Chrysler-Fiat

Chrysler the auto manufacturing firm is a well-known brand name in Northern America which is famous for its brand jeeps and mini-vans; it has a well-established network all over America. Chrysler was always secondary to GM and Ford; it lacked market visibility due to no strong leadership, a costly de-merger with Daimler and a limited edition of fuel-efficient cars. Due to its concentration on low cost auto requirement segments like the middle-income group it could not score well when compared to other auto manufacturers, adding further to its burdens were the entry of many Japanese manufacturers like Toyota, Nissan and Hyundai which also focused to be an attraction to the middle class by introducing many compact and fuel efficient models. The jeeps and mini-vans were a major success for Chrysler especially in North America. In the nineties it was a well-known brand name which enjoyed success in the market, but still lagged behind other manufacturers due to low quality and no customer satisfaction. Chrysler later faced many ups and downs by increasing oil prices and other problems related to post-merger, due to which it had to face high costs and layoffs, at this time it was looking for a merger with other manufacturers like Nissan, Fiat, GM and Volkswagen. Finally in 2009 it tied up with Fiat for a strategic alliance and later recovered its market visibility by 2012 due to its merger with Fiat.

Fiat the Italian car maker has its presence felt in the European car market, which is a reputed brand with good quality and enjoys great success in the small car segment in Europe. The Global auto industry is a very large industry which attracts many countries to develop new models and technologies which have an impact on every aspect of the country; Fiat did not enjoy much visibility in the global market, due to its poor marketing skills and low participation in the market. After the merger with Chrysler, Fiat was able to get a steady lead in the US auto markets. Under the leadership of Sergio Marchionne, the brand is likely to increase its global market share aggressively by introducing many new models in the market.

                         

Compared to Chrysler and Fiat, GM leads the global market share by commanding 19.1% market share, and also being the largest US exporter, followed by Toyota which holds a 16.1% of the market share, and is also aggressively expanding and found to be the strongest competitor to GM, followed by Ford with a 14.6% market share, which has a good visibility in the auto market, but lags behind in the export division, Volkswagen has a market share of 3.5% and has a strong presence in the Europe markets, Daimler has a market share of 1.6% , attributes its losses to the de-merger with Chrysler, but enjoys a strong visibility in the global market. Post the merger with Fiat, Chrysler was able to come out of bankruptcy and gave 20% share to Fiat, and Fiat after the merger with Chrysler was able to hold a 20% market share in US, and is expecting to make more than 6 million cars by 2018, and Chrysler remains to be a major success in the SUV Jeeps and mini trucks sector. Marchionne is expecting a 25% surge in production in the upcoming 4 years.