Tuesday, October 28, 2008

So Why Is Chyrsler in Trouble?

So why is Chrysler really in trouble? Gas prices, credit crunches and the lack of cash to buy their cars outright (some people still do this; I for one have never had a car payment aside from the $2,900 Tom Terry loaned me in February 1989 for my ’68 Camaro) have hurt plenty.

The bigger reason, aside from Jeep and the (mini)vans: their cars are just not good. How are they not good? In the 1990s, at least they looked good, even if they weren’t terribly reliable and depreciated faster than the stick of gum you put in your mouth. Ok, the 300 was a hit. But if ever a car was a total ripoff of another design, the 300C is it (of a Bentley).

I don’t feel good saying so. I grew up near Auburn Hills, and I want no harm to come to even more people of Southeastern Michigan. But the subject that just gets danced around here in Motown, but is taken for granted essentially everywhere in the country, is that Chrysler doesn’t make great product. Sorry.

Take a look at this article and accompanying list. I show it to illustrate not any particular model of the “Ten Cars Nobody Would Miss if they Vanished”, but the number of Chrysler products on it (interestingly, the Lucerne which is mentioned as a car that should go away was purchased recently by my parents who drive back and forth from Boyne country to Sun City and back every year—they love it. Yeah, they’re in their mid 60s, but guess what, so are tens of millions of other Americans too, and if you look at the list, you’ll see Lucerne isn’t down that much this year).

Among the domestics, Ford and Chevy have developed some extremely competitive products lately. You can shop a Fusion, a Camry, an Accord and a Malibu and personal preference and aesthetics will inform your decision as much as presumed reliability, etc.

But can you really put the Avenger in that category? It’s like looking a three-legged dog: you could love it and give it a home, but you’d always be feel sad for it. And for the owner.

So here's one way out: the Michigan Ecomomic Development Corporation works with State funds to turn Auburn Hills into the lithium-ion Capitol of the world.
How? No clue, but there's a lot of smart guys up there, we have a ton of research universities within one hundred miles that could join forces to supply brain power, and unlike products like the Avenger, the entire world will be clamouring for high-energy, high-power batteries in huge numbers within a decade. Jennifer Granholm, how about you do that with my tax increase?

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