Jump to content
News
Reviews
Discussons
Activity
Create New...
Close
  • William Maley
    William Maley

    By William Maley •

    Rumorpile: Marchionne's Final Five Year Plan Includes Expanding Jeep, Shrinking Chrysler and Fiat

      A Grand Finale for Marchionne

    Friday will mark the end of an era as Fiat Chrysler Automobiles CEO Sergio Marchionne will present his final five-year plan before he retires next year. Bloomberg has gotten a possible preview of what to expect from various sources.

    The overall plan will see FCA focus their resources on "promising niches" instead of competing against such brands as Volkswagen and Toyota in the mass-market. This is possibly seen as a possible plus if FCA was somehow able to partner/merge with another automaker.

    Jeep is expected to be the focal point of the new five-year plan. Currently, the brand makes up 70 percent of FCA's profits according to estimates from analysts. Marchionne wants to double the sales of brand by 2022 from 1.4 million vehicles sold last year. To do this, Jeep will expand its presence in Asia, Brazil, and Europe. The lineup will also expand with hybrid models arriving next year. Ram Trucks will also be expanded to other markets around the world. There is also talk about possibly combining Alfa Romeo and Maserati as "a single division in FCA's financial reports." Investors could see as a possible first step to a spinoff.

    Meanwhile, Fiat's lineup is expected to be cut down to just 500 and Panda, with sales limited to Europe, Brazil, and emerging markets. This could mean Fiat withdrawing from the U.S. and China due to poor sales. The former could be problem due to dealer contracts. There is also talk about shrinking Chrysler, though we don't know how much smaller it could get aside from just disappearing.

    We'll find out more details later this week.

    Source: Bloomberg via Automotive News (Subscription Required)

    Go to articles

    User Feedback

    Recommended Comments

    G. David Felt

    Sadly, FCA forced Fiat down the throats of existing Jeep,Ram,Dodge,Chrysler mega dealers. Fiat could not make it in the US and it was stupid to bring it back, just like it has been stupid to bring back to life Alfa.

    I suspect some kind of we pull your Chrysler dealership as you do not sell enough product when it is Sergio's own Stupidity as killing the label by starving of products.

    I can see merging it all under a Dodge label or officially killing off stand alone places by saying you have to be a mega merged dealership of those labels. A one stop shop of Jeep, Ram, Dodge, Chrysler, Fiat, Alfa, Maserati. etc.

    Why is an out of date CEO allowed to build the next 5 year plan? He was supposed to go this year and the story now says next year. So a year by year CEO job? ?

    More questions than answers by this story and the links.

    • Thanks 2
    Link to comment
    Share on other sites
    Robert Hall
    8 minutes ago, dfelt said:

     

    I can see merging it all under a Dodge label or officially killing off stand alone places by saying you have to be a mega merged dealership of those labels. A one stop shop of Jeep, Ram, Dodge, Chrysler, Fiat, Alfa, Maserati. etc.

     

    The way it is now is Chrysler, Dodge, Jeep and Ram are often in one dealer...my local here (and my local in Arizona) are like that.  Fiat, Alfa and Maserati are somewhere out of sight... (looks like there is a Maserati dealer in the far West suburbs, a Alfa Fiat dealer to the southwest of me, and standalone Alfa and Fiat dealers to the east of me). 

    1 hour ago, ccap41 said:

    Ford said this and everybody freaks out... 

    It's a bit different there, though...Ford has sedans, CUVs, SUVs, and trucks all under one brand, while FCA has them spread over 4 brands...

    Edited by Cubical-aka-Moltar
    • Like 1
    Link to comment
    Share on other sites
    G. David Felt
    12 minutes ago, Cubical-aka-Moltar said:

    The way it is now is Chrysler, Dodge, Jeep and Ram are often in one dealer...my local here (and my local in Arizona) are like that.  Fiat, Alfa and Maserati are somewhere out of sight... (looks like there is a Maserati dealer in the far West suburbs, a Alfa Fiat dealer to the southwest of me, and standalone Alfa and Fiat dealers to the east of me). 

