This is because Cerberus, a private equity investment firm run by former Treasury Secretary John Snow, doesn’t know squat about making cars, although it does have a stake in GMAC, General Motors' financing arm. It apparently knows a great deal about making money, and obviously believes it can wring the losses out of Chrysler, which it bought for a song, and have itself a dandy windfall of a winner.Let’s step back for a moment and put this in perspective: The smug suits at Daimler believed they knew so much about making cars that glomming Chrysler onto its line of German-engineered automobiles was well worth a $37 billion investment.
Firing a bunch of front-office bigs in Detroit and dumping unprofitable isn't going to do the trick if Chrysler is going to be turned around. Well-designed, well-enginered and competitive automobiles is the only way that small miracle will happen.
Well, Daimler had not anticipated several things: That there were beaucoup problems with its own cars, that
Toyota Motor passed DaimlerChrysler in
The major reason: With few exceptions, they made boring products.
Not only has Daimler taken a bath with Chrysler, its fleet has seemed especially out of step to me: Flashy and derivative pimpmobile stylings that seem like caricatures of themselves.