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Volkswagen Westmoreland Assembly

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Volkswagen Westmoreland Assembly was a manufacturing complex located 35 miles (56 km) southeast of Pittsburgh in Westmoreland County, Pennsylvania , near New Stanton — and noted for manufacturing 1.15 million Volkswagens from 1978 until 1987. When VWoA began manufacturing in the unfinished Chrysler plant, it became the first foreign automobile company to build cars in the US since Rolls-Royce manufactured cars in Springfield, Massachusetts, from 1921 to 1931.

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152-616: Chrysler had called the facility the New Stanton plant ; Volkswagen changed the name to Westmoreland . The factory manufactured a range of fuel-efficient small cars with gasoline and diesel engines, all variants (or rebadged models ) of Volkswagen's Golf : the Rabbit (79–84); Rabbit GTI (83–84); Rabbit Pickup (1979–1982); the Golf Mk2 and GTI (85–89) and the Jetta (87–89). Built with

304-481: A "right-to-work" state, one of 22 in the US that give workers the choice to join or not to join the dominant labor union on the premises — this with an estimated $ 577 million in incentives. Badge-engineering In the automotive industry , rebadging is a form of market segmentation used by automobile manufacturers around the world. To allow for product differentiation without designing or engineering

456-621: A wildcat strike at Westmoreland for salaries equal to those received by General Motors Corporation employees. Picketing workers chanted "No Money, No Bunny." In 1981, Westmoreland Assembly avoided a strike when it reached agreement with the UAW over essentially the same issue: the disparity between wages earned at Westmoreland, where assemblers made an average of $ 10.76 per hour, and those at domestic auto plants in Detroit, where GM and Ford assemblers made an average of $ 11.42 per hour. Volkswagen settled

608-777: A "premium" marque, Volkswagen often introduces new technologies in Audi-branded cars before fitting them to mainstream products (such as the Direct-Shift Gearbox ). In production, platform sharing is used extensively, with the modular MQB platform underpinning a range of vehicles from the Audi A1 to the Volkswagen Atlas . The previous D platform of the 2000s was used for the Volkswagen Phaeton and Bentley Continental GT (built in steel) and

760-523: A 1983 discrimination suit with the United Auto Workers to settle claims that they discriminated against black employees at Westmoreland Assembly. Plaintiffs had sought $ 70 million when filing suit, charging that management had initiated or tolerated "a pattern and practice" of limited hirings and promotions of blacks, that blacks were also subject to arbitrary firings and demotions and that the company openly allowed racial insults and threats in

912-632: A Chrysler interior. For the 1989 model year, Toyota and Nissan introduced the Lexus and Infiniti luxury brands in the United States (following the Acura luxury brand of Honda) with the all-new Lexus LS400 and Infiniti Q45 full-size sedans. Both brands expanded their model line for 1990, sourcing an existing model line from the Japanese market to rebrand as an entry-level offering. The Lexus ES250

1064-470: A Chrysler powertrain, the Routan received its own styling and content features as well as a standard "sportier suspension and steering". In Japan, automobile manufacturers differed in the marketing of their product ranges. In contrast to marketing a single vehicle under multiple brand names (with minor changes to exterior bodywork), Japanese manufacturers marketed vehicles through multiple sales networks, with

1216-732: A Japanese-market Toyota (Toyota Vista/Windom) and its chassis and engine with the Camry, the ES300 shared no resemblance to the American-market Camry. Infiniti moved away from a two-door coupe entirely, replacing the M30 with the four-door J30 ( Nissan Leopard J Ferie in Japan). American Motors American Motors Corporation ( AMC ; commonly referred to as American Motors ) was an American automobile manufacturing company formed by

1368-540: A bother some decline" actually began falling behind in share of sales. Moreover, a new line of redesigned cars in the full and mid-sized markets was launched in the fall of 1966. The cars won acclaim for their fluid styling, and Abernethy's ideas did work as Ambassador sales increased significantly. However, the dated designs of the Rambler Americans hurt its sales, which offset gains from Ambassador sales. There were quality control problems with introducing

1520-608: A building with worker facilities and a metallurgy, plastic, rubber, and electrical testing lab, a building with a paint lab as well as durability and emissions testing and a rail yard. VWoA purchased the site with a $ 40 million loan from the state of Pennsylvania and then invested about $ 250 million to ready the factory for assembly. In the richest corporate deal to date in Pennsylvania history, state and local officials offered VWoA an incentive package worth nearly $ 100 million in government assistance, highway and rail improvements and

1672-612: A car through each brand; for example, the Chevrolet Tahoe, GMC Yukon, and Cadillac Escalade each share a common body. In another example, the same model is rebadged when it is sold in different regions and markets. In Australia, during the 1980s and 1990s, the Button car plan required imported Nissans and Toyotas to adopt Ford and Holden (GM) nameplates. In the United Kingdom, Opel-produced vehicles are marketed under

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1824-707: A common platform to produce the American version of the Odyssey minivan, also underpinning the Honda Pilot and Honda Passport SUVs, the Acura MDX CUV, and the Honda Ridgeline mid-size pickup truck. Although intended to save development costs by spreading design and research costs over several vehicles, rebadging can also become problematic if not implemented properly. Using multiple car brands under

1976-499: A consultant and he took a seat on the board of directors . Nash's George W. Mason became president and CEO. Mason, the architect of the merger, believed that the survival of the U.S.'s remaining independent automakers depended on their joining to form one multiple-brand company capable of challenging the Big Three as an equal. The "frantic 1953–54 Ford/GM price war" devastated the remaining "independent" automakers. The reasons for

2128-506: A decade before the Big Three offered them as options. Bendix disc brakes were made standard on the Marlin and optional on other models in 1965. This made the Marlin one of the first modern American cars with standard disc brakes, while the Big Three did not offer them until the early 1970s on most of their models to meet Federal Motor Vehicle Safety Standards . In the early part of the decade, sales were strong, thanks in no small part to

2280-739: A distinct vehicle being sold under various model nameplates (from a single manufacturer). Toyota marketed the Corolla in Japan exclusively at Toyota Corolla Store locations; at Toyota Auto Store locations, it was named the Toyota Sprinter . Nissan sold the Nissan Cedric through its Nissan Bluebird Store network, with the identical Nissan Gloria through the Nissan Prince Store network. Honda previously marketed

2432-561: A five-passenger interior. Coinciding with the 1998 Daimler-Chrysler merger, the Eagle brand was discontinued; the singular Jeep brand was integrated as part of Chrysler or Dodge dealership networks. The Chrysler 300M was originally developed as a second generation of the Eagle Vision; following the discontinuation of Eagle, the vehicle continued into production as a Chrysler model, adopting a slightly restyled grille, Chrysler badging, and

2584-468: A foreign automotive company in the US) that the UAW had succeeded in representing, and that the plant "began with a strike and lurched from problem to problem before closing" From the outset, minorities picketed the site, seeking fair treatment in the hiring process and by its first 20 months of operation, workers had staged six walkouts. On October 13, 1978, six months after the plant opened, UAW workers staged

2736-471: A full-sized Ford or Chevy. There was only an absence of largest-sized cars from the American Motors lineup in 1963 and 1964 The first cars bearing his signature were the 1965 models. The 1965 models were a major makeover of the new platform that had just been introduced in 1963. These were a longer Ambassador series and new convertibles for the larger models. During mid-year, a fastback , called

2888-471: A full-sized car in 1974 and was discontinued after the 1974 model year, leaving only the Matador as American Motors' full-size offering. Nash and American Motors made Ambassadors from 1927 through 1974, the longest use of the same model name for any American Motors product and, at the time, the longest continuously used nameplate in the industry. In 1974, the first-generation Matador two-door hardtop, known as