    We have one mega dealer with all those brands in one place in Kirkland Washington, but the rest are all stand alone all over. Kinda crazy, I think it would help FCA to merge them into a single location of all brands. Yup someone will loose out, they always do.

    Link to comment
    Share on other sites
    Robert Hall
    9 minutes ago, dfelt said:

    We have one mega dealer with all those brands in one place in Kirkland Washington, but the rest are all stand alone all over. Kinda crazy, I think it would help FCA to merge them into a single location of all brands. Yup someone will loose out, they always do.

    I guess the way the standalone Fiat, Alfa and Maserati stores around here stay in business is that they are owned by mega dealer chains, like Ganley which has Fiat, Alfa, CDJR, Ford, Toyota, Hyundai, Chevy, etc stores..

    Edited by Cubical-aka-Moltar
    Link to comment
    Share on other sites
    G. David Felt
    52 minutes ago, Cubical-aka-Moltar said:

    I guess the way the standalone Fiat, Alfa and Maserati stores around here stay in business is that they are owned by mega dealer chains, like Ganley which has Fiat, Alfa, CDJR, Ford, Toyota, Hyundai, Chevy, etc stores..

    Yup, I know that GM came in during the bankruptcy period and cleaned house on all the stand alone places and now you have mega dealerships that are Chevrolet, Buick, GMC and Cadillac. One Stop shopping which I like. I think FCA needs to clean house as well and it will cost them I am sure. Gonna be interesting to see what happens to some of these places as the Stand Alone Fiat place down south advertises how they have over 500 new fiats and over 100 used in stock. Best selection in the state.

    FCA cuts Fiat to one model and I do not see that store surviving on it's own, though I do think it just recently got bought up by a mega dealership, so guess they could survive that way.

    Link to comment
    Share on other sites
    G. David Felt

    Another good read on this.

    https://www.autoblog.com/2018/05/30/fiat-chrysler-sergio-marchionne-ev-electric-hybrid/

    Based on info from Reuters.

    I do like how they state that Sergio has in the past made good value for stock investors by doing spin offs, but to date has not ever been able to deliver on a turnaround plan.

    Analyst also say that Alfa Romeo is a bleeding cash cow that is not profitable. They imply it would have been better for Sergio to reinvest profits in his American name brands than to prop up Fiat and Bring back Alfa from the grave.

    Link to comment
    Share on other sites
    Suaviloquent

    I still can’t believe they thought the 500 would do well.

     

    i wonder if the other kind of automotive heresy is possible. We all saw Jaguar and then even Rolls and Bentley start producing ‘high bodied’ cars.

     

    what if they just do the reverse for Jeep? Like for the sake of argument, make a sleek Volvo cross country like thing , add more body cladding where appropriate (Trailhawk), make it a lift back, make the 7 slot grille sexy and sleek and then slap a Jeep badge on! 

     

     

     

    Link to comment
    Share on other sites
    daves87rs
    1 hour ago, dfelt said:

    Yup, I know that GM came in during the bankruptcy period and cleaned house on all the stand alone places and now you have mega dealerships that are Chevrolet, Buick, GMC and Cadillac. One Stop shopping which I like. I think FCA needs to clean house as well and it will cost them I am sure. Gonna be interesting to see what happens to some of these places as the Stand Alone Fiat place down south advertises how they have over 500 new fiats and over 100 used in stock. Best selection in the state.

    FCA cuts Fiat to one model and I do not see that store surviving on it's own, though I do think it just recently got bought up by a mega dealership, so guess they could survive that way.

    Interesting...as we still have stand alones .here...though there are some mega stores that do sell everything....

    Sadly that plan is pretty much going to be for jeep and Dodge trucks/SUVs. There are no replacements coming for the sedans...at all. And end of production for those are but a few years away...

     

    Unless they can source some new platforms, the line up is going to look pretty sad.......

    • Like 1
    Link to comment
    Share on other sites
    regfootball
    2 hours ago, dfelt said:

     

    Analyst also say that Alfa Romeo is a bleeding cash cow that is not profitable. They imply it would have been better for Sergio to reinvest profits in his American name brands than to prop up Fiat and Bring back Alfa from the grave.

    lol, didn't we all figure this?

