My Family's Cars and Industry Pivots: David (as AMC) vs. Three Goliaths
The subtle intersection of my families cars and pivotal automotive industry transitions
And then there were three four:
Since1929 the so-called “Big Three” - Chrysler, Ford and General Motors — had “owned” three-fourths of the market. The depression years of the 1930s eliminated all but the largest independent manufacturers and increased still further the domination of the Big Three. In the 1950’s the frantic 1953–54 Ford/GM price war knocked down the remaining independent automakers: Studebaker, Packard, Kaiser, etc.
George Romney took over George Mason’s (deceased CEO of Nash Kelvinator) nascent combination of Nash Kelvinator and Hudson and named the new firm American Motors Corporation (AMC). Packard, Studebaker, and Willys-Overland faded away. Now AMC stood alone as David before the Goliaths, three.
After smoothing out the Hudson merger that created the company, AMC produced solid, dependable and smaller automobiles. While the competing automakers were building ever larger and more powerful cars American Motors, with its Ramblers, created and defined a new market segment, emphasizing the virtues of compact design. The segment became the "compact car" automobile classification at that time. Then the late 1950’s brought economic woes - the Eisenhower Recession, a sharp worldwide economic downturn in 1958. The Big 3 suffered dropping sales with the market less able to “spend big” on cars. AMC alone, with an economical car option, posted increased sales for 1958.
For the following three decades AMC designers and engineers performed “minor miracles” with innovative new models developed on a shoestring budget.1 Under George Romney’s tenacious, upbeat and diligent leadership, American Motors continued as both a thorn in the side of the Big Three and an innovator. It needed to innovate to survive.
The 1959 Rambler Custom Cross Country Station Wagon we enjoyed shows how American Motors stayed competitive. As a sales manager for American Motors Kelvinator Appliance Divsion my father got a new American Motors car about every 6 months. And Rambler wagons provided family’s transportation for all six of us Daly children, and parents, throughout the 50’s and 60’s.
We fit Andy and Chris (the youngest) in the “way back” - unbelted and free as usual:
And the rest of us fit three to a row.
In addition to practicality, this 1959 Rambler Wagon brimmed with American Motors innovations not available (yet) from the Big 3. For example,
1. A rear window that cranked down into the tailgate
Here’s my father, Jack Daly on his way to a Kelvinator Sales Awards Trip to Bermuda in February 1959. He has just cranked down the window and is about to open the tailgate and put in his golf clubs and Eastern Airlines travel bag.
Nice feature
2. The Flash-O-Matic, pushbutton automatic transmission:
3. UniBody Construction
(premiered by Chrysler Airflow and then abandoned by the Big 3):
4. Fully reclining and moveable seats
In 1959 - the year of this car - “American Motors Corporation built and sold 386,414 new automobiles, a record performance year for an independent manufacturer, and the highest annual sales total ever achieved by any independent in industry history. That same year, AMC president George Romney got his face on the cover of Time magazine, which lauded him for his commitment to smaller, less-dramatic cars that were more economical to buy and operate.”2
Our family definitely benefited as we enjoyed a new station wagon every 6 months, courtesy of American Motors.
And we also enjoyed the occasional “dealer demo” friction/flywheel Rambler American scale model car:
Morals of the Story
David can beat Goliath - Market segment focus (compact, economical car buyers) and favorable economic events (late 50’s downturn) can mean success against odds.
Large firms seek consistency and economies of scale — goals work against innovation; smaller nimbler firms seek change and rapid adaptation - innovation.
Good management, nimble adjustments and customer focus can allow the Davids to compete against the scaled up Goliaths in a market that is evolving, changing.
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Notes:
1959 AMC rambler cross country. (n.d.). Canyon State Classics. https://canyonstateclassics.com/vehicles/31/1959-amc-rambler-cross-country-custom
pictures of 59 Rambler Custom Wagon
1959 Rambler Full Line Brochure, Canada. (1958). Home Dezo's Garage - American & Foreign PDF Car Brochures. Retrieved December 16, 2022, from https://xr793.com/wp-content/uploads/2021/08/1959-AMC-Rambler-Full-Line-CN.pdf
1959 rambler six cross country. (n.d.). The best vintage and classic cars for sale online | Bring a Trailer. https://bringatrailer.com/listing/1959-nash-rambler-cross-country-wagon/
rear crank picture
1965 newspaper ad for rambler - Classic cross country wagon, 5th door option | eBay. (n.d.). eBay. https://www.ebay.com/itm/333545325572
ad for reclining seats
Automotive industry - Ford and the assembly line. (n.d.). Encyclopedia Britannica. https://www.britannica.com/technology/automotive-industry/Ford-and-the-assembly-line
number of manufacturers
Automotive industry in the United States. (2022, December 13). Wikipedia, the free encyclopedia. Retrieved December 16, 2022, from https://en.wikipedia.org/wiki/Automotive_industry_in_the_United_States#The_Big_Three_automakers
Brochure: Rambler Station Wagons for 1959. (1958). Home Dezo's Garage - American & Foreign PDF Car Brochures. Retrieved December 16, 2022, from https://xr793.com/amc-1954-1959
(n.d.). cache:////speedwaydigest.com/index.php/news/speedway-news/68433-american-motors-corp-display-showcases-automotive-innovations-at-charlotte-autofair - Google Search. https:////speedwaydigest.com/index.php/news/speedway-news/68433-american-motors-corp-display-showcases-automotive-innovations-at-charlotte-autofair
Dealer promo model - 1963 AMC rambler custom convertible OFFWHITE high grade | eBay. (n.d.). eBay. https://www.ebay.com/itm/324133225117
Dealer promo model - 1965 AMC rambler convertible American high grade | eBay. (n.d.). eBay. The Rambler American fly wheel driven model cars we had from American Motors
Donnelly, J. (2018, September 23). An American original - 1959 rambler cross country. Hemmings. https://www.hemmings.com/stories/article/an-american-original-1959-rambler-cross-country
Rambler - With an eye on the weather. - Average guy's car restoration, mods and racing. (2014, May 8). Average Guy's Car Restoration, Mods and Racing - Restore Them, Show Them, Race Them. https://www.average-guys-car-restoration-mods-racing.com/2014/05/08/rambler-with-an-eye-on-the-weather/
picture of push button automatic transmission
Rambler six and V8. (2022, December 10). Wikipedia, the free encyclopedia. Retrieved December 16, 2022, from https://en.wikipedia.org/wiki/Rambler_Six_and_V8
Recession of 1958. (2022, August 12). Wikipedia, the free encyclopedia. Retrieved December 16, 2022, from https://en.wikipedia.org/wiki/Recession_of_1958
The woodgrained Nash rambler cross country wagon is an unintentional postmodern masterpiece. (2021, April 9). Autoweek. https://www.autoweek.com/car-life/classic-cars/a31228614/the-rambler-cross-country-wagon-is-an-unintentional-postmodern-masterpiece/
Zero260. (n.d.). Zero260. Retrieved December 16, 2022, from https://www.zero260.com/auctions/99
Zero260. (n.d.). Zero260. Retrieved December 16, 2022, from https://www.zero260.com/auctions/99
Donnelly, J. (2018, September 23). An American original - 1959 rambler cross country. Hemmings. https://www.hemmings.com/stories/article/an-american-original-1959-rambler-cross-country