Just about everyone agrees that the merger between Daimler and Chrysler was nothing short of a nightmare for both entities. So it is understandable if Chrysler execs and other workers were a little leery with the company’s partnership with Fiat.
Cultural differences between the Germans and the Americans were said to be the major problem in the coupling. It is said that Daimler, for example, was more concerned with the merger “diluting the Mercedes brand,” said an analyst with AutoTends Consulting, Short Hills, New Jersey. Daimler execs appeared to think that Chrysler had nothing to offer Mercedes. For example, the Germans refused to take the best of the Chrysler Pacifica for its own Mercedes R-Class. Moreover, it is said that Mercedes down played its use of elements of the Mercedes SLK in the Chrysler Crossfire.
The merged company worked hard to preserve Mercedes independence, not work to see what both companies could offer.
Not the case between the Italians of Fiat and Americans of Chrysler, though. People are saying now that the Chrysler-Fiat marriage is a “partnership of inclusion.” Fiat appears more than happy to share platforms and technologies with Chrysler. Finally, there are fewer Fiat executives looking over the shoulders of Chrysler execs in the Chrysler offices in Detroit. Moreover, the Italians seem to be more inclined to work together with Chrysler people.
It’s all in the attitude.
Of course, the success of the merger will depend on results to the bottom line. Still, since there appears to be cooperation between the two that just wasn’t there between Chrysler and Daimler, there appears to be a much better future for the beleaguered American manufacturer.
More can be found at Detroit News.
Our take? Still too early to tell. Some of the decisions, like splitting Dodge into two brands, seem odd. Others, like sharing engines, make sense.
Do you think the Chrysler-Fiat alliance will be better than the Chrysler & Daimler merger?