Create a new account

It's simple, and free.

American Auto Companies' Future

The American automotive industry was a cornerstone of the American economy for much of the twentieth century. The automobile transformed the United States not only in terms of the personal freedom that it introduced through affordable personal transportation, but also in the quality of life that it made possible for the millions of workers employed directly and indirectly by the industry. Labor unions, management theories, retirement planning, and home ownership were all greatly influenced by the growth of the American automobile industry, and the influence expanded around the world. Today, America's three largest automobile manufacturers are facing financial challenges that could lead to bankruptcy, a situation that was unimaginable in the middle of the twentieth century. This research considers some of the problems that have landed the companies in this situation and evaluates some of the alternatives that could help save the industry.

The Quality Gap-Real and Perceived

American car manufacturers suffer from a quality gap with European and Japanese automakers, especially with Japanese cars that tend to be price competitive with American vehicles. In its annual car issue, Consumer Reports could not recommend a single vehicle from Chrysler, including Dodge and Jeep vehicles. Chrysler vehicles as a whole were rated as "below average" in reliability. Ford, on the other hand, improved dramatically in its reliability rating and Consumer Reports said that some Ford models now "rival the best from Japan" ("Who Makes," 2009).

Dependability and reliability are also hallmarks of the J. D. Power reliability rating; in the most recent release of this report, Buick was ranked number one tied with Jaguar (now manufactured by an Indian-owned company). Ford's Mercury line also performed well in this survey. Chrysler's Dodge Caravan received the top spot for vans ("Buick, Jaguar," 2009).

These rank...

Page 1 of 10 Next >

More on American Auto Companies' Future...

Loading...
APA     MLA     Chicago
American Auto Companies' Future. (1969, December 31). In LotsofEssays.com. Retrieved 00:50, March 29, 2024, from https://www.lotsofessays.com/viewpaper/2001104.html