Showing posts with label Super Bowl. Show all posts
Showing posts with label Super Bowl. Show all posts

Thursday, February 6, 2014

A Geography Lesson for Bob Dylan and Fiat




Both Made in America



Not Exactly

Chrysler's Super Bowl commercial featuring Bob Dylan has generated significant controversy, with some claiming that Dylan "sold out" and compromised his anti-establishment principles by accepting money to sell automobiles.   (See here, here, here and here for stories or commentary on the topic.)  (John Mellencamp, it should be noted, spurred analogous controversy when he licensed his superb song "Our Country," to Chevrolet, which featured portions of the song prominently in several advertisements for its trucks.)  Perhaps because I am not an expert on Mr. Dylan's principles, this blogger found the content of the advertisement more intriguing and perhaps more controversial.  In particular, the advertisement, which began by asking "is there anything more American than America ?" was a straightforward and well-conceived argument that Americans should buy purported American cars, particularly Chryslers.  A self-described "obsessive Bob Dylan fan" blogging for the Washington Post put it quite well:  "Dylan [was] telling us, in as many words — America rules. Buy an American car. Specifically, buy this Chrysler." 

The advertisement is thus intriguing because Chrysler is, for all intents and purposes, an Italian company.  For more than two years now, Fiat, has owned a majority interest in Chrysler, an arrangement the United States encouraged pursuant to the ill-advised bailout of the failed and defunct firm in 2009.  (See also here.)    Moreover, in early January of this year, Fiat announced that it had purchased the remainder of Chrysler from the United Auto Workers.  Apparently unbeknownst to Mr. Dylan, Fiat is headquartered in Turin (Italy, not Georgia) and also incorporated in Italy.  The firm recently announced that it will declare the United Kingdom as its seat for tax purposes.  In short, Chrysler is no more an American company than, say, Volkswagen Group of America.  The latter, while incorporated in New Jersey and headquartered in Virginia, is a wholly-owned subsidiary of the Volkswagen Group,  incorporated and headquartered in Germany.  To be sure, Fiat still manufactures automobiles in the United States that display the Chrysler trademark. However, like many other foreign manufacturers, Volkswagen also produces automobiles in the United States, including at a billion dollar plant in Chattanooga, Tennessee that employs 3,200 Americans.  (Is there anything more American than Chattanooga?)  Would such cars suddenly become "American" if Volkswagen renamed them for a now defunct American company, e.g., Studebaker or Checker?  If not, then Chryslers are no more "American" than Volkswagens.  If so, then any company that manufactures cars via a wholly-owned subsidiary in the USA can characterize their cars as "American" and appeal to consumers' patriotism as Chrysler has done.  Perhaps next year's Super Bowl will feature several similar commercials touting the virtue of "American" automobile companies such as Toyota (which manufacturers cars in Kentucky), Honda (which manufacturers cars in Indiana), and BMW (which manufactures cars in South Carolina), to name just a few. 

This blogger hastens to add that he is a big fan of free trade and would gladly buy a Fiat, for instance, if such a car otherwise satisfied his needs at a reasonable price.  Moreover, in a free society, individuals should feel completely at liberty to purchase cars wherever they are made and without arbitrary interference by the State.  Such freedom includes the freedom to confine one's purchases to "American" cars out of a sense of patriotism or obligation to one's fellow citizens who own American companies and work for them.  To make such choices, however, Americans and citizens of other nations need accurate information about the nationality of the companies from which they purchase.   Dylan's "Chrysler" commercial will likely do more to confuse such consumers than inform them.

 

Monday, February 6, 2012

Would Clint Eastwood Bail Out Super Bowl Losers, Too?


Bad Product = Low Sales


Did Not Receive A Half Time Bail Out

A Chrysler Super Bowl commerial featuring Clint Eastwood asserts that it is "halftime in America" and that firms like Italian-owned Chrysler are leading an industrial resurgence in the USA.  According to Eastwood:

"Detroit’s showing us it can be done. And, what’s true about them is true about all of us. This country can’t be knocked out with one punch. We get right back up again and when we do the world is going to hear the roar of our engines."

Oddly, Eastwood did not mention that American consumers delivered a knock-out blow to Chrysler, because of the poor products the company offered, like the Dodge Dakota pictured above.   Simply put, Americans preferred cars made by Ford, Toyota, Volkswagen and Honda, for instance.  (See this article in Forbes, which includes the Dakota and other Chrylser products among "the worst cars on the road.")  Then, American taxpayers bailed the company out, to the tune of $1.3 Billion, according to the Department of the Treasury.  (This does not include another $12 Billion in low-interest loans that the company received.)  During the same period, of course, 400,000 other businesses failed and received no such corporate welfare.  It's much easier to "get right back up again" after someone writes you a check for $1.6 Billion.

By contrast, when the New England Patriots underperformed last evening they lost.   There was no half time bailout for Tom Brady et al.  (Nominally, the Patriots were leading, but they were obviously struggling.)  That's the way competition is supposed to work in a free society.   Eastwood should know better.

Friday, January 30, 2009

Sister Super Bowl Picks Steelers

The Chicago Tribune profiles a local nun who has been predicting the outcome of the Super Bowl for 23 years now, and has a 17-6 record. I wonder if she has a fantasy football team.

Here is the story: "Divine Prediction For the Super Bowl."

http://www.chicagotribune.com/features/lifestyle/chi-0129-psychic-nunjan29,0,5824918.story

For some reason this reminds me of a line spoke by Coach Dan Devine in the movie "Rudy:" http://www.imdb.com/title/tt0108002/ "Our Lady of Victory, Pray for us."

Sister Jean predicts a 23-17 Steeler victory. I agree with her prediction, though I am biased, since the Steeler's Coach, Mike Tomlin, is a William and Mary graduate. Tomlin played wide receiver for the Tribe and averaged over 20 yards per catch. His rise to coaching, including his years at William and Mary, is discussed here:

http://www.nytimes.com/2009/01/26/sports/football/26tomlin.html?ref=sports