Marchionne wants a partner but says FCA can survive alone 'in mediocrity' - Automotive News
CEO Sergio Marchionne insists FCA is not desperate at all, that the company can survive on its own -- "in mediocrity. He says FCA needs a partner and that it's a no-brainer who that partner should be: General Motors. Six years later, it is still feeling the effects, even with Jeep selling at stratospheric levels and FCA overall ringing up over five years of consecutive monthly sales gains in the U. S. Marchionne says if FCA continues "globalizing Jeep at the... Jeep, he says, "is the biggest insurance policy I have because that brand was the best part of Chrysler by a long, long stretch. They have pegged the value of Jeep at close to 60 percent of FCA's total value after Ferrari is spun off. But to outsiders, including analysts, competitors and potential partners, FCA has issues. Even after taking dramatic steps to increase its North American profit margin, including hiking wholesale prices in the U. S. , the margin remains well behind those of competitors. Among 23 cars, crossovers, SUVs, pickups and vans FCA US sells, only three, the Jeep Wrangler, Cherokee and Grand Cherokee, aren't outsold by a segment competitor. Many of FCA's top-selling vehicles ride on platforms that would be considered out of date at other automakers. Source: www.autonews.com
