Automotive News - March 24, 2008 - (Page 58)

58 • MARCH 24, 2008 final assembly comment Fresh heir: To turn green, With a spiffier must BMW create brand? image, Lincoln would rock abroadould you imagine how well Lincoln would be doing overseas — thanks to the weak dollar — if it only had a suitable brand image? A friend posed that question a few days ago. He had dialed back to the early days of Ford’s Premier Automotive Group, when the Lincoln brand was going to be refashioned into the ultimate American luxury marque in the portfolio of upscale global EDWARD LAPHAM brands: Aston IS EXECUTIVE Martin, Jaguar, EDITOR OF Land Rover, AUTOMOTIVE Lincoln and NEWS. Volvo. And what better place for designing and marketing luxury brands than sunny California? California is a huge market for luxury vehicles, so it made sense to expose staffers to the climate and social environment there. It would help define and inform their work, or so the conventional wisdom suggested. Former Ford Motor CEO Jacques Nasser had a vision for PAG. But when he was sacked on Halloween 2001, the vision dimmed. Within six months, Wolfgang Reitzle, whom Nasser had chosen to run PAG, left. In 2003, Ford moved Lincoln and Mercury back to Dearborn, which ended Lincoln’s mission to be the ultimate American luxury brand. What followed was an identity crisis as Lincolns became little more than gussied-up Fords. Lately, there’s buzz that Ford Motor CEO Alan Mulally and marketing honcho Jim Farley may commit to establishing Lincoln as a global brand. But that will require developing products that luxury-car buyers in faraway lands want, which means heavy investment in at least one luxurycar platform — maybe two, if you throw in rear-drive models. Lincoln sells “not so many” vehicles overseas. I know; I asked. But Cadillac — which used hefty investments to transform its product lineup — is on a roll outside North America. Last year, Cadillac sold 23,171 vehicles shipped from North American factories, either as built-up models or knockdown kits. So to answer my friend’s original question: Yes, I can imagine how well Lincoln could be doing overseas. It just needs the right products and the right brand image. That’ll take some vision. Edward Lapham writes five commentaries each week for autonews.com. Read them at autonews.com/edwardlapham. AMERICAN AXLE >> Get live updates of the month-long UAW strike at American Axle at www.autonews.com. Nardelli: A thumbs-up from Ford MW is developing a low-emission small car for bigcity driving. It could be an electric vehicle. But will it be a BMW? Company execs say you can only do so much to a BMW without diluting the brand’s performance image. So CEO Norbert Reithofer said the effort, called Project i, may lead to formation of a new brand exclusively for alternative-fuel vehicles. Reithofer revealed the existence of the 12-member Project i planning group during BMW’s financial press conference last week. “The project is fully independent and even free to act beyond BMW structures if necessary,” he said. Reithofer said BMW will decide later this year whether to produce the urban traffic-fighter — and whether it will be an electric vehicle. The Project i team has been working for nearly a year on electric cars, hybrids and other alternative powertrains, said Karim Antoine Habib, a BMW engineer in the group. At the New York auto show, Habib said no decision has been on the badge the vehicle would wear if it were produced. Rival says Nardelli’s OKs head of human resources and labor affairs at Ford, Joe Laymon knows a thing or two about executive talent. And there’s a prominent newcomer Laymon feels hasn’t gotten enough respect: Chrysler CEO Bob Nardelli, who has been dissed in some quarters for taking a $210 million severance package at the end of his stormy tenure at Home Depot. Nardelli also has been rapped for moving aggressively in spite of his automotive industry inexperience. But Laymon thinks Nardelli may end up having the last laugh. “Nardelli has skills that will work in this industry,” Laymon told Automotive News. “Those who have been second-guessing how good he’s going to be will be proven wrong.” Ford exec J Mays and Ford’s cab concept: The look New York is looking for?” Ford hails its cab, but mpg is an issueord sees the Transit Connect Taxi it introduced last week at the New York auto show as a potential high-volume game-changer. But it might have to change the powertrain first. In the nation’s taxicab capital, the reconfigured version of Ford’s European-made Transit Connect van was decked out in yellow with an assortment of taxi trimmings. It wasn’t a coincidence that the Transit Connect concept came soon after a request in January by the city’s Taxi and Limousine Commission for automakers to develop a new generation of New York cabs. The Big Apple wants a striking new design that people will identify with New York. One problem: The Transit Connect van has estimated fuel economy of 19 mpg — well below the 30 mpg that New York Mayor Michael Bloomberg has set as the target for taxis starting in 2009. New Ford ads coming in Aprilord plans to launch its new ad campaign next month on the top-rated TV show “American Idol.” The battered brand can only hope car and truck buyers will prove more receptive to its message than Simon Cowell is to tone-deaf singers. The campaign is the first helmed by Ford’s new marketing chief, Jim Farley. It seeks to get the brand back on consumers’ shopping lists. At the New York auto show last week, Farley was stingy with details about the campaign. He told Automotive News that “it will be a very empowering thing because the story will be told by our employees.” A Ford spokesman declined to confirm published reports that the new campaign will use the tag line “Ford. Drive One.” But Mark Smith, a Ford dealer in suburban Kansas City, Mo., and chairman of the brand’s dealer marketing committee, says the campaign aims “to motivate people to come to the dealerships.” “We have a great lineup of product,” Smith says. “Unfortunately, the buying public doesn’t realize it.” THE FINAL SAY GM ponders mini-muscle Camaro H “ Porsche’s catering bill at Daytona was bigger than our motorsports budget for the entire year. — Robert Davis, head of product development and quality at Mazda North American Operations. In January, Mazda won its class with an RX-8 at the 24 Hours of Daytona. ” ow do you reconcile making muscle cars in an era of skyhigh fuel prices? Well, sometimes the car guys have to give in a little. General Motors is now considering a four-cylinder engine for its new fire-breather, the Chevrolet Camaro. Most enthusiast attention has focused on the V-8 version, reputed to be a gut-busting 6.0-liter leviathan capable of about 400 hp. Speaking on the sidelines of the New York auto show, GM Vice Chairman Bob Lutz said the fourcylinder being considered is the same one used in the Pontiac Solstice and Saturn Sky roadsters. It’s a 2.0-liter turbocharged, directinjected four-cylinder rated at 260 hp. Lutz said that if fuel prices continue to climb, the fourcylinder Camaro could see production. The Camaro goes on sale next February as a 2009 model. GM CEO Rick Wagoner, driving, and Chevy General Manager Ed Peper try out the Camaro concept in 2007. GM has said it plans V-8 and V-6 versions but otherwise has been secretive about the Camaro’s engines. Lutz confirmed to Automotive News that the V-6 will be powered by the same six-banger used in the Cadillac CTS. It’s a direct-injected, 3.6-liter four-cam V-6. In the CTS, the engine is rated at 304 hp. In the Camaro, it would be around 260 hp, Lutz said. Fuel economy, he said, will be around 17 mpg city and 25 highway. Ford’s base model Mustang uses a 4.0-liter overhead-cam V-6 rated at 210 hp. The base model Dodge Challenger, due in the fall, will use a 250-hp, 3.5-liter V-6. http://www.autonews.com http://autonews.com http://autonews.com/edwardlapham

