Chrysler Business Failure

903 Words4 Pages
Chrysler LLC business failure LDR/531 Chrysler LLC business failure In 1998, Daimler merged with Chrysler to form a new entity called Daimler-Chrysler. The merger did not come out like what was planned, and on May 14, 2007 Daimler sold Chrysler to Cerberus Capital Management. On April 30, 2009, Chrysler LLC decided to try and save the company and stay in the running of top three auto maker. Chrysler filed for Chapter 11 bankruptcy, and at the same time announced a plan to merge with Italian automaker Fiat. On June 10, 2009, Chrysler’s assets were almost completely changed to New Chrysler. This was made possible by the Federal Government financing Chrysler with $ 6.6 billion paid to Old Chrysler. The following paper will show specific organizational behavior theories could have been used to predict the company’s failure. Walter Chrysler was the founder of the Chrysler Corporation on June 6, 1925 with a visualization of improving automotive production and restructuring the former Maxwell Motor Company. The Chrysler Corporation has become known for their range of automotive brand names: Chrysler, Dodge, Jeep, Ram, and Global Electric Motorcars. While striving to put the Chrysler name in first place, while they developed quite a few makes and models of vehicles. Chrysler worked their way to the top to manufacturer some of the best cars, trucks, and vans around. Chrysler was a leader in development of new automotive power, which many never made it to full production. Chrysler is a major automotive company in America. For a company this size to go down would be devastating to the economy and America. Thousands of people are employed by the automobile manufacturer and the thousands of parts houses across the country. This type of downfall would certainly keep a failing economy down for some while. The Government had to step in and do something to prevent many
Open Document