www.edmunds.com BMW and Mercedes-Benz are separated by about 150 miles and a rivalry as fierce as the one between Coke and Pepsi. BMW builds the 2007 335i Sedan in the Bavarian city of Munich, while Mercedes-Benz has just released the all-new 2008 C350 Sport from its headquarters in the Swabian city of Stuttgart. Though Mercedes has long had the upper hand in terms of both stature and commercial success in Europe, the BMW 3 Series outsells the Mercedes-Benz C-Class by more than a 2-to-1 margin in the US, some 120180 to 50187 last year.