Chrysler, unlike Ford with its Focus, had no popular, fuel-efficient cars. In fact, even after the first government bailout, "Chrysler's big reveal at the International Auto Show was a new Jeep Grand Cherokee. Not what the government wants the company to be spending time and bailout money on" (Gap, 2009, Key Splash Creative). As GM was planning a new line of cars, and formulating a prospective electric car, the Volt. Chrysler remained out of touch.
Chrysler was the first company of the 'big three' Detroit automakers to go into bankruptcy. It was forced to respond to direct pressures from the Obama administration to do so, despite protests that Americans would never buy cars from such a financially-tainted company. Chrysler's current CEO, Robert Nardelli said that he had been pulling the flagging company back together, and that "the privately held Chrysler was flush with cash and leaner than at any time in its history after rounds of job reductions, plant closings and production cuts" before the credit crisis (Vlasic 2009). Bankruptcy was to pave facilitate the company's proposed alliance with Italian carmaker Fiat. Now, "Once out of bankruptcy, Chrysler will have a new board of nine members -- the government will select six and Fiat will choose three" (Vlasic 2009). But it remains to be seen if the 'new' Chrysler can avoid the mistakes of the old Chrysler -- or...
The long, dark decade of 2000-2009 does not have many good omens for the manufacturer's success in the 21st century.
References
The Gap between Chrysler, GM and Toyota. (2008). Key Splash Creative. Retrieved October 30,
2009 at http://keysplashcreative.com/category/marketing-mistakes/
Flint, Jerry. (2003). Chrysler's marketing mistakes. Forbes.com. Retrieved October 30, 2009 at http://www.forbes.com/2003/08/05/cz_jf_0805flint.html
Halliday, Jean. (2007). Chrysler sale succeeding where Dr. Z, Celine failed. Advertising Age.
Retrieved October 30, 2009 at http://www.detroitmakeithere.com/article/20070521/EMAIL01/305210003#
Rutenberg, Jim & Bill Vlasic. (2009, May 1). Chrysler files to seek bankruptcy protection.
The New York Times. Retrieved October 30, 2009 at http://www.nytimes.com/2009/05/01/business/01auto.html
Smith, Rodney. (2001). Daimler's Chrysler mistake. BBC. Retrieved October 30, 2009 at http://news.bbc.co.uk/2/hi/business/1191093.stm
Vlasic, Bill. (2009, May 1). Chrysler's chief says He believes he has saved the automaker.
The New York Times. Retrieved October 30, 2009 at http://www.nytimes.com/2009/05/01/business/01nardelli.html?_r=1&ref=business
