Showing posts with label Mexico. Show all posts
Showing posts with label Mexico. Show all posts

Saturday, January 22, 2011

Maytag

Maytag was always the exception to the rule. Through the 1970s and 80s, it was one of the few American made machines that thrived and competed. It was a success story that was often used in business school as a case study. "Why couldn't Detroit be like Maytag?" Their quality was not only good enough for America, it was good enough for Japan.

In 2007, after 100 years of loyal service from workers in Newton, Iowa, Maytag was bought by the scum at Whirlpool. The plant was closed.

"You're welcome."

I suppose the Iowans said worse.

Production moved to Mexico, but it's unlikely that Maytags will become solidly Mexican products, as the VW Bug did. Instead, production is likely to move and move again, from one contract manufacturer to another, crossing borders and oceans again and again.

A formerly great name is now just a meaningless label taking up space.

Saturday, October 9, 2010

Volkswagen

VW's biggest problem is that most of what they sell is a global product at a German price.

Their marketing, consequently, never works. They should either have massive price cuts or do something to increase quality.

National products have identity. One of their greatest was the Mexican Bug. It was made there long enough that Mexico, not Germany, was home. I drove one in the mid-90s, and it was fantastic.

Most of their products, however, are international collections of parts. This is happening more and more in the automotive business. It's hard to imagine how quality could be tracked if factory owners and workers have no idea where their products might go and only vague ideas of how they would fit.