2021 Jeep Cherokee Trailhawk Elite on 2040-cars

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Auto Mergers and Acquisitions: Suicide or salvation?

We love the Moses figure. A savior riding in from stage right with the ideas, the smarts, and the scrappiness to put things right. Alan Mullaly. Carroll Shelby. Lee Iacocca. Andrew Carnegie. Steve Jobs. Elon Musk. Bart Simpson. Sergio Marchionne does not likely view himself with Moses-like optics, but the CEO of Fiat Chrysler Automobiles recently gave a remarkable, perhaps prophetic interview with Automotive News about his interest and the inevitability of merging with a potential automotive partner like General Motors. Marchionne has been overtly public about his notion that GM must merge with FCA. For a bit of context, GM sold 9.9 million vehicles in 2014, posting $2.8 billion in net income, while FCA sold 4.75 million units and earned $2.4 billion in net income, painting a very rosy FCA earnings-to-sales picture. But that's not the entire picture. Most people in the auto industry still remember the trainwreck that was the DaimlerChrysler "merger" written in what turned out to be sand in 1998. It proved to be a master class in how not to fuse two companies, two cultures, two continents, and two management teams. Oh, it worked for the two individuals at both helms pre-merger. They got silly rich. And the industry itself was in a misty romance at the time with mergers and acquisitions. BMW bought Rolls-Royce. Volkswagen Group bought Bentley, Bugatti, and Lamborghini, putting all three brands into their rightful place in both products and positioning. No marriages there, so no false pretense. Finally, Nissan and Renault got married in 1999. A successful marriage requires several rare elements in this atmosphere of gas fumes and power lust. But a successful marriage requires several rare elements in this atmosphere of gas fumes and power lust, the principle part being honesty. Daimler and Chrysler lied to each other. The heads of each unit, the product planners, and finance all presented their then-current and long-range forecasts to each other with less-than-forthright accuracy. Daimler was the far greater equal and no one from the Chrysler side enjoyed that. The cultures were entirely different, too, and little was done to bridge that gap. Which brings me back to the present overtures by Marchionne to GM. "There are varying degrees of hugs," Marchionne stated in the Automotive News piece. "I can hug you nicely, I can hug you tightly, I can hug you like a bear, I can really hug you." Seriously?

Weekly Recap For 7.8.16 | Autoblog Minute

Senior Editor Greg Migliore recaps the week in automotive news, including a look at the new V12 hypercar coming from Aston Martin and Red Bull Racing. Aston Martin Jeep Autoblog Minute Videos Original Video autos Red Bull Racing hypercar am-rb 001

6 best cars for $5,000

Looking for a great used car but only have a few thousand bucks to spend? Check out our 6 favorite used vehicles that you can get for around $5,000 or less. 1. 2004-2006 Subaru WRX The Subaru Impreza WRX offers a lot of what you might want in a vehicle. A 2L turbocharged engine gives 227 horsepower and it gets 27 mpg on the highway. 2. 2006-2015 Mazda5 The Mazda5 never got the sales it deserved. It was affordable and more maneuverable than most vehicles, but it never took off. It was based on the Mazda3, and felt like it as well... just a bigger version. If you're lucky, you'll be able to locate one with a manual transmission. 3. 1990-1997 Mazda MX-5 Miata A car that's praised for rewarding the driver. The shifter is sublime, and the controls are light and accurate. The 1.6-liter engine that makes 115 horsepower or a 1.8-liter that makes 128 horsepower are our preferred versions. 4. 2009-2013 Honda Fit Beside being cute, it's supremely practical and great in the city. It manages to be pretty entertaining to drive, and let's not forget it's a hatchback. 5. 1987-2006 Jeep Wrangler Yes, it's possible to get a well-loved Jeep Wrangler with about 100,000 miles on the odometer. In many ways, a Wrangler is perfect for the snowy winters with its unrivaled 4x4 capability. An SUV, convertible and icon, all in one? What more could you ask for? 6. 2002 Chevy Silverado Truck lovers, we have you covered. We love the Chevy Silverado with a 5.3-liter V8 engine and a 4-speed automatic transmission. It makes a great second car, especially if you already have a fuel efficient vehicle around the house. What would you buy for $5,000? Honda Jeep Mazda Subaru Autoblog Minute Videos Original Video wrangler mazda5