Because car enthusiasts tend to be more interested in cars themselves than the industry that creates them, critics and commentators tend to praise engineers while vilifying accountants, marketers and the countless other professions required to bring a new car to production. The assumption seems to be that engineers develop great cars which are then cheapened, […]
Posts By: Edward Niedermeyer

Having recently invested in an all-new global compact car, the Cruze, it was inevitable that Chevrolet would eventually come out with an MPV based on the Cruze’s underpinnings. When the unavoidable people-mover debuted at the 2008 Paris Auto Show as the severely handsome Orlando Concept, its clean yet distinctive look certainly got our attention. And with initial plans calling for US production (Hamtramck), it seemed that The General really was ready to put up to seven Americans in a compact-car-based vehicle. But after we called the Orlando “The Cruze To Wait For,” GM entered bailout hell and the Orlando was canceled and uncanceled for the US market with every new executive that passed through the RenCen.Now, with the first images of the production Orlando hitting the web, the post-concept reality of Chevy’s “Delta MPV7” reflects its troubled development.
The very European-looking concept has been softened into what looks more like a US-market crossover (i.e. something you might spot in Orlando)… but it’s going to be made by Daewoo in South Korea, and is focused on the European market. And based on the current plans, Americans looking for this kind of car from GM will have to spring for a GMC Granite “Urban Utility Vehicle.” Because apparently GM’s product planners think Europeans are into generic, American-named people movers, while Americans are looking for over-the-top designs and an upmarket brand from their fuel-efficient kiddy haulers. On the other hand, as little sense as that premise makes, the production look of the Chevy Orlando won’t exactly inspire anyone to contradict it.
Mercedes, BMW and Volkswagen/Audi are all moving inexorably towards a major downmarket expansion, as they develop a new generation of compact and subcompact cars based on front-wheel-drive architectures. Though Volkswagen has played in this space for some time, the move is a major cultural shift for BMW and Mercedes, which are typically associated with rear-drive luxury cars, particularly in the US market. But the truth is that the German luxury brands have always sold products in the German and other European markets that don’t match their premium overseas brand images (see, among other examples, the ubiquity of Mercedes taxis in Germany). But the strange thing about this next push towards smaller cheaper cars is that it’s not not aimed at Germany at all.
Think GM has a tough sell for its coming IPO? Chinese battery/automaker BYD is preparing its own $420m stock offering, likely to be floated on the Shenzhen A-Shares exchange, in the midst of a Chinese-market downturn, and an ongoing lawsuit with electronics manufacturing giant Foxconn. And all this comes after a long run of good news for the Hong Kong-listed BYD, which had been running strong on optimism generated by Warren Buffet’s major investment in the firm nearly two years ago. So, is BYD in real trouble of having its overvalued stock burst, or is the company strong enough to weather the storm that’s swirling around it?
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TTAC has a long, proud tradition of tearing into puffy automotive journalism, so it was not without a little trepidation that I wrote in the comments section of Michael Karesh’s excellent review of Zero To Sixty that
Toothless reporters put execs at their ease… which allows them to say naive or revealing things that toothy bloggers can then rip into. In a weird way, the worse the reporter, the better the reporting (as long as the quotes are then duly digested). As time goes on, I find myself more and more at peace with this evolving media food chain… and TTAC’s place in it.
To be clear, this is not an endorsement of toothless coverage per se, it’s just a pragmatic response to the reality that auto industry coverage will continue to be dominated by PR-approved puff. And this video provides yet more proof that non-threatening journalists are actually the most effective at snagging scoops, even if they’re totally unaware of said scoop. Which is where the bloggers come in.
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Dodge previews its 2011 Charger by showing a police version almost completely shrouded by the darkness of what appears to be a typical Detroit neighborhood. And as much as we’d like to see more of the next-gen Charger, we understand what Dodge is going for here: after all, government fleets seem far more interested in purchasing Chrysler Group products than we lowly consumers.

