Seeking Alpha

Doug Korthof » Comments » DAI

  • Chrysler's Rebadging Plan: Strategic Blunder for Nissan? [View article]
    Well, Nissan has nothing to lose with this deal (it can sell less-than-perfect seconds to Chrysler); and Chrysler has nothing to lose either (doesn't cost them a thing to stock a rebranded Nissan; at worst, they don't sell).

    On the other hand, most likely, they won't gain, either. But for Chrysler, it's worth the gamble: no loss vs. some possible gain, however unlikely.

    Chrysler's problems are legion, but NONE of them involve the UAW or line workers. ALL of them involve betting the company on big, gas-guzzling monster hemi-mobiles; they just don't have the expertise, let alone the money, to develop a small excellent car.

    Chrysler's best bet is to sell some brands to a company like Nissan that wants to be considered 'American'. And that's what they seem to be starting to do. If I were them, I'd rebrand the Nissans as "Plymouth" or even "Desoto", and eventually drop the Chysler connection, just sell them at rebranded Nissan dealers as "Plymouth Dealer". After all, Nissan was once Datsun...
    Aug 14 09:39 am |Rating: +1 -1 |Link to Comment
More on DAI by Doug Korthof
Comments by Ticker
Doug Korthof's
Comments Stats
44 comments
Rating: 24 (54 - 30 )