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U.S. Car Industry Sees Light at End of Tunnel
The American car industry (GM, Ford, Chrysler) is beginning to pick up speed on the home market. The turnaround happened surprisingly quickly and is due to new, attractive models and an improvement in manufacturing quality.
One theory as to why things happened so fast is that all three companies are led by non-car makers who see problems and opportunities through fresh eyes. Dan Atkinson at GM is a former banker, Alan Mulally at Ford was previously head of Boeing and Sergio Marchionne at Fiat once led aluminum producer Algroup and the Lonza pharmaceutical company. The head of GM caused great surprise when he said he is more interested in profit, operating margins and cashflow than he is in GM's merely being the world's biggest automaker, which may be the case for 2011. He also points out that during 2011 Toyota's production was restricted due to natural disasters.
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