Breaking: GM and CHRYSLER Hold Preliminary Merger Talks

[SlySy]

If a merger were to take place, would it be possible or prudent to run Chrysler as a separate company and not a GM division. Yeah they can share platforms, engines and transmissions, but let Chrysler be kinda separate and keep using their own design, engineering, manufacturing and distribution network (albeit the earlier being downsized considerably due to common underpinnings).

[footney]

GM needs to get smaller not bigger.

A GM-Chrysler merger would be so huge that the US Government would give it whatever resources it need stay solvent. This merger is the model for all of the anti-business sentiments.

[Stéphane Dumas]

Originally Posted by SlySy

If a merger were to take place, would it be possible or prudent to run Chrysler as a separate company and not a GM division. Yeah they can share platforms, engines and transmissions, but let Chrysler be kinda separate and keep using their own design, engineering, manufacturing and distribution network (albeit the earlier being downsized considerably due to common underpinnings).

I taught of the same thing, there Peugeot-Citroen who seems to be in this situation. If I'm not mistaken Peugeot run Citroen as a separate company or a autonomous company and not as a division.

[adplusone]

QUOTE OF THE DAY ABOUT THIS "DEAL"

"GM is in trouble having eight brands and too many dealers, why would they want three more brands and 3,000 more dealers?" Keller said.

Great article at

http://www.detroitnews.com/apps/pbcs...810110426/1148

[Stéphane Dumas]

Originally Posted by ghughes

youre forgetting how carlos ghosn is working with chrysler- this may be another attempt to merge nissan, chry and gm

Interesting comment, by a coincidence someone on Allpar taught then these talks could be a way to put some pressure on Ghosn to step on it and forcing him to act.

[Caleb02]

Originally Posted by fan

Chrsyler could actually replace Saturn in selling Opels. It actually is a real brand. Dodge, Pontiac\Cadillac could share RWD stuff. Pontiac could be replaced by Dodge if it proves bothering to revive.
With Jeep, there won't be need for Hummer

So, if GM aquires Chrysler and axes Saturn, Hummer, Saab and Pontiac, they'll actually be left with one less brand - that is 7 brands. Ain't that amasing?

They'll just replace brands like Saturn and Pontiac which are fine and all, but they don't quite sell much if any with more potent brands like Chrysler and Dodge.
If Chrysler would get Opels, I bet sales would take off and sell 3 times more than Saturn. Pontiac is no better than Saturn to sell Opels, but Chrysler is.

And then, there could be a dealer network merger. No need for two full dealer networks . Replace two GM,Chrysler dealers in the same area( Avery likely scenario) with a single more efficient one. Both owners (now co-owners) would win.

i thought saturns were rebadged opals in america. So it makes no sense that dodge gets opels. I think gm needs to only have three divisions and brands. GMC (Chevy renamed GMC like how Toyota has Toyota) Buick and Saab. Kill the rest. Then if gm merges kill buick and use chrysler, then merge dodge and jeep into one called AMC and then keep the new gmc.

[jry]

Originally Posted by A.J.

IMO, the only assets that Chrysler can give to GM is their minivans.

I think there is value in the full size RWD/AWD platforms.
Having Jeep softens the blow of selling Hummer.

[jry]

You know, maybe GM just cannot downsize their management infrastructure enough. They are probably sized just right for something like this. They need a full compliment of brands to manage. More brands to spread the costs over.
I personally think Chrysler is in better shape than most people think. Its just that we are not used to a large automaker that is privately held and not reporting on their finances.
There are huge compliance expenses when you are publicly traded.

[Buickman]

Originally Posted by footney

GM needs to get smaller not bigger.

A GM-Chrysler merger would be so huge that the US Government would give it whatever resources it need stay solvent. This merger is the model for all of the anti-business sentiments.

getting smaller is not the answer. replacing the failed chairman is. this guy has got to go!