Menu

Background of Chrysler Group LLC

0 Comment

Formed in 2009, the group has been able to develop very many makes of vehicles that have been a major hit in the automotive industry (Breer, 2009. 34). These cars include the jeep, Fiat, the Dodge. However, among all the vehicles produced by the company, Chrysler is the most reputable. The Chrysler from its initial years back was at a competitive level with other decent makes of cars from rival companies. The companies include General Motors known for its elegant Cadillac that has been able to survive market limitations and still performing well. The other rival company was Ford Motor Company (Rall, 2011). At that time, the company was known for its car, the Lincoln. Ever since the beginning of the competition, the companies have worked hard to outdo each other in the market. However, Chrysler has always managed to come up on top. Witnessed from the 2009 season when the economy was trending down, the car was able to sustain its sales levels while Ford and General Motors decreased their performance at a 4.5 and 3 percent margin. On November 4, 2009, the Chrysler group set out a road map or rather a plan that would ensure that the Chrysler increased its sales in the industry by a possible triple. The company had planned to achieve a break-even result for the Chrysler by the end of the financial year 2010. The company had also decided to attain a $1 billion net profit for the Chrysler. The company decided to do this by diversification of its markets. The plan has been on the right track. This is from the results from the financial year ending 2011. The general net income of the company was 212 million dollars for the third quarter of the year. Of the total amount that the company makes in a specified amount of time, the Chrysler contributes up to 65% of the income. Thus, from their financial report produced around January of 2012 showed that the Chrysler made 138 million dollars in sales (Walter, 2011). Further scrutiny of the reports shows that the company had 56 million dollars in net loss by the end of the financial period.