Word: marketing
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Dates: during 1950-1959
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Hopefully, Ed Cole says: "The bulk of compact-car sales will probably come from an expansion of the market." But he is well aware that the compacts are bound to cut into sales of existing models. "If our Corvair moves some other cars off the road, well, that's too bad. But any time we bring out something that gets the focus of attention, it helps business. Anything that stimulates interest in autos is bound to stimulate the economy...
...compacts cut deeply into the present low-priced three, Detroit dopesters expect that they will certainly be bad news to what is left of the ailing middle-priced market. Says Cole: "The middle-priced field is sitting there with a gun to its head." Some middle-priced dealers have already pulled the trigger. New Orleans' leading Buick seller, Stephens Buick Co., fortnight ago surrendered its franchise and switched to Chevy...
...greater worries plague the used-car dealers. They fear that the compacts, priced in the same range as late-model used cars, will wreck their market. If that happens, the market for new cars would be hard hit; if a motorist cannot get a fair price for his old car, he will not be eager to trade it in on a new car. On the other hand, some optimistic secondhand dealers argue that the buyer in the $2,000 class will prefer a roomy, late-model car to a compact. "The man who has been in the habit of buying...
...compacts do to those gnatty foreign bugs, which started the rush to smallness? "We never worry about competition," says Britain's Lord Rootes, whose Rootes Motors Ltd. makes Hillman, Singer, Sunbeam. "We welcome our American competitors back after the years in which they designed themselves out of the market...
...trend to bigness would get honked right out of the industry. Henry Kaiser's chromeless little Henry J. was a flop. Romney's Ramblers were losing money. Just a few years before, Chevy had started to tool for a compact model, the Cadet, then decided that the market was too small, and scrapped it. But Cole, at that time Chevy's chief engineer, saw farther. He figured that buyers would tire of size and flash. But since all the surveys were against him, Cole knew that he had to use the greatest skill and strategy to sell...