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Old 04-24-2008, 11:25 PM
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Default Cerberus-Chrysler hires new CEOs

This might be the most important thing to happen to Chrysler since Daimler bought it way back when. You've probably already read/heard about this, but in case you haven't, I'm gonna tell you. Private owner of Chrysler Motor Company, Cerberus, has revealed a new strategy to bring back Chrysler to the big game. Here's the story, courtesy of Motor Trend, December 2007, Volume 59, Issue 12:

'Chrysler LLC has stunned the auto industry with the announcement it has added 37-year Toyota veteran Jim Press and former GM China expert Phil Murtaugh to its senior management team.
Press, the first American to earn a seat on Toyota's board, left his post as president and COO of Toyota Motors North America and board member of Toyota Motor Company to become vice chairman and president of Chrysler's North American sales, international sales, global marketing, product strategy and service and parts. He's ostensibly equal to former CEO Tom LaSorda, vice chairman and president in charge of manufacturing.
Why'd he jump? Good question. Insiders speculate Press's last promotion, which took him out of the day-to-day running of Toyota's North American operations, didn't appeal and he'd gone as far as he could at Toyota. And there's this: Toyota's top managers don't earn as nearly as much as GM's, Ford's, and Nissan's. "We're in it for the good of society," Press told Angus MacKenzie in Motor Trend's April 2006 interview. "Because that's the way you make money in the long term." As a privately held automaker, we'll never learn Press's salary at Chrysler, but he's rumored to have been given a healthy signing bonus.
Phil Murtaugh, meanwhile, has been appointed CEO of Chrysler's Asian operations. Murtaugh built General Motors' Chinese business into one of that nations' leading producers of import-brand cars before abruptly moving to one of GM's Chinese partners, SAIC. Look into Murtaugh to make China, with its cheap labor and newly built infrastructure, the basis for most of Chrysler's exports to Europe and Japan.
Murtaugh will also be undoubtedly work on the deal with China's Chery to build Chrysler's B-class car (based on the Dodge Hornet concept) there and perhaps the Dodge Demon sports car. He also has a chance to beef up China's Beijing Jeep operations. Jeep was the first American brand into China, but never capitalized on it like GM and others.
What does this all mean? Cerberus is keeping its Chrysler strategy close to its chest. But the key question when any private equity group buys a business is: What's the exit strategy? Cerberus has bought Chrysler to make money and in as short a timeframe as possible. Which is probably why Robert Nardelli's now running the automaker and not a car guy like Wolfgang Bernhardt.
Jim Press brings product-planning skills, Toyota marketing savvy, and---most important---a proven track record of communicating effectively with dealers to Chrysler's senior management team. This last bit is critical: Chrysler's relationship with its dealer body reached an all-time low under the abrasive rule of former sales boss Joe Eberhardt.
But Press is 60 and, unless he's preparing to take on 75-year-old perennial teenager Bob Lutz's record, has likely only five years or so at the company. He's a relative short-timer concentrating on stuff that needs fixing in the short term. Against this background, Murtaugh is perhaps the more interesting hire. Could the China specialist be the man to help Cerberus position a Press-polished Chrysler for sale to a Chines buyer? Stay tuned.'

*Read the interview with Jim Press and the 2007 Power List at motortrend.com

I sure hope Mr.Press can turn Chrysler around very quickly, else there goes an automotive giant the way of the dodo.
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Old 04-24-2008, 11:34 PM
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I think Chyrsler will fail in it's attempt to reach it's goal. I would like to see the Hornet concept and the Demon
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Old 04-24-2008, 11:43 PM
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It's hard to say, because Jim Press's Toyota experience (and we know Toyota's story...coughcoughnumberonecompanyintheworldcoughc ough...). If he can't do it, and get Chrysler into a position for a wealthy Chinese enterprise to buy it, then I think Chrysler should sell all of it's copy-rights to Dodge, for sole ownership. That way, maybe Dodge will be more serious with the Demon, to play along side the Viper. And, maybe we'll see something done with the Sebring either way (it's a shame that such a good car is being neglected). Cross your fingers.
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Old 04-24-2008, 11:55 PM
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I like the new Sebring and after looking at the Demon concept, I like it a lot
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Old 04-25-2008, 12:57 AM
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I think a good strategy that Chrysler should consider is to not only bring back loads of classic names and bodies, I'd like to see a full refresher of the rest of their range that they haven't really touched, the Viper in particular. The body style there is very similar to how it was in the early 1990's when it was released. While they're busy doing a full refresher of the rest of their lineup and re-releasing come classic muscle, the Viper has been shoved off in a corner somewhere.
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Old 04-25-2008, 01:09 AM
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I think a good strategy that Chrysler should consider is to not only bring back loads of classic names and bodies, I'd like to see a full refresher of the rest of their range that they haven't really touched, the Viper in particular. The body style there is very similar to how it was in the early 1990's when it was released. While they're busy doing a full refresher of the rest of their lineup and re-releasing come classic muscle, the Viper has been shoved off in a corner somewhere.
Not true about the Viper. 1) That's Dodge's area, not Chrysler's; 2) the re-addition of the Coupe, with exterior mods, and significant powertrain changes count for something. The new SRT10 Coupe is a different animal than previous cars, and it's tough to redesign a car like that. Remember, some cars went a full decade with 1 bodystyle (very minor alterations if any) and still sold well. It's hard to work with niche market cars like that too, and keep their appeal. Don't forget, the Viper isn't a staple in either company's financial strategy. It's more of an experimental thing than anything. They've got more important things to worry about than their supercar.

