Originally Posted By: HangFire
Originally Posted By: itguy08
Me thinks it's circling the drain.
FCA sales are up for the 63rd consecutive month, while cash reserves are down over a billion dollars. Not exactly circling the drain, but what's going on with the cash? R&D.
LOL. They have the lowest profit margin and the highest incentives of all manufacturers. Their CEO is the only one in the industry wanting to "consolidate" and can't find a taker.
They have abysmal quality and have only recently lowered the powertrain warranties from 100k to 60k for the 2016's.
They have pushed back many models that are sorely due for a redesign.
I could sell 1,000,000 widgets but if I only make $1 on each that's not a great way to run a business when everyone else makes $2. And even worse when I start pushing back my new widgets which are key to success.
Quote:
Depleting cash reserves is hardly making them look good for resale. Their sales make them look good. Having a bunch of newly designed vehicles is 2-3 years will really make them look good (as long as they don't take the Cerebus Chrysler approach and put out old tech vehicles with new skin).
Trying to R&D too many new vehicles at one time, I think that's the problem.
Where are these new vehicles?
http://www.reuters.com/article/2015/06/02/us-fiatchrysler-delays-exclusive-idUSKBN0OI0C220150602
They are delaying their top sellers - Ram, Jeeps, etc. You don't do that unless you have serious issues.
Chrysler needs to circle the drain and have someone flush for the last time. We let many, many other brands go in the toilet, who will miss Chrysler?
Originally Posted By: itguy08
Me thinks it's circling the drain.
FCA sales are up for the 63rd consecutive month, while cash reserves are down over a billion dollars. Not exactly circling the drain, but what's going on with the cash? R&D.
LOL. They have the lowest profit margin and the highest incentives of all manufacturers. Their CEO is the only one in the industry wanting to "consolidate" and can't find a taker.
They have abysmal quality and have only recently lowered the powertrain warranties from 100k to 60k for the 2016's.
They have pushed back many models that are sorely due for a redesign.
I could sell 1,000,000 widgets but if I only make $1 on each that's not a great way to run a business when everyone else makes $2. And even worse when I start pushing back my new widgets which are key to success.
Quote:
Depleting cash reserves is hardly making them look good for resale. Their sales make them look good. Having a bunch of newly designed vehicles is 2-3 years will really make them look good (as long as they don't take the Cerebus Chrysler approach and put out old tech vehicles with new skin).
Trying to R&D too many new vehicles at one time, I think that's the problem.
Where are these new vehicles?
http://www.reuters.com/article/2015/06/02/us-fiatchrysler-delays-exclusive-idUSKBN0OI0C220150602
They are delaying their top sellers - Ram, Jeeps, etc. You don't do that unless you have serious issues.
Chrysler needs to circle the drain and have someone flush for the last time. We let many, many other brands go in the toilet, who will miss Chrysler?