The Decline And Fall Of The American Automobile Industry

Analyzes the reasons for the failures of the American auto industry to compete with foreign imports and to make use of modern technology and styling.

Documents the collapse and comeback of America's largest industry in a saga of greed and stubbornness, spotlighting dedicated managers, engineers, and financiers.

In Comeback, Pulitzer Prize-winners Paul Ingrassia and Joseph B. White take us to the boardrooms, the executive offices, and the shop floors of the auto business to reconstruct, in riveting detail, how America's premier industry stumbled, fell, and picked itself up again. The story begins in 1982, when Honda started building cars in Marysville, Ohio, and the entire U.S. car industry seemed to be on the brink of extinction. It ends just over a decade later, with a remarkable turn of the tables, as Japan's car industry falters and America's Big Three emerge as formidable global competitors. Comeback is a story propelled by larger-than-life characters -- Lee Iacocca, Henry Ford II, Don Petersen, Roger Smith, among many others -- and their greed, pride, and sheer refusal to face facts. But it is also a story full of dedicated, unlikely heroes who struggled to make the Big Three change before it was too late.

Documents the collapse and comeback of America's largest industry in a saga of greed and stubbornness, spotlighting dedicated managers, engineers, and financiers who struggled to change the Big Three before it was too late. 60,000 first printing. First serial, The Wall Street Journal. Tour.

At its peak in the 1950s and 1960s, automobile manufacturing was the largest, most profitable industry in the United States and residents of industry hubs like Detroit and Flint, Michigan had some of the highest incomes in the country. Over the last half-century, the industry has declined, and American automakers now struggle to stay profitable. How did the most prosperous industry in the richest country in the world crash and burn? In Wrecked, sociologists Joshua Murray and Michael Schwartz offer an unprecedented historical-sociological analysis of the downfall of the auto industry. Through an in-depth examination of labor relations and the production processes of automakers in the U.S. and Japan both before and after World War II, they demonstrate that the decline of the American manufacturers was the unintended consequence of their attempts to weaken the bargaining power of their unions. Today Japanese and many European automakers produce higher quality cars at lower cost than their American counterparts thanks to a flexible form of production characterized by long-term sole suppliers, assembly and supply plants located near each other, and just-in-time delivery of raw materials. While this style of production was, in fact, pioneered in the U.S. prior to World War II, in the years after the war, American automakers deliberately dismantled this system. As Murray and Schwartz show, flexible production accelerated innovation but also facilitated workers’ efforts to unionize plants and carry out work stoppages. To reduce the efficacy of strikes and combat the labor militancy that flourished between the Depression and the postwar period, the industry dispersed production across the nation, began maintaining large stockpiles of inventory, and eliminated single sourcing. While this restructuring of production did ultimately reduce workers’ leverage, it also decreased production efficiency and innovation. The U.S. auto industry has struggled ever since to compete with foreign automakers, and formerly thriving motor cities have suffered the consequences of mass deindustrialization. Murray and Schwartz argue that new business models that reinstate flexible production and prioritize innovation rather than cheap labor could stem the outsourcing of jobs and help revive the auto industry. By clarifying the historical relationships between production processes, organized labor, and industrial innovation, Wrecked provides new insights into the inner workings and decline of the U.S. auto industry.

Once Upon a Car is the brilliantly reported inside-the-boardrooms-and-factories story of Detroit’s fight for survival, going beyond the headlines to chronicle how the country’s Big Three auto companies—General Motors, Ford, and Chrysler—teetered on the brink of collapse during the 2008 financial crisis. In a tale that reads like a corporate thriller, Bill Vlasic, who has covered the auto industry for more than fifteen years, first for the Detroit News and now for the New York Times, takes readers into the executive offices, assembly plants, and union halls to introduce a cast of memorable characters, many of whom are speaking out for the first time, including the executives who struggled to save their companies but in the end had to seek a controversial, last-gasp rescue from the U.S. government. Vlasic goes behind the scenes to portray the men at the top during Detroit’s last stand. Rick Wagoner, the CEO of General Motors, tried to turn around a dying company, only to be forced to resign as a condition of the government bailout. Bill Ford, great-grandson of the legendary Henry Ford, had the will to keep Ford alive but needed the guts to hire an unknown outsider, Alan Mulally, to transform the company before it crashed. At Chrysler, leadership was constantly changing as new owners tried in vain to fix the smallest of the beleaguered Big Three. And through it all, the president of the United Auto Workers union, Ron Gettelfinger, fought to save the jobs of the men and women who build American-made cars and trucks. This tale of an iconic industry in crisis is more than a big business drama and provides a rich, unvarnished portrait of how Detroit’s decline affected tens of thousands of workers and dozens of communities nationwide. The story moves from the gleaming corporate skyscrapers and massive auto plants to the halls of the U.S. Congress and into the Oval Office, where President Obama and his aides wrestled with how to keep General Motors and Chrysler from going out of business. Vlasic shows why the bailout worked, and how Detroit can succeed under new leadership and build automobiles equal to any in the world. Once Upon a Car tells a uniquely American tale of success, failure, and redemption. It is an important and illuminating chapter in an astonishing story that is still unfolding. And no one is more qualified to write it than Bill Vlasic.

With an updated Afterword by the author. This is the epic saga of the American automobile industry’s rise and demise, a compelling story of hubris, missed opportunities, and self-inflicted wounds that culminates with the president of the United States ushering two of Detroit’s Big Three car companies—once proud symbols of prosperity—through bankruptcy. With unprecedented access, Pulitzer Prize winner Paul Ingrassia takes us from factory floors to small-town dealerships to Detroit’s boardrooms to the White House. Ingrassia answers the big questions: Was Detroit’s self-destruction inevitable? What were the key turning points? Why did Japanese automakers manage American workers better than the American companies themselves did? Complete with a new Afterword providing fresh insights into the continuing upheaval in the auto industry—the travails of Toyota, the revolving-door management and IPO at General Motors, the unexpected progress at Chrysler, and the Obama administration’s stake in Detroit’s recovery—Crash Course addresses a critical question: America bailed out GM, but who will bail out America?

"Vigorous, provocative... The Sack of Detroit is compelling, bold and stylishly written." —Barbara Spindel, The Wall Street Journal A provocative, revelatory history of the epic rise—and unnecessary fall—of the U.S. automotive industry, uncovering the vivid story of innovation, politics, and business that led to a sudden, seismic shift in American priorities that is still felt today, from the acclaimed author of Hoover In the 1950s, America enjoyed massive growth and affluence, and no companies contributed more to its success than automakers. They were the biggest and best businesses in the world, their leadership revered, their methods imitated, and their brands synonymous with the nation's aspirations. But by the end of the 1960s, Detroit's profits had evaporated and its famed executives had become symbols of greed, arrogance, and incompetence. And no company suffered this reversal more than General Motors, which found itself the main target of a Senate hearing on auto safety that publicly humiliated its leadership and shattered its reputation. In The Sack of Detroit, Kenneth Whyte recounts the epic rise and unnecessary fall of America's most important industry. At the center of his absorbing narrative are the titans of the automotive world but also the crusaders of safety, including Ralph Nader and a group of senators including Bobby Kennedy. Their collision left Detroit in a ditch, launched a new era of consumer advocacy and government regulation, and contributed significantly to the decline of American enterprise. This is a vivid story of politics, business, and a sudden, seismic shift in American priorities that is still felt today.