driving experience, but after years of nursing MB products through odd fits of diagnosing expensive problems, I've had it. As long as the C230 stays strong, I'll keep it (the driveline is like new at 240K) but it won't be replaced with another Flying Star. I just don't have the patience for it...
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