3040-459: A joint research effort to consider producing an electric car that was to be powered by a "self-charging" battery. Sonotone had the technology for making sintered plate nickel–cadmium batteries that can be recharged very rapidly and are lighter than a typical automobile lead–acid battery . In 1959, American Motors hired designer Dick Teague, who had previously worked for General Motors , Packard , and Chrysler ; after Edmund E. Anderson left

3192-541: A joint venture with a local manufacturer to manufacture automobiles in the country. Prior to 2022, the Chinese government dictates that no more than two joint ventures are allowed for each foreign investor. Larger foreign manufacturers often set up two joint ventures to maximize the market reach, including Toyota ( FAW Toyota and GAC Toyota ), Ford (JMC-Ford and Changan Ford ), Volkswagen ( SAIC-VW and FAW-VW ) and Honda ( Dongfeng Honda and Guangqi Honda ). To distribute

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3344-501: A model to carry over to its rebadged model counterparts. Through the 2000s, the American Big Three automakers reduced their brand footprint by closing or selling underperforming brands. After 2001, Chrysler discontinued its Plymouth brand (following the closure of Eagle in 1998). In response to the late 2000s recession, Ford ended its ownership of Jaguar , Land Rover , Aston Martin , and Volvo Cars ; in 2010, Mercury

3496-411: A new model or brand (at high cost or risk), a manufacturer creates a distinct automobile by applying a new "badge" or trademark (brand, logo, or manufacturer's name/make/marque) to an existing product line. Rebadging is also known as rebranding and badge engineering ; the latter is an intentionally ironic misnomer in that little or no actual engineering takes place. The term originated with

3648-449: A plain brown wrapper, instead of the previous year's glossy cover. A completely new design was also slated for the larger 1967 models. This strategy added $ 60 million in retooling costs, a significant stretch for the company. The latest models shared fewer parts and were more expensive to build. Abernethy continued his objective to position the new Rebel and Ambassador designs on an equal basis with competitive economy models marketed by

3800-557: A property-tax exemption. VW subsequently purchased an American Motors stamping plant in South Charleston, West Virginia , investing further to make the factory capable of producing exterior sheet metal stampings for Westmoreland and then purchased a small plant in Fort Worth, Texas for manufacture of the air-conditioning and heating systems and plastic-trim to facilitate integration of factory installed air-conditioning in

3952-438: A refusal to participate in the Big Three's restyling race. This cost-control policy helped Rambler develop a reputation for building solid economy cars. Company officials were confident in the changing market and in 1959 announced a $ 10 million (US$ 104,520,548 in 2016 dollars ) expansion of its Kenosha complex (to increase annual straight-time capacity from 300,000 to 440,000 cars). A letter to shareholders in 1959 claimed that

4104-408: A result, 1958 became AMC's first year of profitability since its formation, with $ 28 million in earnings. The Nash and Hudson brands were dropped, and Rambler became a marque in its own right and the mainstay of the company. The popular British-built Metropolitan subcompact continued as a standalone brand until it was discontinued in 1961. The prototype 1958 Nash Ambassador / Hudson Hornet , built on

4256-587: A revised version of their product through an OEM deal, as with Volkswagen marketing a modified version of the Dodge Caravan and Chrysler Town and Country minivans as the Volkswagen Routan (2009–2014). Another example was the joint venture of Mitsubishi and Chrysler that resulted in vehicles produced by Diamond-Star Motors that were marketed under various nameplates from 1985 until 1993. In China, foreign manufacturers were required to form

4408-490: A sedan and a wagon, for use in his popular television series Adam-12 , increasing the cars' public profile. Matadors saw fleet use as taxis, government, police, and fire vehicles in some states. In 1973, American Motors signed a licensing agreement with Curtiss-Wright to build Wankel engines for cars and Jeeps. Starting in 1974, the Matador sedan and station wagon were mildly refreshed, with new boxier front and rear ends, making it full-sized. This second-generation model

4560-709: A sedan, hatchback, or SUV/CUV body designs. Automotive industry rebadging can be compared with white-label products in other consumer goods industries, such as consumer electronics and power tools . The first case of badge engineering appeared in 1917 with the Texan automobile assembled in Fort Worth, Texas, that made use of Elcar bodies made in Elkhart, Indiana. "Probably the industry's first example of one car becoming another" occurred in 1926 when Nash Motors ' newly introduced smaller-sized Ajax models were discontinued in 1926 after over 22,000 Ajax cars were sold during

4712-571: A shared appearance; Cadillac Eldorado Seville , Buick Limited Riviera , Oldsmobile Starfire 98 , Pontiac Bonneville Catalina , and the Chevrolet Bel-Air Impala . A later example was Wolseley Motors after it was bought out by William Morris . After World War I , "Wolseley started to lose its identity and eventually succumbed to badge engineering." This was repeated with the consolidation of Austin Motor Company and

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4864-409: A single-parent manufacturer can significantly increase selling costs, as each model line must be marketed separately, requiring a distinct dealership network. Inappropriate use of rebadging can also hurt overall sales by resulting in "cannibalism" between two or more brands owned by the same company by failing to develop a distinct image for each brand or by allowing the market failure of one version of

5016-596: A singular GM brand. As an exception, Cadillac offers division-exclusive engines (the Northstar and Blackwing V8 engine families). In 1981, GM lost a 1977 lawsuit related to consumers (who purchased 1977 Oldsmobile Delta 88s equipped with a 350 cu in (5.7 L) Chevrolet small-block engine instead of the 350 cu in (5.7 L) Oldsmobile V8 engine ). At the time of production, GM had downsized its full-size model lines in preparation for another oil crisis and had increased production of V6 engines as

5168-438: A stretched Rambler platform, was renamed at the last minute as "Ambassador by Rambler". To round out the model line, American Motors reintroduced the previous 1955, 100 in (2,540 mm) wheelbase Nash Rambler as the new Rambler American with only a few modifications. This gave Rambler a compact lineup that included the reintroduced American, the 108 in (2,743 mm) wheelbase Rambler Six and Rebel V8 , as well as

5320-660: A time, both the Hornet and Gremlin could be ordered with Levi's denim interiors. The new facelifted, mid-sized AMC Matador replaced the Rebel in 1971, using an advertising campaign that asked, "What's a Matador?" In 1972, American Motors won the tender for Los Angeles Police Department cruisers, and Matadors were used by the department from 1972 until 1975, replacing the Plymouth Satellite . American Motors supplied Mark VII Limited owner Jack Webb with two Matadors,

5472-454: A waste water treatment system. Richard S. Cummins, the plant manager, described the inside of the largest unfinished building with 2.1 million square feet, as a "three-dimensional chess-board covering an area of over 37 football fields." Land was graded for a new railway spur, and underground holding tanks constructed for the various fluids to be pumped into the building. The complex included several two-story buildings: an administration building,

5624-582: A week after Mason's death, Romney announced "there are no mergers under way either directly or indirectly." Romney agreed with Mason's commitment to buy S-P products. Mason and Nance had agreed that S-P would endeavor to purchase parts from American Motors in return, but S-P did not do so. As the Packard engines and transmissions were comparatively expensive, American Motors began development of its own V8 . American Motors also spent US$ 40 million developing its Double Safe Single Unit monocoque , which debuted in

5776-638: Is "to spread the huge development costs of a new vehicle over as many cars as possible". An example is General Motors' rebadging of the Camaro as the Firebird , a successful model from the 1960s through to the 2000s. In most cases, consumers are interested in each brand's focus "on the unique elements of styling and driving characteristics". Some cars would not be marketed without the cost savings that are obtained from this practice, and carmakers can develop many "different models – all wearing different badges – off

5928-612: Is a four-door sedan derived from the V20 Toyota Camry. Though visibly similar to the Camry introduced for 1987, the ES250 was a rebranded Toyota Camry Prominent/Vista ; a model developed for Japan, the Prominent/Vista (dependent on sales network) is a four-door pillared hardtop sedan with a slightly lower roofline and restyled body panels. Along with the change to left-hand drive, the ES250 adopted an interior similar to

6080-477: Is amortized tooling costs, which means the vehicle can be produced at a higher margin of profit (or a lower price, or both). Badge engineering occurs in the luxury -type market segments. An automobile manufacturer will use a model from its mainstream brand as a basis for a model under a premium marque by upgrading its features, technology, and/or styling. Along with visible cosmetic differences, premium models may also receive upgraded drivetrains. An example of this

6232-778: Is that Ford Motor Company marketed its mainstream Ford Fusion mid-size sedan as the Lincoln MKZ ; the Ford Expedition SUV is sold as the Lincoln Navigator . A more controversial example was the Aston Martin Cygnet , a rebadged version of the Toyota iQ city car (intended to comply with EU emissions regulations). While fitted with model-specific trim and a luggage set, the Cygnet nearly tripled

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6384-650: Is when two separate manufacturers trade products, filling gaps in their respective product lineups. During the 1990s, Honda and Isuzu entered into such an agreement, with Isuzu marketing the first-generation Honda Odyssey as the Isuzu Oasis as its first minivan. In return, Honda received the Isuzu Rodeo and Isuzu Trooper SUVs, which became the Honda Passport and Acura SLX ; the agreement allowed both Honda and Isuzu to enter new vehicle segments without

6536-603: Is where you really see the Americanization of the Rabbit, the interior is comfortable but puffy. In fact, it's downright tacky" – adding that the side marker lights on the Rabbit looked as if they "came off a kids bike." USA Today , in 2010 described the Americanization of the Rabbit from Westmoreland: " Malibu-ing the Rabbit was the dismissive comment at the time, a reference to a soft-riding Chevy model unloved by fans of German makes." Management at Volkswagen of America

6688-613: The 1973 oil crisis , General Motors expanded fuel-efficient offerings beyond its Chevrolet division, reintroducing compact cars to its Buick, Oldsmobile, and Pontiac brands. Derived from the X-platform Chevrolet Nova , the Pontiac Ventura was introduced for the 1971 model year, with the Buick Apollo and Oldsmobile Omega introduced for 1973. These four X-platform vehicles (also known as N-O-V-A from

6840-711: The Audi A8 (built in aluminum). In the Japanese automotive industry, platform sharing has expanded model offerings in North America. While the initial Lexus LS was developed specifically for the American market, the later Lexus ES has shared a platform (but not a body) with the Toyota Camry (since 2013, the Toyota Avalon , itself also based on the Camry). Exclusive primarily to North America, Honda uses

6992-539: The Corporation for Enterprise Development , a Washington economic think tank, estimated that "taxpayers were left with more than $ 70 million in incentives and loans used to lure (Westmoreland Assembly), whose promise never fully materialized." As of 2010, the 2,000,000 square feet (190,000 m) plant remained idle, the largest block of commercial space available in Western Pennsylvania. As of 2014,

7144-682: The Ford Fusion ; as part of its 2013 redesign, no other exterior panels); Cadillac rebranded the Opel Omega B as the Cadillac Catera as its first mid-size car, but replaced it, eventually moving towards platform sharing with other divisions. From 1982 until 1986, the front-wheel drive A platform underpinned the Chevrolet Celebrity , Cutlass Ciera , Pontiac 6000 , and Buick Century . As part of their legacy,

7296-793: The Honda Accord through multiple sales networks, marketing the Accord through the Honda Clio network and renaming it as the Honda Vigor for Honda Verno locations (conversely, the Vigor was renamed the Honda Inspire for the Clio network). The practice of producing multiple versions of the same vehicle would eventually lead to distinct vehicles produced for export. In North America,

7448-553: The Hornet range of compact cars. The Hornet and the later Gremlin shared platforms . The Gremlin, the first North American-built subcompact, sold more than 670,000 units from 1970 through 1978. The Hornet became American Motors' best-selling passenger car since the Rambler Classic, with more than 860,000 units sold when production ended in 1977. The Hornet platform continued to be built under various models through 1987. For

7600-535: The Marlin , was added. It competed directly with cars like the Dodge Charger , but AMC's "family-sized" fastback emphasized personal-luxury . The continuing quest "in the business world's toughest race – the grinding contest against the Big Three automobile makers" also meant annual styling changes requiring large expenditures. American Motors's management total confidence "that the new 1965 models would stem

7752-452: The Nash Rambler in 1950, Hornet , Gremlin , and Pacer ; intermediate and full-sized cars , including the Ambassador , Rambler Classic , Rebel , and Matador ; muscle cars , including the Marlin , AMX , and Javelin ; and early four-wheel drive variants of the Eagle and the Jeep Wagoneer , the first true crossovers in the U.S. market. Regarded as "a small company deft enough to exploit special market segments left untended by

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7904-427: The Nuffield Organization (parent company of Morris Motors ) to form the British Motor Corporation (BMC). The rationalization of production to gain efficiencies "did not extend to marketing", and each "model was adapted, by variation in trim and accessories, to appeal to customer loyalties for whom the badge denoting the company of origin was an important selling advantage ... 'Badge Engineering', as it became known,

8056-466: The Toyota Sprinter / Chevrolet Prizm , and later the Toyota Matrix / Pontiac Vibe . In another agreement, Ford and Nissan developed and produced the Mercury Villager and Nissan Quest minivans from 1993 through 2002. Another example was the cooperative work between Volkswagen and Ford to develop the VW Sharan , Ford Galaxy , and SEAT Alhambra . Badge engineering may occur when one company allows another, otherwise unaffiliated, company to market

8208-429: The Volkswagen Jetta (A2) for over 30 years and contributing to the explosion of the Chinese auto market. Machinery, tools and facilities including production facilities for the presses used in the South Charleston plant were transferred to Puebla. Unverified reports suggest the stamping dies for the Rabbit and Rabbit Pickup may have been used to start Volkswagen Caddy and Citi Golf production in South Africa. VWoA sold

8360-436: The Yusheng S330 developed by Jiangling Motors (JMC) . Badge engineering could be used as a strategy to lengthen the life cycle of a vehicle. After a product has reached the end of its life cycle, it may be transferred to another brand, mostly from the same holding company or joint venture. Examples include the SEAT Exeo , a rebadged Audi A4 B7 with reworked styling, which was built in Spain from used production tooling from

8512-522: The merger of Nash-Kelvinator Corporation and Hudson Motor Car Company on May 1, 1954. At the time, it was the largest corporate merger in U.S. history. American Motors' most similar competitors were those automakers that held similar annual sales levels, such as Studebaker , Packard , Kaiser Motors , and Willys-Overland . Their largest competitors were the Big Three — Ford , General Motors , and Chrysler . American Motors' production line included small cars —the Rambler American , which began as

8664-406: The "Big Three" introduced ever-larger cars, American Motors followed a "dinosaur-fighter" strategy. George W. Romney 's leadership focused the company on the compact car, a fuel-efficient vehicle 20 years before there was a real need for them. This gave Romney a high profile in the media. Two core strategic factors came into play: (1) the use of shared components in American Motors products and (2)

8816-979: The "flying brick" due to its poor aerodynamics in NASCAR competition, was replaced with a sleek, smoothly shaped, and radically styled two-door coupe. The model received praise for its design, including "Best Styled Car of 1974" by Car and Driver magazine, customer satisfaction, and sold almost 100,000 coupes over five years. The Matador Coupe shared few components with the Matador sedan and station wagon other than suspension, drive train, some trim, and interior parts. In 1974, American Motors's AM General subsidiary began building urban transit buses in cooperation with Flyer Industries of Winnipeg , Manitoba. A total of 5,431 Metropolitan buses, including 219 electric trolley buses , were built before production ceased in 1979. Production of diesel buses had ceased in 1978, with only trolley bus production taking place in 1979. The AMC Pacer , an innovative all-new model introduced in March 1975 and marketed as "the first wide small car",

8968-617: The ( NASCAR ) champion during the early 1950s; the Wasp now used the former engine of the Hudson Jet. The Nash Ambassador and Statesman continued with overhead- valve and L-head sixes, respectively. Hudson and Nash cars had different front suspensions. Trunk lids were interchangeable, but other body panels, rear window glass, dash panels, and braking systems differed. The Hudson Hornet, Wasp, and their Nash counterparts had improved ride, visibility, and fuel economy because of their lighter unitized Nash body. The larger Nash and Hudson range did not sell well, and AMC lost money each year. Dismayed with

9120-430: The 117 in (2,972 mm) wheelbase Ambassador. Sales of Ramblers soared in the late 1950s partly because of American Motors' focus on the compact car and its marketing efforts. These included sponsoring the hugely popular Walt Disney anthology television series and as an exhibitor at the Disneyland theme park in Anaheim, California. George Romney himself pitched the Rambler product in television commercials. While

9272-448: The 1956 model year. In mid-1956, the 352 cu in (5.8 L) Packard V8 and TwinUltramatic transmission were phased out and replaced by American Motors's new V8 and by GM Hydra-Matic and Borg-Warner transmissions. American Motors combined the Nash and Hudson product lines under a common manufacturing strategy in 1955, with the production of Nashes and Hudsons consolidated at the Nash plant in Kenosha. The Detroit Hudson plant

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9424-444: The 1968 model year cars, which required a neutral position between reverse and drive, while General Motors still offered a shift selector that had reverse immediately next to low gear (PNDSLR) well into the 1960s. Unique in the U. S. automotive industry, American Motors offered adjustable front seat backrests from their Nash-origin, and in 1964, the Classic and Ambassador were equipped with standard dual reclining front seats nearly

9576-413: The 1973 oil crisis and to regain lost market share, both Cadillac and Lincoln introduced smaller vehicles for their brand. In one of the most controversial uses of rebranding in automotive history, both vehicles were derived from smaller GM and Ford divisional model ranges. For the 1977 model year, Lincoln released the Lincoln Versailles to match the debut of the Cadillac Seville . In contrast with

9728-415: The 1976 Pontiac Sunbird . Similarly, to the X-body vehicles, the H-body subcompacts shared common bodies across all four divisions with differing grille, lamp, and body trim variations. Prior to 1981, the majority of General Motors vehicles were produced with engines designed by their respective divisions. From 1981 onward, GM ended its policy of divisionally-developed engines, instead offering engines under

9880-529: The 1980 model year. For 1982, Cadillac released the Cadillac Cimarron to compete against compact European-brand executive sedans . The smallest Cadillac produced since the 1900s, the Cimarron used the chassis of the GM J-body four-door sedan. Developed and brought to market less than a year before the J-body was released, Cadillac was left with almost no time to distinguish the Cimarron from its divisional counterparts from Chevrolet, Buick, Oldsmobile, and Pontiac. Though sharing nearly its entire exterior with

10032-415: The 1990s, GM advertising featured a disclaimer stating '"Oldsmobiles (or any other GM division) are equipped with engines manufactured by various GM divisions, subsidiaries and affiliates worldwide."' Prior to the mid-1970s, the American luxury brands Lincoln and Cadillac offered model lines consisting entirely of full-size two-door and four-door sedans and full-size personal luxury cars. At the beginning of

10184-473: The A-bodies became enormously popular – as well as synonymous with one of GM's most transparent examples of badge engineering : they were simultaneously presented, almost indistinguishably, on the 22 August 1983 cover of Forbes magazine as examples of genericized uniformity, embarrassing the company and ultimately prompting GM to recommit to design leadership. In 1987, Chrysler Corporation acquired American Motors Corporation (AMC) from Renault , leading to

10336-450: The A-pillar forward, the Ambassador was redesigned and stretched 7 inches (178 mm) to become the biggest ever, just as the 1973 Arab Oil Embargo sparked gasoline rationing across the nation. The additional length was due to a new front-end design and more substantial energy-absorbing bumpers required of all automobiles sold in the U.S. Sales of all large cars fell due to economic problems and rising gasoline prices. The Ambassador became

10488-469: The Audi plant in Ingolstadt after the A4 B7 production had ended. The tooling was dismantled from Ingolstadt and was sent to the SEAT manufacturing plant in Martorell , Spain, to be reinstalled. Another example is the Dongfeng Fengdu MX6, which was produced after the near-identical Nissan X-Trail (T31) production had ended, and the Maruti Suzuki Zen Estilo, which is based on the then-recently discontinued Suzuki MR Wagon . The advantage of this strategy

10640-532: The Bessemer–American Motors Corporation. The Nash-Kelvinator/Hudson deal was a straight stock transfer (three shares of Hudson listed at 11 + 1 ⁄ 8 , for two shares of American Motors and one share of Nash-Kelvinator listed at 17 + 3 ⁄ 8 , for one share of American Motors) and finalized in the spring of 1954, forming the fourth-biggest auto company in the U.S. with assets of US$ 355 million and more than $ 100 million in working capital . The new company retained Hudson CEO A.E. Barit as

10792-423: The Big Three. American Motors did not have their own electric car program as did the Big Three, and after some negotiation, a contract was drawn in 1967 with Gulton Industries to develop a new battery based on lithium and a speed controller designed by Victor Wouk. A nickel-cadmium battery powered 1969 Rambler station wagon demonstrated the power systems that according to the scientist was a "wonderful car". This

10944-795: The Breeze from the original CR-V , the Elysion from the Odyssey , the XR-V from the HR-V , and others. In other cases, foreign manufacturers may also rebadge a model developed by its partner, sometimes for exports to other markets. Examples include the second generation Chevrolet Captiva which is an export version of the Baojun 530 made by SAIC-GM-Wuling , or the Ford Territory , a reworked version of

11096-685: The Jeep range, Eagle was marketed towards consumers interested in imported vehicles. For 1992, the Eagle Vision full-size sedan replaced the Premier, becoming the first Eagle-brand vehicle developed by Chrysler. Positioned between the Dodge Intrepid and Chrysler Concorde, the Eagle Vision shared most exterior trim with the Concorde. It was the only Chrysler LH car offered exclusively with

11248-472: The M30 differed from the Leopard primarily in its steering wheel location. Intended largely as placeholder models, the ES250 and M30 were largely overshadowed by their companion flagship sedans. Following the end of the 1992 model year, both models were withdrawn (as their Japanese counterparts had ended their model cycles). For 1993, the ES250 was replaced by the ES300; while again sharing its body with

11400-518: The Pacer and Matador Coupe drained capital that might otherwise have been invested in updating the more popular Hornet and Gremlin lines so that toward the end of the 1970s, the company faced the growing energy crisis with aged products that were uncompetitive in hotly contested markets. However, "AMC used cars, as far back as 1967, had the advantage of good warranty coverage … so most owners were conscious of low-cost car maintenance … AMC units became some of

11552-506: The Pacer instead. The fuel economy was better than the expected rotary engine's, but the I6's gas mileage was relatively low in light of the new focus on energy efficiency. Also, as the Pacer shared few components other than the drivetrain with other American Motors cars, it was expensive to make, and the cost increased when sales fell steeply after the first two years. The Pacer line was discontinued in mid-1980. Development and production costs for

11704-575: The Rabbit for the 1983 model year, with all Rabbit models getting a retuned suspension with stiffer spring rates and revised shock valving. This, along with the North American introduction of the GTI, was part of efforts by new Volkswagen CEO (and former Volkswagen of America president) Carl Hahn and American Volkswagen brand leader Jim Fuller to de-Americanize the VW brand in the US. In some respects,

11856-779: The Seville (sharing its chassis underpinnings both the Chevrolet Nova and the Chevrolet Camaro), the Versailles shared nearly its entire body with the Mercury Monarch (itself a counterpart of the Ford Granada ); the model line also replaced the previous Mercury Grand Monarch Ghia . Outsold by the Seville nearly three-to-one, the Versailles sold far under sales predictions and was discontinued early in

12008-469: The Thanksgiving weekend in 1987, Volkswagen announced it would close Westmoreland Assembly and on July 14, 1988, VWoA closed the plant. Commenting on the US plant closings in a 1998 Volkswagen publication about the history of Volkswagen Mexico, Dr. Carl Hahn who was Chairman of Volkswagen AG at the time said "The transfer of vehicle production to Mexico was done not only because of production losses in

12160-802: The Toyota Sprinter was marketed as the Chevrolet Nova (and the Geo Prizm that replaced it). The Honda Vigor and Inspire were marketed as the Acura Vigor and TL; Nissan sold the Gloria in the United States as the Infiniti M45 . Two automakers can also pool resources by operating a joint venture to create a product and then selling each as their own. For example, General Motors and Toyota formed NUMMI . The vehicles produced from this venture (though not necessarily at NUMMI itself) included

12312-535: The U.S., but also with an eye to boosting sales in the US automotive market again through import to that country of low-cost vehicles made in Puebla... the decline of the US auto market had been foreseen for some time since the costs involved in US auto production were not competitive with European costs." After its closing, VWoA sold the welding line, tooling and other production equipment from Westmoreland Assembly to First Automotive Works of Changchun, China, producing

12464-582: The United States had ended, and its Canadian operations ceased in 1966. The "Big Three", plus the smaller American Motors, Kaiser Jeep , International Harvester , Avanti , and Checker companies were the remaining North American auto manufacturers. Abernethy believed that American Motors's reputation of building reliable, economical cars could translate into a new strategy that could follow AMC buyers as they traded into larger, more expensive vehicles. American Motors, in reality, had produced large cars throughout its history. The Rambler Ambassadors were as large as

12616-653: The Vauxhall brand; when sold in the United States, Opels were marketed as Saturns, Chevrolets, and Buicks. Conversely, the Australian Holden brand was never sold in North America, but the Holden Monaro and Holden Commodore were sold under the Pontiac (Pontiac GTO, Pontiac G8), Chevrolet (Chevrolet SS), and Buick (Buick Regal Sportback/Buick Regal TourX) nameplates. Another way badge engineering may occur

12768-544: The Westmoreland plant was "virtually outdated by the day it opened." A similar plant opened at the same time by Chrysler had far more automation and could produce half again as many cars as Westmoreland. VWoA's plant had to run at 85% of capacity to break even, rather than the projected 50% — which proved detrimental when Rabbit sales fell and VWoA had to begin offering rebates on a stock of unsold cars. The West Virginia stamping plant arrangement proved problematic. The plant

12920-562: The Westmoreland-manufactured cars. VWoA later purchased a former Chrysler missile plant in Sterling Heights, Michigan , to begin developing its second North American assembly plant. On April 10, 1978, VWoA dedicated Westmoreland Assembly by driving its first car off the line, a two-door white Rabbit (in Rabbit C or mid trim level, as with all the initial production) — which had actually been assembled

13072-749: The automotive industry. Alongside a shared chassis (though unibody construction is nearly universal in cars and many light trucks), platform sharing also standardizes components such as drivetrain, suspensions, components, and other technologies. General Motors used the B platform for many of its non-Cadillac full-size vehicles (nearly exclusively from 1959 through 1985), while Chrysler used its B platform for intermediates and its C platform for (non-Imperial) full-size cars. The Volkswagen Group uses platform sharing as its business strategy to improve its profitability and growth. For example, Audi uses components from their more pedestrian counterparts, sold as Volkswagen mass-market brands. As an effort to place Audi as

13224-446: The board of directors was met or exceeded, we launched on time and early. We were staying within budgets. We were actually making profits." As of 1979, Volkswagen was "extremely pleased with the quality and productivity" of Westmoreland Assembly. Prior to manufacturing the first car, VWoA conceded that Westmoreland "was a gamble in 'a problem market' marked by sluggish sales and intense competition from other small car makers." Changes to

13376-434: The brake system. Only Cadillac also included this safety feature six years before U.S. safety regulations required it on all cars. Rambler also was an early pioneer in offering an automatic shift indicator sequence (P R N D2 D1 L, where if one selected "D2", the car started in second gear, while "1" began in first gear) on its "Flash-O-Matic" transmission which is similar to today's "PRNDSL" shift pattern, made mandatory for

13528-485: The brand's inaugural year. The chairman and CEO of the company, Charles W. Nash , ordered that the Ajax models be marketed as the "Nash Light Six", Nash being a known and respected automobile brand. Production was stopped for two days so Nash emblems, hubcaps, and radiator shells could be exchanged on all unshipped Ajax cars. Conversion kits were also distributed at no charge to Ajax owners to transform their cars and protect

13680-513: The cars built in Pennsylvania wasn't up to the quality of the cars in Germany." An analyst for Global Insight , John Wolkonowicz, said the Rabbit was "probably the most troublesome Volkswagen ever built." For the assembly line, Volkswagen did not develop its own skill base for Westmoreland, instead bringing in workers from Detroit. 100 workers were brought in from Great Britain. A field of 40,000 applied for jobs at Westmoreland. No more than 20% of

13832-499: The cars' Germanic character were not well-received. Problems surfaced with the plant's economics as well as vehicle quality. Also, Westmoreland was beset with unionized labor problems. Neither buyers nor company executives in Germany were pleased with the Americanization of the Rabbit using a softer suspension, less expensive interior materials and decidedly un-Germanic color-keyed interiors. Popular Mechanics said "inside

13984-781: The company avoid international currency fluctuations and high German wages. After investigating five sites and narrowing the field to two alternate sites, a former Westinghouse appliance factory in Columbus, Ohio, and a federal tank plant in the Cleveland suburb of Brook Park, VWoA signed a 30-year lease on Chrysler's unfinished New Stanton plant originally constructed in 1969 on 1,200 acres (5 km) at Route 119 in East Huntingdon Township – just outside New Stanton, Pennsylvania . At Westmoreland, Volkswagen developed three major buildings, two minor buildings, and

14136-467: The company in 1961, Teague was named principal designer and in 1964, vice president. To stay competitive, American Motors produced a wide range of products during the 1960s and added innovations long before the "Big Three" introduced them. For example, the Rambler Classic was equipped with a standard tandem master cylinder in 1962 that provided stopping ability even if there was a failure in

14288-404: The company saw a $ 11.8 million loss. In response, Romney launched a massive public relations campaign, traveling 70,000 miles (112,654 kilometres) nationwide in 12 months. Romney spoke at union halls, dinners, churches, fairgrounds, and radio and TV stations. He was anywhere where he could get the word out about Rambler. Rambler sales took off in 1958, up 58.7%, and 425 new dealers were signed up. As

14440-464: The company to reach an agreement on August 26, 1961, with the United Auto Workers for a profit sharing plan that was new in the automobile industry. Its new three-year labor contract included generous annual improvement pay increases, and automatic cost-of-living raises. However, in 1962, Romney resigned to run for Governor of Michigan . His replacement was Roy Abernethy , American Motors' successful sales executive. By 1964, Studebaker production in

14592-438: The company's history of building small cars, which came into vogue in 1961. In both 1960 and 1961, Ramblers ranked in third place among U. S. automobile sales, up from third on the strength of small-car sales, even in the face of a lot of new competition. Romney's strategic focus was very successful, as reflected in the firm's healthy profits year after year. The company became completely debt-free. The financial success allowed

14744-604: The cost of engineering an all-new vehicle design (at the same time, in Europe, the Honda Crossroad was a rebadged Land Rover Discovery ). During the late 2000s and early 2010s, the Volkswagen Routan was a rebranded version of the Dodge Grand Caravan, supplied as Volkswagen sought to re-enter the North American minivan segment without the investment of federalizing its design. Assembled by Chrysler with

14896-537: The de-emphasis of the Rambler brand because he believed the public associated it too strongly with economy cars and that it was hindering the sale of American Motors' other models at a time when mid and luxury car sales were robust. As a result, he ordered that for 1966, the Ambassador and Marlin were to be badged purely as a product of American Motors. The strategy shift at first seemed to be working because sales of

15048-701: The decade's muscle car boom, most notably the AMX . At the same time, the Javelin served as the company's entrant into the sporty pony car market created by the Plymouth Barracuda and the Ford Mustang . Additional operating cash was derived in 1968 through the sale of Kelvinator Appliance, once one of the firm's core operating units. The Kelvinator divestiture left American Motors a downsized company solely manufacturing automobiles. The Rambler marque

15200-590: The decade, European automakers began to market their largest sedans as luxury vehicles in North America. Though the BMW Bavaria/3.0Si , Jaguar XJ6/XJ12 , and Mercedes-Benz S-Class (W116) were priced similar to the Cadillac Sedan de Ville and Lincoln Continental, the model lines were thousands of pounds lighter and multiple feet shorter in length (with only the hand-built Rolls-Royce Phantom V rivaling Lincoln and Cadillac in size). In response to both

15352-597: The exit of the latter company from the North American market. As part of the sale, Chrysler obtained the AMC dealership network, the AMC Eagle line of all-wheel drive cars, and the Jeep line of sport-utility vehicles and pickup trucks. For 1989, Chrysler established the Jeep-Eagle Division in a strategy to both focus on Jeep and offer specialty cars differentiated from the established Chrysler lines. Following

15504-510: The facility to the Commonwealth of Pennsylvania and the factory remained dormant for several years. In 1990, Sony announced it would begin manufacturing televisions at the site. The facility employed more than 3,000 people in the late 1990s. That number had dwindled to just 250 in 2007. On December 9, 2008, Ed Rendell , Governor of Pennsylvania, announced that Sony planned to close the facility. Automotive News reported in 2005, that

15656-539: The first letters of their model names) were produced with identical bodies with divisional differences marked only with specific grille, lamp, and body trim variations. To expand its footprint in the subcompact segment, the H-body Chevrolet Vega platform was used for the 1975 model year for newly styled variants sold as the Chevrolet Monza , Buick Skyhawk , and Oldsmobile Starfire followed by

15808-542: The four-door Chevrolet Cavalier, the Cimarron was priced nearly twice as high as its counterpart. Additionally, J-body vehicles from other divisions could be equipped nearly identically to the Cimarron for a lower cost. Though the model line closely matched its Buick Skyhawk and Oldsmobile Firenza counterparts in sales, the Cimarron was discontinued following the 1988 model year. Though the Lincoln Versailles

15960-400: The giants", American Motors was widely known for the design work of chief stylist Dick Teague , who "had to make do with a much tighter budget than his counterparts at Detroit's Big Three", but "had a knack for making the most of his employer's investment". After periods of intermittent independent success, Renault acquired a significant interest in American Motors in 1979, and the company

16112-585: The iconic Jeep brand of light trucks and SUVs, as well as Kaiser-Jeep's government contracts – notably the M151 line of military Jeeps and the DJ-Series postal Jeeps. American Motors also expanded its international network. The military and special products business was reconstituted as "American Motors General Products Division", later reorganized as AM General . In 1970, American Motors consolidated all passenger cars under one distinct brand identity and debuted

16264-438: The intended standard engine, underestimating consumer demand for Oldsmobile V8 engines. To accommodate the increased market demand, nearly 60% of Delta 88s were equipped with a Chevrolet 5.7 L V8 for 1977. The lawsuit was filed by the state of Illinois, claiming GM falsely advertised the vehicles. In 1981, GM settled the lawsuit with the vehicle buyers and discontinued their company-unique policy of division-specific engines. Into

16416-422: The introduction of new compact cars by American Motors' large domestic competitors (for the 1960 model year) "signals the end of big-car domination in the U.S." and that American Motors predicts small-car sales in the U.S. may reach three million units by 1963. American Motors was also beginning to experiment with non-gasoline-powered automobiles. On April 1, 1959, American Motors and Sonotone Corporation announced

16568-492: The investment they had made in purchasing an automobile made by Nash. Starting with the beginning of General Motors in 1909, chassis and platforms were shared with all brands. GMC , which historically was a truck builder, began to offer its products branded as Chevrolet , and vehicles produced by GM were built on common platforms shared with Chevrolet, Oakland , Oldsmobile , Buick , and Cadillac . Exterior appearances were gradually upgraded between these vehicle brands. This

16720-591: The larger LS (along with similarly styled wheels and taillamps). The Infiniti M30 is a two-door notchback coupe derived from the Nissan Leopard (a model never sold in North America). Along with the coupe, Infiniti sold the M30 as a two-door convertible (converted in the United States). With the exception of its badging and its dashboard (sourced from the left-hand drive Nissan Skyline ),

16872-401: The largest incentive package the Commonwealth of Pennsylvania had ever offered, the factory had an estimated annual capacity of 240,000 cars, and reached production of 200,000 in 1980. Engines and drivetrains for Westmoreland production were sourced from Germany. Employment, projected at 20,000, reached its highest level in mid-1981 at 6,000 and by 1984 had dropped to 1,500. Initially the plant

17024-416: The last Rabbit model at Westmoreland on June 15, 1984, a white, two-door, fuel-injected, five-speed manual transmission Wolfsburg Edition Rabbit after spending about $ 200 million to retool the plant for the slightly larger and more powerful second generation Golf model. Tim Moran, writing for Automotive News in 2005, said the styling of the main product became too old, the fuel crisis had eased, Wolfsburg

17176-624: The last five years of its operation. Sales of Volkswagen's US-built cars plummeted by nearly 60% between 1980 and 1985. Japanese manufacturers soon followed VWoA's presence in the US – achieving success but having non-unionized plants including Honda at their Marysville, Ohio, plant and Toyota at their Georgetown, Kentucky, plant . By the early 1980s, Volkswagen began retreating from manufacturing in North America, selling another assembly plant it had begun developing and two ancillary plants to Westmoreland in West Virginia and Texas. With

17328-495: The merger between Nash and Hudson included helping cut costs and strengthen their sales organizations to meet the intense competition expected from autos' Big Three. One quick result from the merger was the doubling up with Nash on purchasing and production, allowing Hudson to cut prices an average of $ 155 on the Wasp line, and up to $ 204 on the more expensive Hornet models. After the merger, AMC had its first profitable quarter during