Table of Contents Feed for the Digital Edition of Automotive News - March 24, 2008

Ford lists 6 to succeed Mulally GM pushes luxury superstores Industry straps in for rough ride Bob Irvin is a worthy addition to Hall of Fame Debate at Scion: How to grow Ford moves executives in Asia to new jobs CEO of lanelogic: We're still here Kia's N.Y. duo Chrysler's exec trio: Reports of friction mostly fiction Where others see gloom, Honda chief sees boom in U.S. Fukui: Nickel battery is best bet for hybrid Beijing conference explores key issues in China market Planworks keeps its role as buyer for GM ads Lincoln: MKS will make up for brand's slow start in '08 Deal's no big deal: Styling top reason to buy GM Penske's Smart start: He'd like 15,000 more Dodge's pitch for Challenger: A halo that you can afford Chrysler plans 'We listen' ads You go, Bob With zest, activist Ditlow remains on lemon patrol Autos did the job after 9/11; don't bet on that now Chinese cars? Dealer beware Solar power is the only answer Where will we get power for the Volt? Want higher CAFE? First, do this In N. California, hybrids are hot Detroit 3 can learn from the Marlboro Man The Prius is a phenomenon Wait 3 years, then judge Ford How many Jeeps will India buy? Lithia looks into improper sales reports at dealerships AutoNation's lead shrinks as largest U.S. dealer group Honda ad agency creates unit to build Acura brand Study: Consistent theme in auto ads builds viewer recall Big-truck sales continue slide in Feb. -- off 27.1% MazdaSpeed revs up racing accessory sales Calif. company eyes electric charging stations for Volt, Vue Indictment: Bribe scheme cost GM $83.3 million The greening of Toyota dealerships 6 more finalists in race for PACE recognition Tenneco expands Japanese work, seeks more Bosch buys diagnostic equipment firm in China JV will design vehicle platforms Citation moves headquarters NxtGen tests emissions system VW stake may help Porsche on fuel economy rules Chrysler's Project Genesis wins over Ore. dealer Germany, new EU members send up European sales Saturn will choose store system soon VW thinks modular for flexibility at auto plants Automakers eager as axles turn high-tech Talking drivetrains with American Axle Dollar halts U.S. retail sales of Audi Q7 hybrid Hyundai: Genesis Coupe offers more go for dough Maxima's target: Luxury Euro makes Pontiac adds 3 sporty variants Outsider Elmer Johnson shook up GM Importer Yanase was Hall of Fame member Obituaries Redesigned TSX has many Acura firsts Dealers Certified sales up 7.5% in Feb.; Audi leads the way eBay's new Web site has new look, more features Big pickups and SUVs lead plunge in used-vehicle prices Ex-Reynolds CEO O'Neill joins J.D. Power Auto Hall of Fame will induct 8 Liberatore looks beyond Daimler Molina gets the top job at GMAC F&I pioneer Pat Ryan to retire from Aon Study: Hydrogen research worth the cost Gulf States trial halted As yuan rises, so do prices of Chinese parts Personnel exec Laymon: Ford still seeking outside talent GE gives supplier credit Dana CEO wants Asian growth Tesla launches production Todt steps down as Ferrari CEO Union pursues Toyota effort Chrysler offers spiffs for military Land Rover ads focus on heritage Mark Rechtin Fresh heir: To turn green, must BMW create brand? GM ponders mini-muscle Camaro New Ford ads coming in April With a spiffier image, Lincoln would rock abroad Rival says Nardelli's OK Ford hails its cab, but mpg is an issue

Automotive News - March 24, 2008

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