Also, it's the "rest of their lineup" that's going to keep the company's head above water
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Old 04-25-2008, 01:15 AM
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Not true about the Viper. 1) That's Dodge's area, not Chrysler's; 2) the re-addition of the Coupe, with exterior mods, and significant powertrain changes count for something. The new SRT10 Coupe is a different animal than previous cars, and it's tough to redesign a car like that. Remember, some cars went a full decade with 1 bodystyle (very minor alterations if any) and still sold well. It's hard to work with niche market cars like that too, and keep their appeal. Don't forget, the Viper isn't a staple in either company's financial strategy. It's more of an experimental thing than anything. They've got more important things to worry about than their supercar.

Also, it's the "rest of their lineup" that's going to keep the company's head above water
While Dodge is a subsidiary of Chrysler that's still true, they should get their finances sorted out first and get themselves back up in a good position. I think the Viper doesn't need help so much in looks as it does in the handling department. All that power going to a live axle without traction control makes it an interesting beast to handle in the corners.
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Old 04-25-2008, 01:26 AM
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While Dodge is a subsidiary of Chrysler that's still true, they should get their finances sorted out first and get themselves back up in a good position. I think the Viper doesn't need help so much in looks as it does in the handling department. All that power going to a live axle without traction control makes it an interesting beast to handle in the corners.
And that's what give the Viper its character I wouldn't change it for anything. Many people who have test-driven (or own) a Viper say that they're more fun to drive than anything else out there at high speeds.
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Old 04-25-2008, 01:28 AM
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And that's what give the Viper its character I wouldn't change it for anything. Many people who have test-driven (or own) a Viper say that they're more fun to drive than anything else out there at high speeds.
Haha well I'm not known to feather the throttle, I'd spin the car if I tried driving it without traction control or a limited slip dif. I do love the sound that V10 makes though, not enough cars use V10s.
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Old 04-25-2008, 01:34 AM
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Haha well I'm not known to feather the throttle, I'd spin the car if I tried driving it without traction control or a limited slip dif. I do love the sound that V10 makes though, not enough cars use V10s.
And those that do have V10s (like the Gallardo) don't sound as cool. Lambo's V10 sounds like a 4-banger on steroids.
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Old 04-25-2008, 10:56 AM
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And those that do have V10s (like the Gallardo) don't sound as cool. Lambo's V10 sounds like a 4-banger on steroids.
ROFL, I think the new Viper SRT-10 ACR is perfect, I would like to see a V12 in the line-up as an option though. In truth, I think Chrysler dug themselves too deep in a hole to jump/climb out of
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Old 04-25-2008, 11:12 AM
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Yeah.. unfortunately V12s are expensive and heavy, so as of this point I think Chrysler should stick with the V10. I agree, I really like the new ACR, but Chrysler needs a reality check. I want to see a 300C SRT8 with a 6 speed manual. I'm stick of this "auto-shift".. even if it does have paddle shifters.
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Old 04-25-2008, 10:15 PM
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that maybe so but there is more of a power broadband and cylinder overlap which makes it capable for higher power
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Old 04-25-2008, 11:11 PM
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True, but Chrysler needs to sell cars. They should make something like that when the time is right.
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Old 04-25-2008, 11:37 PM
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Let me respond by saying this: If they make that in limited quantities and sell them for a hefty price and pull it off like a "special edition," "few of a kind," or something along those lines, collectors would probably swarm to get there hands on one. Take the Cadillac Cien for example, people want one, make 5 and mark it up way over actual build cost, bang! money in the bank
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