GM and Chrysler to merge?

[The_Blur]

Originally Posted by headpunter

http://www.camaro5.com/forums/showthread.php?t=7967

already talking about it

That means I get to post the pony.

[Camaro68]

Originally Posted by headpunter

Bob lutz came to GM from chrysler to increase GM's quality and has been a major driving force behind that. He could do the same for Chryler's line.


ps. nester i like that Avatar....

+1

[stovt001]

Originally Posted by 65bus

This would be cool though,

If G.M., the nation’s largest automaker, combined operations with Chrysler, the smallest of Detroit’s Big Three, they would create an auto giant that would surpass Japan’s Toyota Motor Company, which recently has been battling G.M. for bragging rights as the world’s largest automaker

And woud rather GM get it than,

People close to the discussions said that if the prospective deal did not happen, Cerberus would probably look to Nissan and Renault.

That title has been nothing but a problem for GM and now it is bringing Toyota down too. There is entropy at the top, and anyone who gets there quickly becomes too big, too slow, too risk adverse, and too out of touch. I firmly believe a smaller GM is a better GM (except for the job losses, which are tragic).

[13F20]

man get the f**k out of here.

[kanys]

Originally Posted by The_Blur

I definitely don't want to see any Chrysler engines in GM cars. I do think that GM could do well by purchasing Chrysler and pushing successful models.

I just don't think that a merger with Chrysler will put GM in better situation than they are currently. And who cares if they combine to become bigger than toyota - the bigger they are the harder they fall...

[camaro5]

GM said forget it for now, after GM stock dropped the other day.

[The_Blur]

Originally Posted by kanys

I just don't think that a merger with Chrysler will put GM in better situation than they are currently. And who cares if they combine to become bigger than toyota - the bigger they are the harder they fall...

I'm not thinking about the size. I'm thinking about the products. If GM buys Chrysler, GM has absolute power over Chrysler brands, which means that GM can sell Prowlers, Commanders, 300Cs, Rams, Liberties, Wranglers, Challengers, Chargers, Avengers, and Thunderbirds. Kill all the other brands. GM can sell these for a small profit and convert a bunch of Chrysler dealers into GM dealers. Suddenly, GM has a bigger dealer network and can start making dealers competitive. For example, GM can say, "Sell at MSRP or we stop sending cars to you." It will increase sales. That's only one example. There are lots of reasons that GM control of Chrysler could be a good thing. GM could simple sell Chrysler assets—properties, individual brands—at a higher price. GM could butcher Chrysler and turn a decent profit.

[headpunter]

Originally Posted by camaro5

GM said forget it for now, after GM stock dropped the other day.

links or it didnt happen. GM could really use the Capital that Cerebus has.

[TonytheTiger]

:bs :bs

[The_Stache]

Saw this coming when Cerberus bought a portion of GMAC...

It has its bad points and its good points...

Goods -

1. product diversification - more engines and platforms to work with.
2. Better profitability with those "new" platforms (the LX series is what is keeping Chrysler afloat).


Bads -

1. Bob Nardelli - Home depot paid him to leave (he was told leave or get fired, my wife works for home depot and has inside info). He basically ran that company into the ground by periodically getting rid of people who worked for the company to long (home depot doesn't have salary caps, so after 20 years of 2-5% raises one could be making 40k+ at home depot). Lose your knowledgeable people and the service SUCKS and people go to lowes.
2. what is this now.. the 5th.. 6th owner of the company... at somepoint you need to step back and go.. what REALLY needs to happen to make this a successful standalone business.. (thinking outside the box, maybe incorporation into another power player may be the right move, you could litterally get rid of 1/4 of the executives in the merge and thus cut MAJOR costs thus making the products profitable because of less overhead.)

Originally Posted by Supermans

Chrysler has the worst quality of all three and the interiors are always crap no matter how much money you spend... What a shame if this is true...

Uhh sorry to burst your bubble but Chrysler quality is up there.. its not top notch but its better than 75% of the industry right behind the so called untouchable toyota/honda.
On the interiors, while they are not the most exciting interiors they work and are VERY durable. They may not be nice touch soft surfaces or fabric trimmed.. but they LAST. My trucks interior looks like its from a car that has 10-15k miles.. but its almost at 100k.

[The_Stache]

Originally Posted by The_Blur

I'm not thinking about the size. I'm thinking about the products. If GM buys Chrysler, GM has absolute power over Chrysler brands, which means that GM can sell Prowlers, Commanders, 300Cs, Rams, Liberties, Wranglers, Challengers, Chargers, Avengers, and Thunderbirds. Kill all the other brands. GM can sell these for a small profit and convert a bunch of Chrysler dealers into GM dealers. Suddenly, GM has a bigger dealer network and can start making dealers competitive. For example, GM can say, "Sell at MSRP or we stop sending cars to you." It will increase sales. That's only one example. There are lots of reasons that GM control of Chrysler could be a good thing. GM could simple sell Chrysler assets—properties, individual brands—at a higher price. GM could butcher Chrysler and turn a decent profit.

The problem is GM or ANY manufacturer can't legally do that.

[The_Blur]

Originally Posted by diarmadhi

The problem is GM or ANY manufacturer can't legally do that.

You're absolutely right. I was being way too short in my explanation. They can't exactly do that, but they can try to nudge out dealers that give GM a bad reputation—the ones that don't do much warranty work, the ones that sell way above MSRP, the ones that have bad customer service ratings, the list is long. By increasing the dealer network while reducing the overall portfolio of products, GM would be able to make dealers compete for those products. Think supply and demand on a smaller scale.

[bigralph]

CNN reports that GM and Cerberus are planing to buy what is left of Chrysler.


http://money.cnn.com/2008/10/11/news...ex.htm?cnn=yes

[Kyle2k]

I don't know what to say...what does Chrysler really have to offer GM? Chime in here muscle master and kevin2323