    There is one location close to here with a separate Dodge / Ram dealership and another a mile away that is Chrysler / Jeep.  It really would make more sense to combine all those like a majority of them already are.  

    I sort of hope they keep both Chrysler and Dodge, if they trim each, in a combined settling they are large enough to exist.

    My new Chrysler van is very good.  So i would hate to see them lose the brand.  I would like to see it go up to 4 or 5 models at least.  A van, a crossover, a 300 sedan replacement, and? what else.

    • Like 1
    Link to comment
    Share on other sites
    daves87rs
    2 hours ago, regfootball said:

    lol, didn't we all figure this?

    There is one location close to here with a separate Dodge / Ram dealership and another a mile away that is Chrysler / Jeep.  It really would make more sense to combine all those like a majority of them already are.  

    I sort of hope they keep both Chrysler and Dodge, if they trim each, in a combined settling they are large enough to exist.

    My new Chrysler van is very good.  So i would hate to see them lose the brand.  I would like to see it go up to 4 or 5 models at least.  A van, a crossover, a 300 sedan replacement, and? what else.

    Just means your new van will be a dodge, same model-just new brand.......

    Link to comment
    Share on other sites
    ccap41
    14 hours ago, dfelt said:

    Analyst also say that Alfa Romeo is a bleeding cash cow that is not profitable. They imply it would have been better for Sergio to reinvest profits in his American name brands than to prop up Fiat and Bring back Alfa from the grave

    Personally, I think there is room in the market for Alfa but I don't understand bringing back low margin compacts with Fiat. I'd get rid of Fiat and keep Alfa as a real luxury line to compete with the Germans and Caddy. They might be bleeding because of them right now but I bet a lot of that is just people don't even know where to buy them yet. They probably have a really small dealer network. 

    Dodge

    Ram

    Chrisler

    Alfa

    There is room for them all. They just need to do things right. Make Chrylser like a Lincoln/Lexus/Acura/Infiniti competitor. Dodge would be mainstream. Alfa and Ram are pretty clear what their roles are already. 

    Hahaha I forgot about Jeep but their role is also obvious. 

    15 hours ago, Cubical-aka-Moltar said:

    It's a bit different there, though...Ford has sedans, CUVs, SUVs, and trucks all under one brand, while FCA has them spread over 4 brands...

    The goal is the same, kill sedans. 

    15 hours ago, Cubical-aka-Moltar said:

    The way it is now is Chrysler, Dodge, Jeep and Ram are often in one dealer...

    That's all i see here as well. I actually can't think of one that isn't all 4 brands. 

    Link to comment
    Share on other sites
    ccap41
    13 hours ago, Suaviloquent said:

    what if they just do the reverse for Jeep? Like for the sake of argument, make a sleek Volvo cross country like thing , add more body cladding where appropriate (Trailhawk), make it a lift back, make the 7 slot grille sexy and sleek and then slap a Jeep badge on! 

    I think this could work! I think something like the Subaru Crosstrek or new Focus Active would work with a Jeep nameplate. 

    • Agree 1
    Link to comment
    Share on other sites


    Join the conversation

    You can post now and register later. If you have an account, sign in now to post with your account.
    Note: Your post will require moderator approval before it will be visible.

    Guest
    Add a comment...

    ×   Pasted as rich text.   Paste as plain text instead

      Only 75 emoji are allowed.

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor

    ×   You cannot paste images directly. Upload or insert images from URL.

    ×



  • Subscribe to Cheers & Gears

    Cheers and Gears Logo

    Since 2001 we've brought you real content and honest opinions, not AI-generated stuff with no feeling or opinions influenced by the manufacturers.

    Please consider subscribing. Subscriptions can be as little as $1.75 a month, and a paid subscription drops most ads.*
     

    You can view subscription options here.

    *a very limited number of ads contain special coupon deals for our members and will show

  • Similar Content

  • Posts

    • G. David Felt
      Random Thoughts Thread

      By G. David Felt · Posted

      This is too funny and I HOPE HOPE HOPE Amazon moves forward with this as all the auto's on Amazon for sale will have a TRUMP TARIFF line that shows how much TARIFF tax they will pay. Trump’s ‘Pottery Barn rule’ problem
    • trinacriabob
      New Toyota Prius HEV LE model - 3 days of motoring

      By trinacriabob · Posted

      I don’t know if this vehicle, a Toyota Prius Hybrid HEV, represented an upgrade.  It’s just what I was assigned as a mid-size rented vehicle for 3 days.  I had a general idea that this vehicle was recently refreshed and that it looked a lot better.  As I got closer to it and got into it, I was able to get a better look.  The new Prius looks a lot better than I recall a Prius ever looking.  It looks sleek, sporty, and even sort of low-slung.  Interesting exterior features show that they made this a priority.  The front lights and fascia are thin and understated, working well with the more unified exterior.  The rear fascia is definitely Prius’s own and it gives the car some interesting, angled vantage points.  They even incorporated gullwing handles into the sedan’s rear doors and, having once had these in the last rendition of the W-body Buick Regal coupe, I like their look and just plain using them. Its low-slung aspect can present a slight demerit.  The windshield and profile of the front doors is very raked and, as a person of average height, I had to duck a little more than usual to enter the car.  Similarly, the rear backlite borders on almost being horizontal.  This does give the rear storage area a little more usable height. Inside, the front pillars’ rake is mitigated by fixed renditions of what used to be vent windows in older cars.  However, they still seem to block an instinctive sight line compared to more upright vehicles like the current Camry and Corolla.  Inside, the feeling is more cockpit-like.  Similarly, the rear view has the thicker pillars and flatter backlite that require more proactive work – looking over the shoulder attentively and using the amber traffic monitoring warnings in the outside mirrors.  A complementary feature is the chime that assisted lane changes. The Prius has a 4-cylinder engine that seems to spend more time in EV mode than did the hybrid Camry.  That means good fuel economy and, over 3 days, I only added 6 gallons for between 200 and 300 miles of motoring.  In terms of power, handling, and roadability, the Prius gets mixed comments from me.  It does have agility when the pedal is pressed and it moves from eco to power mode.  It also eases upward to higher than anticipated highway speeds if not paying attention!  The transmission is a CVT with a “faux” first gear and it works well.  The Prius has a more noticeable wheezing sound when in reverse gear, which actually advises those inside the car and near it.  However, when pushed, the powertrain gets buzzy, as in noisy.  But at steady speed, any engine noise is not that noticeable.  The vehicle’s handling, smoothness, and quietness vary.  Handling is always nimble and, even at highway speeds, it maneuvers adeptly.  The ride is mostly smooth.  However, noise control could use some improvement.  Some of that can come from the tires they equip the car with, fitted with aluminum wheels that hearken to the ones on Tesla products.  That said, it’s hard to tell if the drone is tire thum or wind.  However, if you prioritize handling among these, I was surprised to see how well the Prius handles … on the highway, on city streets, and even in tight parking spaces, where 3-point attempts are rarely necessary. The cockpit is unusual and very different from yesterday’s Priuses, which I’ve only seen and never driven or been a passenger in one.  I remember how the first model had an oval main instrument pod set up on the cowl in the middle of the dashboard but angled toward the driver.  Today’s Prius has thin and smaller pods, almost set on ledges that seem to staircase down as the cowl approaches the driver.  The main panel looks like a small tablet that is set quite far from the steering wheel.  Depending on how the wheel is titled, there could be some visibility issues seeing all the information.  This required adjusting the wheel and the seating height.  Also, the front seat can be very far from the pedals.  So, while the door is low, taller drivers might like this potential distance.  The infotainment center sits slightly forward of the main instrument screen and is conventionally placed atop the center stack.  Thankfully, it continues with touch operation as opposed to being operated via a remote dial.  Most functions are the ones you’ve known for a while, so setting things up doesn’t take long.  I did struggle a little with the Android Auto, even though the Bluetooth pairing was quick.  Note that, while the Camry has USB-C ports, the Prius does not.  Further down on the center stack, the climate control is easy to work with (not the 3-dial type that so many exports and even domestics have) and the A/C blows colder a little quicker than in the last Camry I drove.  The console deck is about the right height and its overall dimensions, including the box, are generous.  The compactness of the shift lever is sort of fun … think of a small underpowered low-cost EV Corvette! When going into gear, it’s not about moving the selector linearly.  A quick jog to the left and up toward the instrument panel is for reverse while that same quick jog followed by a rearward move puts the vehicle in drive.  It doesn’t take long to get used to this.  Also, the park feature is easy to work with.  Just push in P when stopped and, whether in reserve or drive, the gear selector goes to park.  The only thing is that it is not forgiving when shifting the lever … your foot must be firmly on the brake, so no slipshod maneuvers.  The seating is comfortable and the buckets seem a little high, but this offers support from top to bottom.  The same is true in the rear of the cabin and the headrests do intrude with an already thicker rear sail panel / C-pillar.  Legroom in the rear also seems good and the length of the vehicle allows for that.  Space is sensibly distributed in the 3 volumes from front to back. I always thought a Prius would have something daunting or different about it.  Its look is different in that it lost its first-gen look that looked like an upright Nissan Versa of 2016 … sort of like the runt of the litter that is on the run because it has been kicked in the rump.  This Prius looks planted.  Upon pushing the prominent and easy to use “power” button on the dash, there will be no noise and the dash will literally tell you when it, and you, are “ready” to go. It's a smaller but roomy vehicle where the price isn’t a bargain, but not that steep in today’s terms.  I find there are a few things that I wasn’t crazy about – the height, the main instrument pod sitting in the distance, and not the best noises suppression – but I liked most other things about it.  With so many Priuses going the long haul, this one will probably do the same … and look a lot more presentable while doing it. - - - - - PHOTOS FORTHCOMING  
    • trinacriabob
      Random Thoughts Thread

