There was a time when the German cars were far superior, especially when it came to mechanical components. If you changed the oil on a regular basis, it was impossible to wear out the bottom end of a Mercedes engine. A minor top-end job at 350-500K and you were good for another half-mill. I drove quite a few MB's to over 400K and they were virtually unburstable.
AC systems were tepid. Electrical stuff made by VDO was junk and sure to fail, including cruise control amplifiers, some instruments (though easy to repair) and other stuff. Hirschmann antenna masts broke constantly.
When working on an older Mercedes, the first thing you thought was "who made the part?" If it was made by MB, odds are it was nearly indestructible, and if it did break, was probably rebuildable for a low cost. If it was made by a vendor, it was most likely junk.
My Porsche's were much the same, but the difference was in parts cost. Now, the newest Porsche I owned was an 87, so that is back in the day of "over-kill-engineering." Even with that though, if something did need repairs, it was probably going to be $$$$.
Then came Lexus. They brought the LS400 to market, and it all changed. The Germans had no quality advantage anymore, and their prices were much higher. To compete, they outsourced more stuff, raised production levels and added gizmos like no tomorrow. New models felt rushed to market and quality for the first few years of any model was awful.
Why? Consumers demanded it. Lexus offered a true luxury car, and then sports sedans, for less money and offered reliable electronics. The Germans just can't seem to get it right.
As a former Porsche owner, I would love another one, but doubt I'll ever buy one. There are great choices for Sunday-morning (or track) cars that offer the same or better performance and durability.