We’re hardly shocked by the idea that Chrysler won’t turn profit this year. After all, Auburn Hills has barely made its minimum monthly sales volumes (at best, and with rampant incentives and fleet mix) this year, and lost $50m+ in “industrial inefficiencies” on the Jeep Grand Cherokee launch alone [Q2 results analysis here]. With plans to close out the year with a non-stop barrage of product launches and attendant media spending, it would take a minor miracle for Chrysler to break even. But we’ve essentially known this all for some time… what’s truly shocking is that Chrysler’s CEO Sergio Marchionne actually admitted to the media that Chrysler won’t turn a profit.
Earlier today, I noted that
Revitalizing a once-dominant domestic brand is a lot harder than telling the quality-improvement story of a once-reviled Korean value brand
and I think this video helps prove the point. For a brand like Hyundai, highlighting product details helped change perceptions… but then, Hyundai has never asked Americans to think of their cars in especially emotional, patriotic, or culturally significant ways. They’re just high value cars that have become better and better over time. For GM and Chevrolet’s new top marketing execs (freshly poached from Hyundai), the plan seems to be to follow the Hyundai “quality story” gameplan, with a little awkwardly hip flair. For a brand that’s been “the heartbeat of America,” “like a rock” and more, this latest video seems stuck in “excellence for everyone” (i.e. generic and directionless) territory.
Besides, when the word “solid” is used in marketing materials to describe a “3,100-3,300 lb” compact car, it sounds a little like a Mom calling her kid “big-boned.”
The core hypocrisy of the UAW is that it claims to work on behalf of workers everywhere, while actually serving only the interests of its most senior members. And the cognitive dissonance produced by this grotesque contradiction can lead to some interesting challenges in the day-to-day life of the union, particularly in the design of parking lot signs designed to keep the competition out. The sign shown above and the sign shown in the post preceding this one show the UAW at its most honest: if it’s built by one of the Detroit Three, it’s OK. If it’s got a “foreign nameplate” it’s not. But this honesty also betrays the fact that the UAW simply wants everyone to support it’s employers, rather than lead a nationalistic or class-based crusade.
At most locals the signs are more simple and ideal-oriented, but they’re also completely misleading. For example, a Japanese-built Camry or Korean-built Elantra should be OK in a lot with a “Union Made Vehicle Parking Only” sign, and an American-built Camry or Sonata should be fine in a lot with a “No Foreign Cars Allowed” sign… but of course, neither scenario would be tolerated. While you’re pondering the deeply cynical self-delusion at play here, enjoy this hastily-assembled gallery of union parking lot signs.
Update: Picture 417 has been removed at the request of the photographer. The original photo can be viewed here: http://www.flickr.com/photos/mlavander/4034221120/#/
We are sorry you were inconvenienced and had to worry about where your car was parked while you covered the signing. The UAW member you encountered in the UAW Local 249 parking lot meant no personal disrespect to you. Accomodating [sic] vehicles not made by UAW brothers and sisters is a passionate subject for our members.
He and UAW members across the country know that foreign automakers that allow workers to freely join unions in their home countries while denying that same right to U.S. workers are denying the First Amendment right of American workers to freely organize. Yet foreign automakers accept U.S. taxpayers’ dollars in incentives to build assembly plants, jeopardizing the future of middle-class workers in the domestic auto industry.
UAW Boss Bob King half-apologizes to Kansas City Business Journal reporter James Dornbrook, who was forced to remove his American-built Toyota Camry from the parking lot of UAW Local 249 in Kansas City while reporting a story there. The DetNews notes that King’s predecessor Ron Gettelfinger had loosened the UAW’s long-standing ban on non-UAW-made cars in its parking lots five years ago, when he allowed Marine Corps reservists who report to a nearby office park at UAW headquarters. But King is on a mission to reconnect the UAW with its old-time religion, and his letter proceeds to lecture Dornbrook on the standard talking points concerning the anti-middle-class evils of non-union transplant factories, and the general sanctity of all things UAW-approved.
King’s letter is a tedious read, but it’s proof that self-righteousness trumps self-preservation at the UAW, even when it comes to something as (relatively) easy to control as press relations. Reporters may not be quite as popular as Marines, but they have immense influence over public perception of the UAW (which, incidentally, is not in great shape just now). Kicking one off UAW property because he drives a non-union, American-built car and then lecturing him with UAW dogma is just plain stupid.
After numerous delays and a lawsuit by Mahindra’s US distributor, the Indian firm’s diesel-powered compact pickups have been approved by the EPA, reports the WSJ [sub].
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Thanks to one of the most popular Top Gear segments ever, the Peel P50 is now well-established in the minds and imaginations of the world’s automotive cognoscenti. After all, how often does Clarkson say that “if [car X] had a reverse gear, I would describe it as the absolute ultimate in personal mobility”? But now there’s another reason to pay attention to Peel: having been bought a few years back by Gary Hillman and Faizal Khan, the British microcar maker is set for a comeback that’s being funded by Sonny Coreleone himself, actor some British investor named James Caan (born Nazim Khan… cheers to colin42 for the British pop culture lesson, and apologies for unwittingly making the story better than it is).
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Why build the sexiest-looking “green car” to date, only to advertise it using cobbled-together promo clips and a royalty-free techno beat? Other than the fact that several production delays indicate that every available dollar should go towards actually making the Karma production-ready, of course. [via Jalopnik]
Hyundai’s most famous superbowl ad may have imagined executives at Lexus and BMW getting steamed at the success of the Genesis, but that’s not necessarily where the upstart Korean brand is making the biggest impression on competitors. In fact, it’s Hyundai’s ability to market value so successfully, even in the premium space, that’s got the other automakers steamed. But instead of getting mad at Hyundai’s building momentum and reputation, GM’s getting even. Having already poached away former Hyundai marketing boss (and the man behind this ad) Joel Ewanick to lead GM’s entire marketing effort, GM just snagged Ewanick’s replacement as VP Marketing at Hyundai, Chris Perry, to head up Chevrolet marketing [via Automotive News [sub]. That’s right, two VP’s of marketing from the same upstart Korean brand, both poached away by GM… You think The General might be looking for people who can tell the momentum-turnaround, finally-getting-some-respect-around-here storyline?
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Before the remnants of the British Leyland empire were sold off to various developing-world automakers (in an intriguing automotive inversion of colonialism), BMW temporarily became the caretaker of a number of British auto brands, including Rover, MG, Land Rover, and Mini. Only Mini now remains under Bavarian fealty, but before dumping the mess on the hapless Phoenix Consortium, BMW helped the Rover brand develop its only halfway-competitive car of the 1990s: the retro-inspired Rover 75. And according to Britain’s AutoExpress, BMW also helped Rover developed this odd duck, known as the 55, as an attack upmarket on Audi’s A4 and Mercedes’ C-Class. It was to be followed by a larger replacement for the 75, which would have given Rover a one-two punch to match the Mercedes C and E Classes, Audi’s A4 and A6 and so on.
The long-nosed look of this 1997 design study is the result of a Passat/A4-style longitudinal-front-drive platform, which (like the 75’s platform) had been experimentally developed by BMW. Of course, the looks are a bit odd, and BMW really didn’t need to develop unique-platform competitors for its 3- and 5-Series, so this car was probably never likely to make it to production. Still, it’s interesting to imagine what Rover would be like today if it were still struggling along with a large neo-retro flagship based on dated German technology and not much else… except that then it would pretty much be a British Chrysler.













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