Discussion on the possible Chrysler-GM Deal

[56 Starchief]

Originally Posted by kenman923

When GM takes over Chrysler, first thing they should do is move the Caliber and Compass to the Delta platform, the Patriot to the Theta platform, and the Sebring/Avenger to the Epsilon platform.

or better yet, destroy Patriot/Compass. i can't think of a more mammoth waste of resources. the new Chrysler should consist of:

Chrysler:
300
Sebring
Crossfire
PT Cruiser
Pacifica (better marketing please!)
"Da Vans"

Dodge:
Charger/Magnum
Avenger
Caliber renamed to Neon again
Nitro
Durango
Ram
Viper
Dodghoe (GMT 900 but better name than mine)
"Da Vans"

TRY TO MERGE CHRYSLER/DODGE

Jeep:
Wrangler
Grand Cherokee
Wagoneer (GMT900)

JEEP TO BE MERGED WITH HUMMER

Chrysler could give some stuff to Buick, like the next-gen Crossfire as a Velite.

[roteague]

I think it is a great idea, if GM can find a way to share more parts - like a Dodge Ram built on the GMT-900 platform. I don't care if they have competing product lines, it simply means more choices for the consumer (assuming GM can do a better job sharing parts, where possible) and keeps them within the GM family. As much as I like GM trucks and SUVs, I still prefer Chrysler cars - I would love to be able to buy a Chrysler 300, and have the purchase go back to GM.

[rayce08]

i see it like this , keep chrysler like it is , dont intergrate or eliminate the brands , they are there now , let them stand alone like they are now , just share tech. and platforms . gm owns them but they are a seperate company , too say .

[b4z]

This is awful news. I hope they don't merge.

[EldoFan]

Originally Posted by DuSpinnst

It makes sense only if you dissolve Dodge, Chrysler, or both.

The funny thing is that Walter P Chrysler left GM (specifically Buick) to found his own company. If you combined Chrysler with Buick you would be coming full circle from 80 or so years ago.

Interesting......

.....though I bet the Dodge brothers would be spinning in their graves right about now.......

[GMCSonoma]

Originally Posted by rayce08

i see it like this , keep chrysler like it is , dont intergrate or eliminate the brands , they are there now , let them stand alone like they are now , just share tech. and platforms . gm owns them but they are a seperate company , too say .

Sort of like when Saturn started out...

[rhvfd10]

Originally Posted by Highlander

Why?

Then again, just think about ALL of the "why's" in all of this. Why assume the liability? Why would you want a Cummins instead of the newest DMax? Why would you want to sidetrack what appears to be a growing turn around? Why would you want to add additional overlap when most see the existing overlap as already out of control?

I can think of lots of questions and lots of risks. Not many answers or positives. Scary.. What would be a "successful" scenario if this does happen?

For the engine:
It's all in the name. Cummins = solid, Dmax = wannabee
Is it the truth? Of course not, but many many guys see it that way.

For the rest, I think you sum up the opinion of the average guy. This whole thing just makes no sense.

[ChevroletRevived]

Originally Posted by OKsweetrides

I see this more as defensive posturing. Chrysler has a huge amount of property that Toyota would love to grab.
What does Chrysler et. al. have that Toyota doesn't?
RWD archiecture and expertise <-- When's the last time you saw a Toyota carrying a RWD sedan or car that wasn't a Lexus?
3/4 and 1 ton pickups <-- Very very attractive to Toyota
Sports car expertise <-- Viper anyone? 'Yota couldn't touch that one with a 10 ft. stick with any past or present or future offerings. and then the muscle heritage

I would much rather an American company get Chrysler et. al. than any of the Japanese companies (who would then strangle the remaining of the U.S. auto industry).


I don't see negatives as long as it's setup to have an arms length relationship, but in safe distance to fend off imports.

I feel sorry for all the Mopar fans that are shouting "I'd rather Toyota buy it!" "Close up shop completely!" and sitting there saying "I'm a true American." Sadly very shortsighted fellows.

And heritage! If a foreign company bought Chrysler, for instance, they'd be able to make pony cars, like the Doge Challenger. It's something they don't have now. Heritage that GM should be capitalizing on (and they are, with the Camaro, upcoming Impala, etc). I'll be able to rest when Chrysler is back into American hands. Normally, I would say no, GM shouldn't buy Chrysler, but we live in a different world then the 50's for instance. Foreign companies are penetrating and trying to buy up American assets. I have confidence in GM that they are smart enough to do what needs to be done with Chrysler. It's defensive posturing, as you said, and it's very important that they pull this off. It'll be a disaster if they don't.

[jman196]

NOOOOO I want Zeta and Sigma RWD cars not LXs

[smk4565]

This could work if GM could get it for $5 or so billion. I agree that GM brands cannabalize each other. If GM continues to shrink Buick and Pontiac and give them each 3-4 models, and combines the sales channel with GMC that is like 3 brands in 1. So in a way that reduces the cannibalization.

The added market share and revenue would be awesome. GM would be in the 250 billion a year range in revenue.
I think they could slim down the Chrysler lineup a little, get rid of the Aspen, Crossfire and PT Cruiser, junk the Jeep Compass and Commander. Keep Chrysler and Jeep in their current sales channel. Dogde would have to be phased out (or sold off) over time like they did with Oldsmobile, the Viper, Magnum and Nitro maybe get a Chrysler grille and migrate on over. If they did all that, GM wouldn't really have much more of a brand mess than they do now, and they could trim all that overhead Chrysler has. For it to work, GM would basically have to raid Chrysler and close/sell off nearly half their cappacity and slash the workforce, it would be brutal, but Dodge is like Mercury with trucks, redundant and undeeded. Chrysler and Jeep are still valuable names and have some winners.

[Member17739]

Originally Posted by jman196

NOOOOO I want Zeta and Sigma RWD cars not LXs

You'll get that, it's too late to switch to LX. Not that I see a reason to switch anyway.

[tamatt27]

Originally Posted by jman196

NOOOOO I want Zeta and Sigma RWD cars not LXs

I hear ya! I doubt Zeta will disappear! GM KNOWS Zeta will is/will be a hit, i doubt they'll turn their back on it in favor of LX.

[smk4565]

I agree with keeping Chrysler/Jeep separate. Over time you would have to share things like transmissions and some engineering but GM doesn't need more badge jobs, and some people really do like Chryslers as they are.

[TiburonJT]

Originally Posted by genjy

I have a feeling if the buy-out goes through, it's going to be an epic-size disaster that will take decades to sort out... if GM survives that long. GM is going to lose a bunch of money and resources to get everything back on track.

I have the same feeling. I have no personal experience in business, but I've paid enough attention to mergers and takeovers in the past that I know how complex and lengthy this process will be if GM buys Chrysler. GM can hardly manage its own problems, and it is in the early part of its own turnaround, so I feel as though I am being a realist if I am extremely skeptical about the long-term success of such a deal.

Maybe a competitor getting Chrysler is enough of a reason, combined with the possible benefits already discussed in many articles, for GM to buy Chrysler regardless of the high risk.

[smk4565]

I agree with keeping Chrysler/Jeep separate. Over time they'd have to share transmissions and some engineering, but GM badge engineers enough as it is, and makes a ton of Epsilon cars. A couple different platforms and engine choices would be a nice. I think the combined engineering and styling efforts would lead to better cars, and they could eliminate a lot of excess capacity and management force that both companies have overlap of.