Monday, October 13, 2008
GM and Chrysler Merger! What would stay and what would go???
The shocking news that a GM-Chrysler merger was ongoing (and that GM sought out Ford first) got us thinking about the product lines of the two merging companies — you know, if this even happens, of course. But we've all seen it before. Two people move in together and stuff has to go. You don't need two coffee tables. You don't need two sets of cutlery. You don't need two Rain Dogs LPs. Given the market and recent performance it's clear that they can't carry on two separate lines. But what stays and what goes?
We think GM platforms are going to have an advantage given that they're generally newer, more popular and shared with the General's overseas brands (Opel, Holden, et cetera). Also, numerous Chrysler vehicles are based on platforms developed with Mitsubishi a billion years ago. This isn't to say that Chrysler doesn't have some things going for it. We like Chrysler minivans and what's not to love about Jeep that couldn't be corrected by axing a few models? You are the product planner, what gets a starring role in a new company and what gets the hook?