GM Using The Mercedes Playbook

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As a general comment, I think the Daimler/Chrysler situation is not black or white, and various aspects have already been discussed by others. To me it
always looked like a takeover of Chrysler and did not buy/understand the "merger of equals" talk.
Clearly DB bit off more that it could chew and, I believe, was run by megalomanic top management. I recall reading a respectable and founded opinion piece about the rush to get the new joint company registered on the NY stock exchange. A driving force for the German directors was to have justification to raise their salary levels to the then stratospheric American ones. No director of a German-listed company could ever have found support for this.
Regardless of the technical/mechanical arguments about technology transfer, quality of Chrysler car (selling maybe 2m p.a. against 1m Mercedes cars at the time of the fusion) and as a fan and long-term driver of Mercedes cars, I always thought the idea stupid, a diversion of management attention from the production of Merc-branded cars. Yes, maybe US sales growth was slow but it was manageable, and the quality issues in the US plant were eventually sorted out.
The corporation had already made ill-advised excursions into unrelated areas such as white goods (AEG kitchen equipment and the like, when AEG was losing money hand over fist, later divested), and into aerospace, also a hugely loss-making (and govt-subsidised) venture. The hypocrisy that the then management managed was breathtaking. After previously complaining about (German) govt subsidies going into other enterprises and how that should end, they went cap in hand to the (German govt) bleating about the need for subsidy.
This was quite a few years before the Chrysler fiasco and I thought that management had learned some lessons, but evidently not.
I have already expressed these opinions here before some time ago, but I thought them worth repeating as they are apposite to this discussion.
Furthermore, I could not see how Daimler Benz (as it was then called) could handle running a mid-market brand and an upmarket one (despite Merc having become 'mass market') under one roof. It is a trick that Volkswagen have pulled off but only after years (decades?) of careful nurturing of the Audi marque, which had and has been part of the corporation for decades. Downmarket/decrepit Skoda was acquired and integrated with great success but under special circumstances.
The Mercedes dealerships in Germany had real problems coming to terms with having Chrysler in the group.
DAS
To reply directly replace 'nospam' with 'schmetterling' --
writes

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They should have studied BMW's purchase of a mass-market manufacturer, Rover, and all the problems that caused, such that BMW, I believe, sold it for the equivalent of one dollar just to get rid of it.
I read Chrysler first tried to interest Fiat in merging, but Fiat said no. Interesting, because back in the 70s, Iacocca also tried to get Fiat interested in a merger, and Fiat said no then too.
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Although I did think of the BMW/Rover mess as well, but it is quite different to Daimler/Chrysler. BMW sold it for a nominal sum but it came with very large debts, so it wasn't cheap for any buyer. Even so, BMW made the deal relatively sweet but the crooks who bought it pocketed vast sums.
I never understood how the trades unions fell for the line that the buyers (4 senior managers from the team that had previously driven Rover into the ground in the first place) would continue production/sales at 250 000 per year. The alternative buyer (a financial group) said they would initially produce 50 000 per year of the MG sports car and related vehicles, a far more realistic proposition. It did not take long for Rover's sales to fall through 50K p.a. and then into bankruptcy.
BTW, Rover long ago ceased being 'mass market' Relatively small and declining sales.
DAS
To reply directly replace 'nospam' with 'schmetterling' --
[...]
They should have studied BMW's purchase of a mass-market manufacturer, Rover, and all the problems that caused, such that BMW, I believe, sold it for the equivalent of one dollar just to get rid of it.
I read Chrysler first tried to interest Fiat in merging, but Fiat said no. Interesting, because back in the 70s, Iacocca also tried to get Fiat interested in a merger, and Fiat said no then too.
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