Fiat-Chrysler emulates UK’s auto industry in its recovery plan

Article by Anita Panait, on March 6, 2014

The Fiat-Chrysler of today sounds like the auto industry in the United Kingdom when it reached a low point in 1982 – weak and aging models, grumpy unions and idle plants. Because of that, Fiat is seeking to replicate the success of the UK auto industry in making a comeback by adopting similar measures implemented by British carmakers.

For instance, Fiat is finally re-launching its Alfa and Maserati marques, with which it has vowed to revive Italian production – trying to achieve what Mini and Jaguar have managed to do under foreign ownership.

The 2014 Geneva Motor Show happening this month may offer early indications of Fiat’s plans as it rolls out a cabriolet version of the Alfa Romeo 4C coupe and the first Italian-made Jeep. Marchionne said in February that Fiat’s site has a bright future building "premium segment, high-quality products with reduced competition, more attentive customers and higher margins."

Like the UK auto industry, which exports 80 percent of its car production, Fiat is also targeting to export its products – a move that could more or less mitigate losses from a six-year slump in its core southern European markets.

Chief executive Sergio Marchionne, however, is facing challenges like a big investment outlay and a hardy Italian business climate as well as heavy unionization among its 62,000- strong workforce. "For a premium brand you need a broad offering of cars, but that's very expensive and takes time," said Commerzbank analyst Sascha Gommel. "I'm not sure Fiat can deliver that." [source: Reuters]

Topics: fiat, chrysler, uk

If you liked the article, share on:

Comments

Recommended

Could this be a special version of Ferrari’s much acclaimed LaFerrari? No matter how we look at it, the patent images for this sports car from Ferrari indicate its striking...
by - February 23, 2017
How fast can a 2017 Chevrolet Camaro ZL1 actually go? Considering the amount of power lurking underneath its line-laden bonnet, the 2017 Camaro ZL1 is capable of achieving a top...
by - February 23, 2017
As it turned out, we’ll be seeing Toyota’s new super supermini at the 2017 Geneva Motor Show in March. It’s time we all get to meet the new Toyota Yaris...
by - February 23, 2017
Opel revealed it has sweetened the pot for 2017 Insignia Grand Sport customers with the Opel Exclusive program. Through this program, the brand hopes to introduce a wide selection of...
by - February 22, 2017
Fireball Performance Cars has been known to make the fastest sixth generation LT1 Camaros in the world. Once again it has managed to walk the talk as it hit a...
by - February 22, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries