Chrysler in Trouble
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Case Details:
Case Code : BSTR338
Case Length : 21 Pages
Period : 2008-2009
Pub Date : 2009
Teaching Note :Not Available Organization : Chrysler Motors LLC
Industry : Automobiles
Countries : US
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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"For too long, Chrysler moved too slowly to adapt to the
future, designing and building cars that were less popular, less reliable and
less fuel efficient than foreign competitors."
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- Barack Hussain Obama, President of the United States, in April 2009.
"More than anything the consumers are very hesitant to do
business with a manufacturer in bankruptcy."
2
- Peter Grady, Executive at Chrysler, in May 2009.
"This partnership (with Fiat SpA) transforms Chrysler into
a vibrant new company with a wealth of strategic advantages. It enables us to
better serve our customers and dealers with a broader and more competitive
line-up of environmentally friendly, fuel-efficient high-quality vehicles."
3
- Bob Nardelli, Chairman and CEO of Chrysler LLC, in May 2009.
Chrysler Files for Bankruptcy
On April 30, 2009, Chrysler Motors LLC (Chrysler), the third largest automobile manufacturer in the US, filed for bankruptcy protection under Section 3634 of Chapter 115 of the US bankruptcy code in the Manhattan Bankruptcy Court along with its 24 wholly-owned US subsidiaries.
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Chrysler in Trouble
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