Toto Wolff says Mercedes are loving an "amazing battle" with Ferrari and Red Bull and will head into the Azerbaijan Grand Prix expecting the unexpected.
Daniel Ricciardo won the Chinese Grand Prix last time out after championship leader Sebastian Vettel was wiped out by Max Verstappen.
Vettel topped the podium in the opening two races of the season, but the Ferrari driver leads Mercedes' defending champion Lewis Hamilton by just nine points after he could only finish eighth in Shanghai.
Mercedes are only a point ahead of Ferrari in the constructor standings, with Red Bull 30 adrift.
Wolff is relishing the competition and the Silver Arrows boss says he has no idea what to expect in Baku this weekend.
"So far, this year has all the ingredients for one of those legendary F1 seasons - a season that fans will look back on with smiles on their faces in years to come," he said.
"And it's not just the fans at home or at the race track who are excited - we feel the same. And we know that we have a massive challenge on our hands.
"Last year, we were in a tough fight with Ferrari. However, it was nothing compared to the intensity of this year's battle."
The 2018 @F1 season is shaping up to be one of the best in years!— Mercedes-AMG F1 (@MercedesAMGF1) April 24, 2018
Three teams, fighting it out at the front. This weekend, battle resumes in Baku… #F1 #DrivenByEachOther #AzerbaijanGP pic.twitter.com/kumAB9c7kL
Wolff added: "Both Red Bull and Ferrari will do everything they can to beat us. Their cars, their teams, their drivers - all of them operate at a high level and will continue to put us under pressure.
"Not everyone likes this kind of challenge - but we love it. Each member of our team joined this sport for these moments. We're all together in an amazing battle in which every detail counts and with an outcome no-one can predict.
"We're going into the race weekend in Baku feeling excited about that unpredictability. It will be the first time the Azerbaijan Grand Prix takes place in April, with completely different conditions to the previous years when we went to the Caspian Sea in June.
"This is a demanding circuit where the drivers need confidence in the car to find the right rhythm - and you want to hit the ground running on Friday morning. Last year's race threw up a podium that nobody could have predicted and, as is the way with street courses, we can once again expect the unexpected."
22. Mai 2018
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|Hysaj staying at Napoli ´regardless of Sarri´s future´|
|Amir fully fit for Lord´s Test|
|A fast start to life - The Golden Knights and the expansion teams who excelled early|
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|Ramos: We´re a vintage Real Madrid team|
|Klopp key to controlling Liverpool emotions, says Alonso|
|Bjorn names Westwood, Harrington, Donald and McDowell as Europe vice-captains|
|Scarlets players left wounded by ´shocking´ Scotstoun pitch|
|Arsenal fined £20,000 for Leicester penalty protest|
|Storm offer Bellamy ´significant´ deal amid reported Broncos interest|
|Rashford writes moving tribute on anniversary of Manchester Arena attack|
|Heaton backs Kane´s captaincy credentials|
|Salah deserves Ballon d´Or if Liverpool win Champions League – Owen|
|Wasps flanker Willis out for up to a year|
|Real Madrid v Liverpool: Is the Champions League enough to save Zidane?|
|I was left out on reputation - Nainggolan angered by World Cup snub|
|Pellegrini targets Europe with West Ham|
|Lopetegui extends Spain contract|
|Edinburgh-bound Barclay´s Scarlets career over following Achilles surgery|
|Saints swoop for NRL star Naiqama|
|Zidane: Be careful when you criticise Ronaldo|
|It doesn´t get better - Stevens relishing best-of-three shootout for Celtics|
|Favre named new Dortmund boss|
|LeBron and Lue hail evergreen Kyle Korver|
|Kane named England captain for World Cup|
|Wright slams Arsenal over Emery: It´s like a sushi shop!|
|Pellegrini named new West Ham manager|
|Late drama and sustained Ronaldo magic - Real Madrid´s road to the Champions League final|
|Yankees´ home runs fuel win over Rangers|
|LeBron scores 44 points as Cavs level series against Celtics|
|Kaufusi re-signs with Melbourne Storm|
|LeBron James sets record for postseason field goals|
|Monchi: Alisson will only leave Roma if I come out of retirement!|
|No offers from Chelsea or Zenit, says Sarri´s agent|
|No Champions League pressure as PSG´s Tuchel calls for patience|
|Nationals´ Juan Soto hits homer in second career at-bat|
|Buffon to decide future in a week amid PSG speculation|
|Eli Apple embarrassed by 2017 antics, ready to move forward|
|Bills release Richie Incognito from reserve/retired list|
|Gentry and Pelicans want Cousins back in New Orleans|
|MLB extends Blue Jays closer Osuna´s administrative leave|
|Lloris, Jedinak and Kjaer ask FIFA to allow Guerrero to play at World Cup|
|Wolfsburg preserve Bundesliga status after play-off win over Kiel|
|Zidane was my idol and always will be - Wijnaldum|
|Liverpool ready to fly out of the blocks in Kiev - Henderson|
|Montreal Impact 0 LA Galaxy 1: Ibrahimovic sent off for slapping opponent|
21. Mai 2018
|Real Madrid v Liverpool: Salah, Ronaldo lead the line in combined XI|
|Bertens keeps hat-trick hopes alive in Nuremberg|
|Monfils and Mannarino fail to fly the flag in Lyon|
|Morata, Fabregas, Herrera and more in Spain´s World Cup rejects XI|
|Reina to face FIGC hearing|
|Emery set to be appointed by Arsenal - reports|
|LeBron ´appreciative´ of hometown effort to put up statue of him|
|Cazorla leaves Arsenal after injury nightmare|
|Derby´s Rowett seeks permission for Stoke talks|
|Messi physically and mentally ready for the World Cup, Sampaoli proclaims|
|Murray expected to return at Rosmalen Grass Court Championships|
|More to Madrid than just Ronaldo - Robertson|
|Wolff: Red Bull and Ferrari favourites in Monaco|
|Iniesta hailed by Xavi as ´the most talented player in the history of Spain´|
|If you Googled ´European nights´, Liverpool would be top result - Klopp|
|Icardi cut from Argentina World Cup squad|
|Test recall a ´fantastic surprise´ for Buttler|
|Klopp needs Premier League to be a Liverpool great – Johnston|
|Salah is ´definitely´ world´s best - Lovren|
|Rhinos captain Watkins ruled out for eight months|
|No clue - Klopp defiant over Can to Juventus claims|
|Younis tips Babar for Pakistan greatness|
|Germany squad numbers hint at World Cup good news for Neuer|