Fiat Chrysler Automobiles wants to turn Jeep into a global brand and bring Alfa Romeo back to the U.S. as part of an aggressive five-year plan unveiled Tuesday.
The company is working to meld Auburn Hills, Mich.-based Chrysler Group with Turin, Italy-based Fiat to create a more nimble global automaker that can better compete with the likes of Toyota Motor Corp., Volkswagen and General Motors Co.
"In a flat world, you can't be secure in your home market if you aren't able to compete in others," said Sergio Marchionne, FCA's chief executive.
The merged company — the product of Fiat's gradual acquisition of Chrysler after the U.S. automaker's emergence from bankruptcy in 2009 — wants to increase worldwide sales to about 7 million vehicles by 2018, up from 4.4 million last year. Fiat completed the acquisition this year and is creating Fiat Chrysler Automobiles as the parent company for the two businesses.
"An automaker needs to reach at least 6 million units a year to be a long-term credible competitor," Marchionne said.
Also Tuesday, Fiat announced a first-quarter loss of 334 million euros, or $465 million, largely because of expenses associated with the Chrysler purchase. That compared with a loss of 83 million euros, or about $115 million, a year earlier.
Analysts were skeptical that the automaker could achieve all its goals.
"They have set some pretty aggressive sales and market share targets," said Stephanie Brinley, an IHS Automotive analyst who attended the automaker's briefing in Auburn Hills.
Fiat Chrysler wants to better segment its different brands so that they target different automotive markets.
"You need to have distincti! veness in the way you present your marketing," Marchionne said! .
jerry.hirsch@latimes.comSource : http://www.latimes.com/business/la-fi-chrysler-revamp-20140507-story.html
