Chrysler's Peapod

[Flip]

hi lorax,

I saw a history channel story that claimed that mr. Iacocca had designed the mini van back when Lee worked for ford motor co. and that he presented the "Caravelle" as the Carousel to then Henry Ford the second [[hank the Duece) as his idea, an Mr Ford laughed it off, thinking it was useless !
lorax, maybe i dont remember it and all of it details, But that basically is what i saw !
As far as Who or How this happened, i Really dont know, BUT our so called leaders today are a bunch of Greedy and Sad self serving Rats , Much like the Horses ASS Robert Eaton, who slod off chyrsler, just for Greed and Self Serving reasons !
If you ever want to Burn inside , read" how daimler drove off with chrysler" and the top exec's who were all paid retirement size payouts, and you would to be an idiot, to not realize the truth !

[Retroit]

Let's keep in mind the reasons that the Big3 are in the shape they are in.

1. The current economic condition [[credit crisis, consumer reluctance to buy, etc.) is effecting all businesses, especially those involving the big ticket items [[houses, cars, etc.). It would be a mistake to say this is the fault of anyone [[CEOs, unions, etc.) involved in the auto industry.

2. The domestic automakers have lost their market share because more competition has entered the market. And even though most of the foreign competitors have been here for quite awhile, it was only during the past several years that they have entered into the SUV & truck markets, which were the Big3's biggest money-makers.

3. Foreign automakers have certain advantages that were not created by the Big3, and therefore shouldn't be blamed on them:

a. It is cheaper to build a car in Japan, South Korea, etc. than in the States because of labor cost, government regulation, etc.
b. Foreign automakers have been given huge financial preference by the Southern U.S. States to build factories here.
c. American business has developed the unfortunate practice of putting finance guys in top management instead of people who actually now how to build things. Most foreign manufacturing companies are run by engineers, not MBAs.

...and most important of all, the biggest blame goes to US! We are the ones that are willing to buy cheaper imports when we all know damn well that it will eventually cause our country to "go out of business".

[Fury13]

...and most important of all, the biggest blame goes to US! We are the ones that are willing to buy cheaper imports when we all know damn well that it will eventually cause our country to "go out of business".

You're still on that river called "De-Nile."

The Big 3 didn't anticipate a changing buyer preference to smaller, more fuel-efficient vehicles and persisted in making thousands of SUVs and trucks [[many now sitting unsold on dealers' lots). They couldn't react by bringing more economical vehicles to market quickly. It's about product.

[Retroit]

Expecting the Big3 to switch production for a temporary speculator-induced spike in oil prices is unrealistic. The foreign automakers were able to sell more cars not because they were quicker to react, but because they already were geared to small cars. If oil prices had gone down dramatically instead of up, don't you think a lot of people would have been buying gas guzzlers, thus favoring the Big3?

[Lorax]

Hi Flip, I'm aware of the history channel's program, and many popularly held beliefs that Iacocca had something to do with the mini van. He didn't.

Ask anyone familiar with the story [[except Iacocca, of course) and they will agree. Ask Leo Walsh, George Butts, George Steikiel, etc.

We have the original drafts of the mini-van dated from the 70's, as well as the original presentation slides, schematics, and even a small model made for my father's retirement and presented to him by the staff of advanced design and engineering.

Just goes to prove you can't believe everything you see or hear!

[Retroit]

Did you save the napkin?

Always Save The Napkin.

[Fury13]

The foreign automakers were able to sell more cars not because they were quicker to react, but because they already were geared to small cars.

And why weren't the Big 3 already geared to small cars? The handwriting was on the wall, worldwide, for years, about oil prices. Gas has been sky-high in Europe for decades. And wasn't the first energy crisis way back in 1973? It's not like the automakers didn't have fair warning.

No, the U.S. makers didn't get with the program early enough and kept on making those hugemobiles, thinking the party was never going to end. Bad product management, I still say.

[ndavies]

The only reason Europe's fuel was so expensive was due to the HUGE government taxes they put on fuel. The only reason US fuel prices went so high was due to the weak dollar. The US federal government is too scared to tax fuel like the europeans do. Putting a $4.00 a gallon tax on gas is the only way to stop people from buyign fuel sucking SUVs. Without the US buying huge quantities of fuel the market cannot support the inflated prices they were trying to get. The price collapse was completely predictable and exactly echoed what happened in the late 80's. $100 a barrel oil is completely unsustainable.

GM and Ford have both always made small cars. They sell very well in europe and asia. They just can't make money making them here.

Toyota and Honda have the same problem, Neither of them make their small cars in North America.

And even if they were able to they still wouldn't be selling at the moment. Even your lauded Toyota is stacking up small cars on the docks like cord wood. They aren't selling with Gas back at $2.00 a gallon. They are renting ships to store the cars because all their receiving lots are full.

Toyota greatly increased the size of their full size truck to meet US consumer demand. It's now the same size as the US manufacturer's trucks. They are in deep shit because they built a huge new plant to build full size trucks in Texas. They don't have any sales either. They increased the size of the US prius plant and those aren't selling with $2.00 a gallon gas. The prius plan is now going to get SUV production.

Toyota, Honda and Nissan have all started to layoff workers in Japan. Something that was previously unthinkable. The US manufacturers were just the canary in the coalmine. With US consumers not buying, there will be many worldwide manufacturers headed to bankruptcy court. If GM heads there thier will be at least 2 other foriegn manufacturers following on their heals. The intertwined supply base will force it.

[otter]

Lorax,

Was your dad a designer [["stylist"), engineer or product planner?

Just curious.

O.

[Lorax]

My dad was head of Advanced Design and Engineering for the Dodge division, and later Chrysler. His start at Chrysler was as an engineer, then stylist.

He assisted Virgil Exner early in his career on the Imperial line, and designed underbodies for all Dodge products, then was responsible for the development/conception of all Dodge Truck products from the early 60's onward, which included the minivan concept, which was a Dodge division project.

Before working for Chrysler, he designed motors for Briggs & Stratton in the late 40's.