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Chrysler

In: Business and Management

Submitted By bbirchenall
Words 590
Pages 3
Chrysler

The company I selected to research is Chrysler. My husband drives a Dodge Ram and I drive a Dodge Journey, so I was intrigued to write about a company that my husband and I support. In the following business brief, I will inform you of Chrysler’s history, the industry, and the organizational structure.

History
Chrysler was founded in 1925. The company was founded by Walter P. Chrysler in Detroit. In 1928, Chrysler bought Dodge Brothers and also Plymouth and DeSoto Lines. The same year, Walter P. Chrysler was named Man of the Year (Wilson, 2011). In 1934, Chrysler introduced the first aerodynamically designed vehicle. They were praised for the forward design, but the commercial was a failure. In 1940, Walter P. Chrysler died. From 1942 to 1945 the Chrysler plant was shut down due to World War II, so the plant made Sherman tanks and other military vehicles (Wilson, 2011). In 1973 the first OPEC oil embargo drives up gas prices, which devastated full-size car sales (Wilson, 2011). In 1979, Chrysler was saved by Congress and President Carter from bankruptcy, and the following year the President signed the Chrysler Loan Guarantee Act, providing $1.5 billion in loan guarantees. In 1983, sales soar as Chrysler introduced the first minivan and fuel efficient cars they called K-cars. This enabled Chrysler to pay off their government loan seven years early. In 1987, Chrysler bought American Motors Corp, which gave them possession of the Jeep brand. In 1998, Daimler-Benz buys Chrysler for $36 billion, changing the name to DaimlerChrysler (Wilson, 2011). In 2001, DaimlerChrysler cut 26,000 jobs and idle six plants due to financial trouble. In 2007, Cerberus Capital Management buys Chrysler for $5 billion (Wilson, 2011). In 2008 with Chrysler in financial ruin, President Bush agrees to lend Chrysler $4 billion and the following year Chrysler files for Chapter 11 bankruptcy protection. President Obama’s administration advised a 30 to 60 days restructuring during bankruptcy court.

Industry
Chrysler is an automobile company. Chrysler has purchased several other car companies. They sell the following vehicles: * Chrysler- Premium-Luxury passenger cars, minivans, and SUV’s * Dodge- Passenger cars, minivans, crossovers, and SUV’s * Ram-Trucks and commercial vehicles * Jeep- Off-Road vehicles, SUV’s and crossovers * MOPAR- upscale versions of selected cars, trucks, and SUV’s from Chrysler, Dodge, Ram, Jeep, and Fiat. Also brand for dealer service and customer service operations. * SRT- High Performance * Fiat- 9 European model vehicles * Chrysler U-Connect- interactive ability to the in-car radio and telemetric-like controls to car settings * Hybrid Vehicles- Chrysler Aspen hybrid and Dodge Durango hybrid (discontinued after 2008) Ram Hybrid

Organizational Structure
Chrysler Group’s day-to-day operations are managed by a highly skilled and motivated management team (Chrysler, 2013). The Product Committee oversees capital investment, engineering and product development, while the Commercial Committee oversees matters related to sales and marketing. Both committees include managers from each of the company’s brands (Chrysler, Jeep, Dodge, Ram, Mopar, SRT and Fiat), all of whom also have separate functional responsibilities across all the brands. We believe this structure further fosters cooperation, information sharing and timely decision-making (Chrysler, 2013).

In the next weeks you will be informed more thoroughly about Chrysler through business briefs. I will send one each week. Next week prepare to be informed about the trouble the company experienced.

References
Chrysler . (2012). Retrieved from http://www.chryslergroupllc.com/company/leadership/Pages/Management.aspx
Wilson, S. (2011, May 02). hrysler's history: timeline. . Retrieved from http://articles.latimes.com/2009/may/02/business/fi-chryslerchrono2…...

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