AMC may no longer exist, but to this day, we can still benefit from their innovation. Check these facts, most people don't know about AMC
Gambling On Jeep
Kaiser Jeep, founded in 1953, is a car company based in Toledo, known for its jeep manufacturing. After several years of losses, the company decided to withdraw from the business, so it started looking for buyers. For many years, AMC has shown interest in the company, so even if it violated the wishes of the top management, Chapin (President of AMC) completed the transaction. The Jeep was acquired for $70 million. Subsequently, because the three giants had no interest in the jeep market, they later became genius deals
Launch low interest rate financing
If there are not enough funds to acquire assets, this can be a daunting task. For this reason, many financial institutions provide different types of plans that help bear the burden of direct payment personnel. With these plans, payments for assets can be spread out in small portions that are easy to pay within months or years
However, these plans are offered at very high interest rates most of the time, leading to high financing costs. AMC provides low-interest financing plans for their customers to make repayment easier
Acquired by Chrysler
AMC has achieved some success in different periods in the United States, but unfortunately, they are short-lived, and not sustainable. The situation of the three major companies is not the same-they are financially sound, can continue to sell, and have been making successful car models. In 1980, AMC hired Renault (Renault) to finance its business, so that Renault (Renault) owns 47% of AMC. Subsequently, Renault sold 47% of its shares to Chrysler, which led Chrysler to purchase the remaining AMC stock on the New York Stock Exchange
Built the first ever American crossover
Crossover, also known as crossover SUV, is a car made with a single structure. The salient feature of the all-in-one SUV is the one-piece structural design, where the body, floor plan and chassis are all on one structure. In the United States, AMC Eagle is the first crossover produced by any car company, which makes American Motors the American pioneer of crossovers
The former governor is the president of AMC
In 1954, Nash Kelvinnet and Hudson Motors merged, and George W. Mason, president of Nash Kelvinnet, became CEO and President of the newly formed AMC AE Barit (AE Barit) of President Hudson retired and became a member of the AMC board. Mason appointed George Romney as vice president. However, on October 8, 1954, Mason died and Romney took over. Romney later left his position and became the 43rd governor of Michigan in 1963
Introduced reclining front seat backs in the U.S
Ergonomics is a science that incorporates any human workspace design to best suit the people who use them. In the United States, there are not many ergonomic innovations in cars produced earlier
The seats are comfortable but hard. However, AMC has other ideas. They introduced Nash's adjustable front seat backrest technology, and installed standard double reclining front seats in the classic and ambassador models. It has been almost ten years since the Big Three adopted this standard
Profit sharing with workers
Romney's talented strategic decision to focus on small cars finally paid off. The Big Three mainly focus on manufacturing large cars, so AMC has almost no competitors. By 1960, small cars had become a carnival of the moment, which pushed AMC's sales to the top
The large number of sales resulted in huge profit growth and made the company debt-free. Using these proceeds, AMC signed a profit-sharing plan with the American Automobile Workers Federation in 1961, the first in the history of American automobiles
Compete with the Big Three companies
Most large countries in the world have the highest-ranked automotive companies, leading in innovation and sales, while other countries are not far behind. These companies have the most valuations, sales and annual budgets, and are called the Big Three. The Big Three in the United States are Ford, General Motors and Chrysler
However, by strategically focusing on market segments that the three giants were not interested in, AMC was able to occupy a place in the US automotive field with little competition
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