Chrysler in Trouble
Chrysler started out in the 1920s by Walter P. Chrysler. Walter had joined as Chairman of Maxwell Motor Corporation. Maxwell had high debts and shortly after automobiles under the brand name of Maxwell was stopped. In 1924 saw the introduction of the Chrysler Automobile named Chrysler Six. Chrysler is an American automobile manufacturer headquartered in Auburn Hills, Michigan. Chrysler is the third largest automobile manufacturer in the United States that had filed for bankruptcy on April 30, 2009. Resources
In 1925, the Maxwell Car Company was reorganized into the Chrysler Corporation because of Maxwell high debts. Chrysler introduced their first vehicle in 1924 for $1,565. Chrysler has 24 wholly-owned U.S. subsidiaries. Capabilities
Chrysler had acquired Dodge Brothers firm in 1928 making it the largest automaker in the United States. The company also started the DeSoto and Plymouth divisions. Plymouth was positioned as a low price car while DeSoto was a medium price car. In the 1960s, Chrysler expanded into Europe and formed Chrysler Europe by acquiring the UK-based Rootes Group, Simca, and Barreiros. Core Competencies
In 1951, Chrysler developed the Firepower. It was the first hemispherical-head V8 engine which later became popular as the HEMI engine. The company had become famous for creating power steering, power windows, the alternator, electronic fuel injection and many other automotive innovations. Chrysler introduced revolutionary new features that would later be adopted by almost every automobile manufacturer including ridged rims which kept a flat tire from coming off the wheel and rubber engine mounts to reduce engine vibration traveling through the rest of the car.
Three findings of fact with justified recommended solution
In May 1998, Chrysler Corporation and Daimler-Benz AG agreed to combine their businesses in what they called a “merger of equals”. It’s not always a smart business decision to combine...
Cited: Wheelen, T. L., & Hunger, J. D. (2012). Strategic Management And Business Policy Toward Global Sustainability. Upper Saddle River: Prentice Hall.
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