17480-557: The moon, saying "this may be one small step for America, but it is a giant step for Volkswagen." According to Richard Dauch , who was general manufacturing manager for Volkswagen Manufacturing of America from 1976 to 1978, "within 18 months, from 1976 until April 10, 1978, we had production, excellent quality with no product recalls, over 1,000 (completed cars) a day within two months of launch, two-door, four-door, diesel, K-Jetronic (fuel injection), 10 different body colors, four different interiors. And in that period, every single goal set by

17632-409: The new 320 cu in (5.2 L) Packard V8 engine and Packard's Ultramatic automatic transmission available to American Motors for its 1955 Nash Ambassador and Hudson Hornet models. When Mason died in 1954, George W. Romney succeeded him. Ironically, Romney had once been offered Nance's job. In 1948, Romney received offers from Packard for the post of chief operating officer and from Nash for

17784-582: The new corporate logo. However, "American Motors" and "AMC" were used interchangeably in corporate literature well into the 1980s. The branding issue was further complicated when the company's Eagle all-wheel drive passenger cars were marketed as the American Eagle in the 1980s. In the late 1960s, Kaiser Industries Corporation decided to leave the automotive industry and sought a buyer for its money-losing Kaiser Jeep division. American Motors' vice president for manufacturing, Gerald C. Meyers , headed

17936-588: The new full-sized cars and persistent rumors of the company's demise because of its precarious cash flow. Consumer Reports ' negative ratings for American Motors' safety did not help. During this time, AMC's international sales were expanding. From only 18,000 cars five years ago, the 1965 model year AMC sold 74,420 vehicles in Canada, Europe, and Latin America. AMC remained the most significant U.S. seller of autos in both France and Germany. Abernethy also called for

18088-460: The number two position in the company. Although the Packard offer would have paid more, Romney decided to work under Mason because he thought Nash had a brighter future. Studebaker-Packard president James Nance refused to consider merging with American Motors unless he could take the top position (Mason and Nance were former competitors as heads of the Kelvinator and Hotpoint , respectively), and

18240-407: The one platform". In several countries including Japan, manufacturers often use the phrase " OEM supply" or "OEM-supplied" to denote vehicles that are a rebadged model from or for other manufacturers. Although platform sharing can often involve rebadging and rebranding, it can extend further, as the design may be used across multiple configurations. For example, a single platform may underpin

18392-511: The plant operating at 40% capacity and annual losses of $ 120 million, Volkswagen closed Westmoreland Assembly on July 14, 1988. Volkswagen later expanded production of cars in Puebla, Mexico, and in 2011 inaugurated its Chattanooga Assembly Plant . The Westmoreland plant was subsequently used by Sony in the production of televisions from 1990 to 2008, as the Sony Technology Center-Pittsburgh (STCP). As of 2014,

18544-400: The practice of replacing an automobile's emblems to create an ostensibly new model sold by a different maker. Changes may be confined to swapping badges and emblems, or may encompass minor styling differences, as with cosmetic changes to headlights , taillights, front and rear fascias , and even outer body skins. More extreme examples involve differing engines and drivetrains . The objective

18696-533: The price of the iQ. Alternatively, VW Group under Ferdinand Piëch used the reverse of this in some circumstances, engineering the more luxurious model first and then remove features for models from less prestigious marques. Examples include the Lamborghini Gallardo / Audi R8 and the Audi A4 / Volkswagen Passat . Along with rebadging and badge engineering, platform sharing is common throughout

18848-717: The production and sales rights to each joint venture, manufacturers often resort to a similar strategy deployed in Japan: simply producing the exact model under two different names with minor changes to exterior bodywork. GAC Toyota has produced the Levin as a twin model to the FAW Toyota-built Corolla and the Wildlander as the alternative to the RAV4 . Honda awarded several models to two joint ventures, which spawned

19000-409: The redesigned 1965 and 1966 Ambassadors improved, even as AMC's overall production decreased from the record level achieved in 1963. However, corporate earnings per share were a meager 27 cents per share, the lowest since AMC made its famous compact car comeback in 1958. Investors received a message of the changing fortune of the automaker when the company's 1966 annual financial report was delivered in

19152-400: The regional Big Threes of the United States, Europe, and Japan) owns a portfolio of different brands and markets the same car under different brands and nameplates. The practice is used for multiple reasons. In one example, a company may do so to expand its range of different brands in a market without the cost of developing completely new models. In the United States, General Motors may sell

19304-504: The results, Romney decided in 1956 that the company's future lay with the compact Rambler line. Romney halted production on the new large cars and focused entirely on the new Rambler Six and V8 introducing them in 1956, despite being scheduled for a 1957 release. Sales of the new Ramblers were poor, and sales of the Hudson and Nash models were almost non-existent, resulting in a $ 31.7 million operating loss for 1956. Sales improved in 1957, but

19456-497: The retirement of the AMC Eagle Wagon in early 1988 (derived from the 1971 AMC Hornet), Eagle established its product line with the introduction of the 1988 Premier and Medallion (developed by Renault prior to the sale of AMC). To expand the product range beyond the two sedans, Chrysler sourced vehicles from Mitsubishi, introducing the 1989 Summit (Dodge/Plymouth Colt) and 1990 Talon (Mitsubishi Eclipse). In contrast to

19608-505: The second three months of 1955, earning $ 1,592,307, compared to a loss of $ 3,848,667 during the same period in the previous year. Mason also entered into informal discussions with James J. Nance of Packard to outline his strategic vision . Interim plans were made for American Motors to buy Packard Ultramatic automatic transmissions and Packard V8 engines for certain American Motors products. In July 1954, Packard acquired Studebaker . The new Studebaker-Packard Corporation (S-P) made

19760-530: The site is marketed as RIDC Westmoreland and is owned by RIDC , the Regional Industrial Development Corporation of Southwestern Pennsylvania. Prior to development of Westmoreland Assembly, Volkswagen of America was headed by James W. (Jim) McLernon , a former Chevrolet manufacturing chief. Toni Schmücker , VW management board Chairman, selected McLernon to investigate feasibility of US production, in part to help

19912-506: The site is promoted as RIDC Westmoreland, and is owned by RIDC , the Regional Industrial Development Corporation of Southwestern Pennsylvania. As of the beginning of 2014, the site is being used by Aquion Energy to produce large rechargeable batteries for renewable energy systems. In 1988, Volkswagen spent $ 1 billion to expand operations in Puebla, Mexico, to build Golfs and Jettas. Twenty-three years after closing Westmoreland, Volkswagen inaugurated its new Chattanooga Assembly Plant in

20064-492: The team sent to evaluate Kaiser's Jeep factories. Although opposed by AMC's top management, Chapin made a significant decision in February 1970 to purchase Kaiser Jeep for $ 70 million. Although it was a gamble, Chapin believed Jeep vehicles would complement American Motors' passenger car business. The Jeep market was also a market in which the Big Three had no presence, and therefore there was no competition. American Motors gained

20216-434: The week before and was shipped after the plant dedication to Volkswagen's Wolfsburg headquarters for its museum. Toni Schmücker , Richard E Dauch , James McLernon , U.S. Treasury Secretary Michael Blumenthal , Pennsylvania Governor Milton Shapp and 1,200 employees were on hand the day the first car came off of the line. In his remarks, Schmücker, CEO of Volkswagen AG, paraphrased Neil Armstrong remarks when stepping onto

20368-410: The workers had ever worked for an automobile manufacturer, and the average age of workers was 24-26; at the time this was considered a demographic that was "independent and militant." VWoA chose employees not by skills, but by how long they had been unemployed. The plant was organized by the United Auto Workers ; a 1992 New York Times article described it as the only "transplant" factory (a factory of

