Monday, October 20, 2008

big 2?

Chrysler and GM are seriously talking merger. i wonder if im the only one who is scared by this. the two are direct competitors in a number of classes. both of their strong suits are trucks and SUVs. if this goes through, you can say good bye to most of the Chrysler models and makes with the exception of Jeep, the Town and Country, and see cars like the 300 and Charger phased out or merged into the Impala. essentially this amounts to lowering costs by cutting jobs and production facilities and cutting choices that consumers have.

at this point, saying that the US auto industry is on the ropes is like saying that record sales are down a bit. someone needs to call up Lee Iacoca. he saved Chrysler once, maybe he can do it again. i had the pleasure of owning an Iacoca era Dodge, and the car was amazing. it wieghed about 17 tons, felt like driving a plush couch, had respectable performance(it was a sedan, made for comfort) and still somehow managed to regularly push the 30 MPG bar. my new VW Rabbit does about as good on gas, but has to weigh roughly half of my old 89 Dynasty(RIP).

the things is, Detroit really only has itself to blame. in the SUV craze, they made some kick ass trucks, but totaly neglected smaller and cheaper cars that suddenly look good as people try to save money and the pump and on payments with the economy slowing and belts tightening. so now companies like Toyota, Honda, VW, and Mazda(which incredibly, Ford is trying to spin off) who know how to make attractive small cars have taken over. both Ford and GM have successful lines in Europe, but have failed to bring them here. GM is bringing the Astra, about 5 years later than they should have, but are dropping the ball once again, and not offering the popular deisel engine, that happens to get something like 45MPG on paper.

the domestics have totally forfeited the small car market to Europe and Asia, and are years behind in passesnger deisel and hybrids. and these days, when trucks are increasingly moving to their work roots, GM, Ford, and maybe Chrysler, have big problems. it is said that out of hardship comes opportunity. what doesnt kill you makes you stronger. when a door closes a window opens. i beleive that we still have the best and brightest here in the US, and they will have to be the saviors of their own jobs. the question is this: can management get out of the way of producing tomorrow's cars? for the sake of the homeland, i hope so.

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