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It's too hard to market cars for 7 brands, and it's even harder to keep cars for 7 brands all fresh.
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A brand does not have to have a lineup spanning from Mount Rushmore to the moons of Jupiter. 2-3 models suffice, 5 are a handful - and it's better for the consistency of the brand's image. Daimler just cut Smart to essentially one model and suddenly they're all good.