Can Chrysler Bounce Back?

[JusBringIt]

So what will the Chrysler cars need if they are to have any chance of winning back customers the auto maker has lost? “They're going to have to have absolutely world-class interiors and exteriors,”

Greg Keenan - THEGLOBEANDMAIL - Nov 06, 2009

Yes, you read right, compact and Chrysler in one sentence --Ed.

Among all the cards Sergio Marchionne is playing as he tries to revive Chrysler, two in particular need to turn up aces – the new compact and mid-sized cars arriving in 2012 and 2013.

“If we can't play there, we don't have an effective product portfolio,” the chief executive officer of Chrysler Group LLC and Fiat SpA declared earlier this week as he unveiled a five-year business plan designed to restore the No. 3 Detroit auto maker to levels of profitability it hasn't seen in more than a decade.

He's right, but playing there effectively will require a dramatic reversal of fortune in segments where Chrysler badly trails all its major competitors, many of which will crank out new compacts and mid-sized cars before Chrysler or just as the auto maker's new cars arrive.

Turning around Chrysler's performance in the two largest chunks of the U.S. market is a key element of the company's plan to boost its market share to more than 13 per cent by 2014 from less than 9 per cent in 2009.

Those two segments – known technically as C and D sized vehicles – are not only large, they're growing and should grow further in the next decade as more strict fuel economy regulations come into force.

“Unless you're present in the C and D segments in the United States, you're nobody,” Mr. Marchionne said at another point in his presentation, underscoring what Chrysler needs to do.

The new Dodge and Chrysler compacts are scheduled to roll out in...... [Read More]

[echoman]

I think chrysler has a long way to go, but I think it is possible to be profitable again. The Challenger is a pretty sweet car, I will give them that, and there trucks are pretty cool too, but I dont think these types of vehicles are the future. Take note chrysler and "look" into the future of motoring.

[ItsNotAboutTheMoney]

OK so it's

Chrysler: compact, mid-size, crossover?, SUV?
Dodge: (US-style?) sports cars, van, crossover
Ram: pick-ups
Jeep: off-road, SUV

OK, so my guesses:
Try to sell Alfas under Alfa for European-styled sports cars. Keep Dodge American.
Fiat subcompact stays as a Fiat although manufactured in the USA.
Chrysler try to move upmarket with high-quality compact, mid-size and maybe a crossover or SUV.
Fiat doesn't try to produce a "regular" compact or mid-size into a crowded marketplace.
Dodge makes sports cars, vans and a sporty crossover.
Ram keeps making pick-ups.
Jeep makes the SUVs (with which they're going to target the large market in Brazil.)
Fiat tries to take anything good and cross-pollinate between Europe and the US.

Fiat gives it 5 years and sells or closes anything that isn't working. Or, probably, declares the whole thing a failure sells everything it can to recoup some money and backs out with a few new ideas for Europe.

[wokwithm]

Chrysler is the Comeback Kid! Hopefully they can do it again.

[WriConsult]

It's a long shot at this point, that's for sure. But Chrysler's come back from near-dead before, so who knows ...

the firm's data showed that Caliber prices sat at $18,778 in the first 10 months of the year, compared with $18,855 for the Honda Civic and $17,722 for the Ford Focus.

Really?! Wow. Except for the Caliber's hatchback utility, I can't imagine why (other than "anything-but-cute" vanity) anyone would pay as much for a Caliber as for a Civic or a Focus. But if they're really getting nearly $19k per car for Calibers, more power to 'em I guess.

[xcel]

Hi Dan:

___Chrysler can get that much for the few Calibers that sell but when you look at how many actually sold last month, they may as well mark them up to $35K each

Caliber Nov 2009 Sales - 583
Caliber Nov 2008 Sales - 4,438

Down 87% compared to Nov. of 2008.

___Good Luck

___Wayne

[raveneon]

Maybe, if they bring back the very popular neon/pt and drop the fuel inefficient caliber.

[JusBringIt]

Chrysler needs to depend on something else besides guzzlers period.

Imagine what would've happened if gas prices had hit $5 per? They sure were cunning with the electric car bid though.