In the auto industry, consumers have far less loyalty toward American brands than they once did. However, some key brands remain very powerful with consumers. One brand is Chrysler’s legendary Hemi engine, but the company has made an odd decision to marginalize this brand. According to a Wall Street Journal article, Chrysler is seeking to establish a “greener” image and will promote the Hemi only in a small number of Dodge cars and Ram pickup trucks. Certain large Chrysler cars will still have the Hemi engine, but it will be re-branded as a generic “5.7-liter V8”. Read this article for more details.
The focus of The Rational Walk has always been on business and investment topics rather than political commentary, but lately is has become increasingly clear that the line between politics and business has ceased to exist when it comes to the toxic interplay between the auto bankruptcies and the interests of the Federal Government in the nation’s banking system. Far from being an isolated intrusion by government into the private sector, recent actions run the risk of permanently impairing the nature of our capitalist system.