I doubt that many here would agree that the 2007 Dodge Nitro is one of the most disappointing vehicle of 2007!!!!!!
Uncoupling a merger that missed
'98 Daimler pact held promise for great cars, but few materialized
By Christopher Jensen, Globe Correspondent | May 15, 2007
The same dreary theme followed with other new models, including the 2007 Dodge Nitro, 2007 Jeep Compass, and the Chrysler Sebring. Along with the Caliber, they were listed as the "most disappointing" vehicles of the year by Consumer Reports magazine, a label also pinned on the Toyota Yaris.
Great vehicles were the promise held out to US consumers when the merger of Daimler-Benz and Chrysler was unveiled in 1998. But with a few exceptions, it hasn't worked out that way.
The idea was to blend German technology and prestige with Chrysler's engineering expertise, as well as its understanding of and access to the American market.
In the first few years, there were plenty of encouraging words.
"Our success has been achieved by the blending and collaboration of the most talented US and German executives," said Robert Eaton, chairman and chief executive of Chrysler Corp., in 2000. "I am proud of this team."
What German and American executives called a merger of equals would make DaimlerChrysler the world's best automaker and result in a conga line of irresistible vehicles. That was the plan, anyway.
But the plan was officially scrapped yesterday with the news that the private equity firm Cerberus Capital Management LP is buying 80.1 percent of Chrysler, for $7.4 billion.
The uncoupling makes it clear what many observers have known for years: The promised magic combination didn't turn out the promised magic vehicles.
The first vehicle from the merger came in 2003. The 2004 Chrysler Crossfire was a two-seater. The exterior was created by American designers, but underneath it relied heavily on the mechanical underpinnings of an older version of the Mercedes-Benz SLK sports car. It made a splash, but it was a vehicle for a niche market, and the ripples disappeared quickly.
The most impressive Euro-American creation came a year later: the 2005 Chrysler 300 and 300C sedans. They had rear-wheel drive, one sign of a vehicle designed for sporty good handling. Chrysler officials said they were looking at rear-wheel drive long before the merger; Mercedes endorsed the idea, and the rear suspension was based on the Mercedes E-Class sedan's.
The 300's styling was brassy American, undiluted by European subtlety or discretion. In its most powerful version, the 300C, it had an all-American 5.7-liter Hemi V-8 engine that produced 340 horsepower.
The 300 was an intercontinental stunner. Not only it was named the 2005 Motor Trend Car of the Year, but 50 automotive journalists from the United States and Canada voted it the 2005 North American Car of the Year.
Sales were strong. By the end of 2005, the Chrysler 300 was at the top of J.D. Power and Associates' "luxury-entry" segment. With about 144,000 sold, the model bested competitors from BMW, Acura, Infiniti, Lexus, Cadillac, and Mercedes. That raised hopes the cross-Atlantic alliance would bring fabulous news for the company and consumers. But what followed were vehicles that lacked the magnetic flair of the 300 and 300C.
For example, last year DaimlerChrysler introduced the Dodge Caliber, a small car that was supposed to challenge heavyweight competitors such as the Honda Civic and Toyota Corolla. The automaker said it would sell the Caliber worldwide and use it to establish the Dodge nameplate. But it was uninteresting to drive and unrefined, with an interior that looked cheap.
The same dreary theme followed with other new models, including the 2007 Dodge Nitro, 2007 Jeep Compass, and the Chrysler Sebring. Along with the Caliber, they were listed as the "most disappointing" vehicles of the year by Consumer Reports magazine, a label also pinned on the Toyota Yaris.
In a world filled with serious competitors, the alliance was not producing vehicles strong enough to sustain, much less nourish, an automaker. After the 300C, it all seemed so promising.
What went wrong?
The possibilities range from internal, international squabbling to the more likely factor: the company's unwillingness and inability to spend the money needed to make world-class vehicles.
Will the new operation be better for US consumers? That's the promise. Being a private company will allow the new operation to "renew its focus on what has always made us special -- our passion, creativity and commitment to delivering exciting Chrysler, Jeep and Dodge vehicles," Tom LaSorda, chief executive of Chrysler, said in a prepared statement.
The suggestion is that the new operation won't be as worried about pesky stockholders and will be able to devote more resources to vehicles. That would be great. But new vehicles take years to develop, so it's going to be a while before we know whether consumers will benefit.
A lot of promises were made about Chrysler in 1998, too.
LINK:
http://www.boston.com/business/globe/articles/2007/05/15/uncoupling_a_merger_that_missed/