20520-872: The workplace. Volkswagen of America Inc. denied the charges and later settled the case in 1989, paying 800 plaintiffs $ 670,000 and the United Auto Workers $ 48,000. The most prominent black executive at the Westmoreland factory and spokesman for the "VW Black Caucus" committed suicide, bringing further notoriety to the suit. Sales of the VWoA models built at Westmoreland dipped "as gas prices fell and consumer preference shifted to larger models," dropping by nearly 60% between 1980 and 1985. VW dealer defections became common. In 1983, Volkswagen and Chrysler entered discussions about joint-venturing at Westmoreland. The Detroit Free Press had earlier reported that Chrysler would take over VWoA's assembly operations. VWoA built

20672-736: The year before Tax Credits and deferred Tax Assets. By this time the board had lost confidence in Abernethy due to his vast spending which had unstabilized the company and each year under his leadership the company had suffered substantial financial losses. As a result, Abernethy was forced into taking an "early retirement" from American Motors on January 9, 1967. Abernethy was replaced by Roy D. Chapin Jr. (son of Hudson Motors founder Roy D. Chapin ). Chapin quickly instituted changes to American Motors's offerings and tried to regain market share by focusing on younger demographic markets. Chapin's first decision

20824-733: Was a subcompact designed to provide the comfort of a full-sized car. Its pre-production development coincided with tightened U.S. federal passenger emissions and auto safety regulations. The Pacer sold well its first two years with 262,772 combined units sold in the US. With the Arab Oil Embargo of 1973, General Motors aborted the Wankel rotary engine around which the Pacer had been designed, as its fuel consumption exceeded that of conventional engines with similar power. Therefore, American Motors's existing 258 and 232 cu in (4.2 and 3.8 L) AMC Straight-6 engines were used in

20976-614: Was also described as having become Americanized and having struggled with advertising for Westmoreland's main product, the Rabbit. In his 2002 book Getting the Bugs Out: the Rise, Fall, and Comeback of Volkswagen in America , David Kiley said that "the German character was fading into oblivion." By 1983 Westmoreland went back to using stiffer shocks and suspension with higher-quality interior trim. Volkswagen claimed to have made 1,300 changes to

21128-474: Was also the start of other "plug-in"-type experimental American Motors vehicles developed with Gulton – the Amitron city concept car and later the similar Electron . Although the new models were well received by the motor industry media, the last quarter sales for AMC ended September 30, 1966 (AMC was not on a calendar fiscal year) were disappointing. The company recorded a balance sheet loss of $ 12,648,000 for

21280-496: Was closed by Ford. General Motors underwent several brand revisions; following the discontinuation of the Geo sub-brand of Chevrolet in 1997, Oldsmobile was closed after 2004 (the oldest American nameplate at the time). Following its 2009 bankruptcy, GM closed Pontiac, Saturn, and Hummer in 2010; Saab was sold (eventually leading to its demise). GM sold its European Opel and Vauxhall brands in 2017 to PSA (now Stellantis). In response to

21432-668: Was continued with the Nash Statesman restyled as the "new" Hudson Wasp and the Nash Ambassador restyled as the Hudson Hornet . Although the cars shared the same body shell, they were at least as different from one another as Chevrolet and Pontiac. Hudsons and Nashes each used their engines as they had previously: the Hudson Hornet continued to offer the 308 cu in (5.0 L) I6 that had powered

21584-476: Was converted to military contract production and eventually sold. The separate Nash and Hudson dealer networks were retained. The Hudsons were redesigned to harmonize with Nash's body styles. The fast-selling Nash Rambler model was sold as a Nash and a Hudson in 1955 and 1956. These badge-engineered Ramblers, and similarly the small Metropolitans, were identical except for the hubcaps, nameplates, and other minor trim. The pre-existing full-size Nash product line

21736-415: Was discontinued for the larger 1968 domestic models, leaving only the small Rambler American as the last product to bear the name through 1969. The Rambler brand continued to be used only for export markets, with Mexico being the last market to use it in 1983. From 1970, American Motors was the brand used for all American Motors passenger cars, and all vehicles from that date bore the American Motors name and

21888-448: Was largely forgotten after its 1980 discontinuation (its role superseded by the downsizing of the Lincoln Continental for 1982), the Cimarron would cause extensive damage to the Cadillac brand, as its market share declined by almost 50% from 1980 to 1998. As of current production, neither Lincoln nor Cadillac has marketed a compact-segment car. Through the use of rebranding, Lincoln produced the mid-size Lincoln MKZ (sharing its doors with

22040-427: Was not automated, was four hours from Westmoreland, and body panels had to be shipped between the two sites. At times, crucial parts were rushed to Westmoreland by helicopter or Lear jet to avoid a shutdown. Consumers Union ranked the VWoA Westmoreland vehicles in 1977-79 had "worse than average maintenance record, including an oil burning problem." An analyst with Drexel Burnham Lambert said in 1987 "the quality of

22192-476: Was partly because all bodywork was provided by Fisher Body which was bought by GM in 1925, and the introduction of the Art and Color Section in 1928, directed by Harley Earl . For the 1958 model year, GM was promoting its fiftieth year of production and introduced anniversary models for each brand; Cadillac, Buick, Oldsmobile, Pontiac, and Chevrolet. The 1958 models shared an almost identical appearance on all models for each brand and made special luxury models with

22344-458: Was produced virtually unchanged until 1978. Sagging sales and tight finances resulted in the discontinuation of the Matador line after the 1978 model leaving American Motors to focus almost exclusively on its Hornet platform -based cars and the Jeep line. From 1970, the Rebel and Ambassador were identical from the A-pillar back. The Ambassador continued as AMC's upmarket model with higher trim, more equipment, and air conditioning as standard. From

22496-581: Was successful, but numerous factors contributed to a sharp decline in sales of the cars manufactured at Westmoreland and the factory's ultimate demise. Increased competition in the North American small car market, easing of the period's fuel crisis , poorly received changes to the character of the cars, VWoA's long product life-cycle, the internal economics of the plant, persistent labor unrest and poor networking between Westmoreland and Volkswagen headquarters in Germany. The factory operated at less than half its design capacity and VWoA suffered operating losses during

22648-466: Was symptomatic of a policy of sales competition between the constituent organizations". The ultimate example of BMC badge engineering was the 1962 BMC ADO16 which was available badged as a Morris, MG, Austin, Wolseley, Riley and the upmarket Vanden Plas . A year earlier, the Mini was also available as Austin, Morris, Riley, and Wolseley – the latter two having slightly bigger boots. Badge engineering often occurs when an individual manufacturer (such as

22800-452: Was to cut the price of the Rambler to within $ 200 of the basic Volkswagen Beetle . Innovative marketing ideas included making air conditioning standard on all 1968 Ambassador models (available as a delete option). This made American Motors the first U.S. automaker to make air conditioning standard equipment on a line of cars, preceding even luxury makes such as Lincoln , Imperial , and Cadillac . The company introduced exciting entries for

22952-530: Was too slow to adapt to changing conditions and costs became too high. In September 1982, VWoA President Jim McLernon resigned amid widening losses. In 1983 VWoA sold its Sterling Heights, Michigan, plant back to Chrysler, the same former Chrysler missile plant it had previously purchased to develop as its second North American assembly plant. Subsequently, VWoA sold the former American Motors stamping plant in South Charleston, West Virginia and its air-conditioning and plastic-trim plant in Texas to Valeo SA . Over

23104-407: Was ultimately acquired by Chrysler in 1987. In January 1954, Nash-Kelvinator Corporation began the acquisition of the Hudson Motor Car Company (in what was called a merger ). The new corporation would be called the American Motors Corporation. An earlier corporation with the same name, co-founded by Louis Chevrolet , had existed in Plainfield, New Jersey, from 1916 through 1922 before merging into

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