Nov 28th, 2007 by RJ Menezes
Chrysler is in the process of implementing some big changes to the way it does business here in the U.S. They are now in talks with various dealers in the nation as to their plans and intentions. They need to rethink how they do business, and Chrysler’s new owners Cerberus Capital Management Lp. want forward progress on their new investment.
The problem seems to be in the fact that Chrysler has to many models throughout it’s multiple brands that they overlap each other. People are comparing and contrasting within the brand.
Part of how they plan to do this is by furthering brand identity. Now Chrysler will sell luxury sedans, Dodge will sell strictly trucks, and JEEP will handle the SUV segment. This way the brands don’t compete with each other. By dropping the dealers that sell Chrysler competition under the same roof as their products, they eliminate cross-shopping and up the brands value and prestige.
Should be a smart move. Now only if they could do something about the horrible dealer service…..
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