      By trinacriabob · Posted

      I'm laughing.   There are always reasons why things are "discounted." With me, it's DFW and Austin that give me heartburn.  San Antonio, too, even though I don't know it as well.  I just don't like the look of the DFW area, whether natural or built.  I don't like Austin for being the governmental engine of a big red place next to a massive university with over 50,000 students that is a big blue place.  I'm more of a moderate and don't want extremes in either element.  I also don't like the "way cool" leanings in Austin. Houston has its negatives, but I'd take it for nearby Galveston, and water in general, the extensive pinewoods, the dark red brick homes, an attractive downtown, and for being America's most ethnically diverse city that has always rolled with that spirit.  There is no "you shouldn't be here" factor.  IIR, I've heard of a saying about Madrid that goes, 'When you're in Madrid, you're from Madrid.'  Having lived in various places, I pay attention to those subleties.
    • G. David Felt
      Random Thoughts Thread

      By G. David Felt · Posted

      Very cool to see This Hyundai Ioniq 5 Owner Managed 413,991 Miles In Under Four Years, With One Big Catch
    • G. David Felt
      Tariff Tuesday - Big Trouble in Little Crossovers

      By G. David Felt · Posted

      Removing tariffs that idiot47 caused so much pain with for getting nothing in return show how stupid a person can be in not understanding true business and how to negotiate.  A real man with Business sense would have put together a package of tariffs to present to China to address specific areas that are an imbalance not just attack everything and see what falls out. As such, incompetence in not understanding the long road map to building greatness shows how foolish the current administration is and now they are going to sign an exception list for the auto industry. Destroy good trading partners just to cause Chaos! Never a sound business strategy. Trump to Sign Order Later Tuesday Easing Auto Tariff Impact

  • Who's Online (See full list)

  • My Clubs

×
×
  • Create New...

Hey there, we noticed you're using an ad-blocker. We're a small site that is supported by ads or subscriptions. We rely on these to pay for server costs and vehicle reviews.  Please consider whitelisting us in your ad-blocker, or if you really like what you see, you can pick up one of our subscriptions for just $1.75 a month or $15 a year. It may not seem like a lot, but it goes a long way to help support real, honest content, that isn't generated by an AI bot.

See you out there.

Drew
Editor-in-Chief

I've whitelisted
Continue without support

Write what you are looking for and press enter or click the search icon to begin your search