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2014 Fiat 500L
Wed, 04 Dec 2013The saying goes that man cannot live by bread alone, and neither can automakers live by selling one car alone. This holds especially true for automakers with a budding dealer network to support, like the Fiat brand, which returned to US shores in 2011 after a 28-year absence. The company's single car to sell at the time was the Fiat 500, a cute retro rebirth of the original, iconic Cinquecento, which your toddler now calls Luigi thanks to Pixar.
Since then, the new 500 has sold reasonably well here in the US, and the Fiat brand has been following the same playbook that another purveyor of pint-sized autos, Mini, has used: sell as many variants as you can of the one model you've got. So we have the 500, 500C drop top, high-performance 500 Abarth, all-electric 500e and a few additional trim levels and special editions to further fill dealer showrooms. But the axiom that automakers cannot live selling one car alone still stands, and so Fiat has finally introduced its second model, the larger 500L.
Executive Editor Chris Paukert completed our First Drive of the 500L back in June, and was left pleasantly surprised by its combination of utility, offbeat style, fun-to-drive demeanor and value. We've also, however, read some scathing reviews, like this one from The New York Times. I wasn't sure where the truth lay when the keys for this top-trim 2014 Fiat 500L Lounge were handed to me, but finding out would be but a short week of together time away.
Marchionne says the Chrysler 200 and Dodge Dart were terrible investments for FCA
Mon, Jan 9 2017In a press conference during the Detroit Auto Show, Sergio Marchionne was quite candid about why the Chrysler 200 and Dodge Dart were discontinued altogether without replacement. He essentially said they weren't worth the trouble. "I can tell you right now that both the Chrysler 200 and the Dodge Dart, as great products as they were, were the least financially rewarding enterprises that we've carried out inside FCA in the last eight years," Marchionne said. "I don't know one investment that was as bad as these two were." Marchionne was responding to a question about whether he felt the company's shift toward trucks and SUVs and sacrifice in sedan development was shortsighted. Marchionne said he felt that the market would likely continue to be strong for trucks and SUVs, and that the sedan market requires enormous investment that might not pay off. He used the 200 and Dart as examples. When we tried out the 200 and the Dart, we had mixed feelings. We enjoyed the 200's potent V6, pleasant interior, and solid handling. However, it was lacking in space (especially in the rear seat area), and doesn't drive any better than the top vehicles in the midsize sedan class. As for the Dart, it was fairly roomy, and had great infotainment thanks to Uconnect, but lackluster handling and a surprising amount of weight left it only average. With that in mind, it's probably not a bad idea to get rid of the 200 and Dart. The sedan segment is shrinking, and FCA can only afford to invest in areas where it can be a class-leader. Related Video:
UAW may be key to forced FCA merger with GM
Wed, Jul 29 2015Sergio Marchionne doesn't give up on a business deal easily. While outwardly not much has recently been said about FCA's attempted merger with General Motors, Marchionne might be hoping to garner a powerful, new ally that could help break things wide open. The United Auto Workers retiree health care trust is the single largest shareholder of GM with 8.7 percent of the stock, and having its support would certainly improve FCA's position in getting a deal done. "Whatever happens in terms of consolidation, it would never be done without the consent and support of the UAW," Marchionne said when FCA recently began contract talks with the UAW, The Detroit News reports. The boss is also allegedly on good terms with the union president Dennis Williams. Still, using the organization for a hostile takeover could be very difficult because of the way its votes are structured. Other activist investors might already be on board, though. Marchionne believes that consolidation in the industry is vital because automakers are investing to create the same technologies. A GM/FCA merger still has many roadblocks, though, including the fact that Marchionne's company is smaller than GM. From a regulatory perspective, the size of the merged company could raise serious anti-trust concerns among regulators, according to The Detroit News. There's also the concern for lost jobs from redundant work with the two combined businesses. Even if the UAW angle doesn't work out, there are contingency plans afoot for other merger targets. According to The Detroit News speaking to anonymous insiders, FCA bigwigs have a meeting in London on Thursday to take a close look at other options. In addition to GM, they are investigating possible deals with Volkswagen and the Renault-Nissan Alliance. In the past, PSA Peugeot Citroen and multiple Asian automakers have also been brought up as partners, and UBS has reportedly been providing financial advice on what to do.