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Question 1
What were your expectations (prior to the developments in 2007) of the DaimlerChrysler merger and its future prospects in the global auto industry?
Initially, at the time of the merger there were many aspects in favor of the DaimlerChrysler merger, such as:
• Chrysler gains a toehold in Europe, access to Daimler’s technology base and get an image boost from Mercedes.
• Daimler should benefit from Chrysler’s strong U.S. presence, design flair and manufacturing process that have made it the world leader in profit-per-vehicle.
• Future products could be derived off common platforms–the chassis that forms a car’s foundation–and share major components. Mercedes, for instance, might develop a luxury pickup truck based on a Chrysler platform at a much lower cost than it could otherwise.
• By teaming up with Daimler, Chrysler will gain greater access to the European market where Mercedes has more than 1,000 dealers. Chrysler has only 1% of the European......

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Approximate Word Count: 2333
Approximate Pages: 10 (250 words per double-spaced page)

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