Should Chrysler LLC become Jeep Corp?
A new study by Oregon-based CNW Marketing Research indicates Jeep has considerably more brand equity than Chrysler or Dodge. None of that comes as a surprise, but CNW?s suggestion for the struggling automaker is a pretty big leap. The research firm says Chrysler should be folded in favor of a Jeep-centered car company.
CNW says the Jeep lineup could stay largely intact, and certain successful models could be transfered from Chrysler and Dodge to the new Jeep Corp. For example, the Dodge Ram pickup could be re-branded as a Jeep product. SUVs like the Durango and the Journey could also be sold as Jeeps, the report suggests. As for Chrysler?s minivan offerings? Those could be sold to GM, which lacks such products.
So what?s the basis for all of this? Well, according to CNW, the Jeep brand is nearly twice as ?acceptable? to consumers as Chrysler. What?s more, the Jeep brand is perceived to make a higher quality product, even though actual quality studies don?t back that up. Nonetheless, it?s easier to build a successful high-quality product if people already perceive a brand as such.
A few months ago, a plan like this would sound pretty farfetched. Truth be told, it still is. But given the dire situation U.S. automakers find themselves in, anything is on the table.
What an insane idea, there is no way this would be a viable path in the long term. When gas prices go back up Jeep will have no means of competing. You can't link fuel sipping city cars to a brand that is so inextricably linked to gas guzzling SUVs.
I can see Jeep being bought out by anothe company if Chrysler as a whole goes to the scrapyard, but not this.
The Chrysler and Dodge brands could be merged, but that would have no practical benefit since most of their cars are essentially identical, save for grille and badges. Jeep made pickups prior to being acquired by Chrysler but Dodge still has a good name for trucks.
Chrysler's best option is to merge with a healthier partner. Renault-Nissan and Hyundai-Kia have been rumoured to be interested in buying parts, if not all, of Chrysler.
Cheers,
Madman of the People
Renault-Nissan said they wanted a few bits and pieces. Hyundai said it had no interest at all.
i hope all three are able to survive, but unfortunately, the would need to consolidate. i absolutely do not support a merger with (err - takeover by) general motors. i also hope viper stays. i said it elsewhere, nissan would make a great partner.
^I think Nissan was only interested in Dodge light trucks.
Quote from: FordSVT on November 19, 2008, 04:42:04 PM
^I think Nissan was only interested in Dodge light trucks.
I don't see why they would be. Even as is they have a deal to use the Ram as the next Titan.
Quote from: Laconian on November 18, 2008, 11:19:11 AM
What an insane idea, there is no way this would be a viable path in the long term. When gas prices go back up Jeep will have no means of competing. You can't link fuel sipping city cars to a brand that is so inextricably linked to gas guzzling SUVs.
Yep. Jeep sells on reputation far removed from frugal, need/value-based product. The winds of change are too hard to predict when people buy on a whim, which is just too risky at this time.
With such a one-brand strategy, I'd vote Dodge; dump all models and brands but the Ram, Caravan, Wrangler, Liberty, Charger, Avenger and Caliber.
The only reason Jeep still has any cachet is because its one of the very few car brands that doesn't try to be all things to all people. Renaming Chryslers as Jeeps (more than has already been done) would destroy that appeal.
I will run for the hills if I am given a set of keys to a Jeep Sebring.