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Malcom Bricklin's Vision - Visionary Vehicles



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Malcom and the Chery Crossover

By Steve Purdy
TheAutoChannel Detroit Bureau

THE GUY
Taking his place among the movers and shakers of the world’s automotive industry is the charismatic Malcom Bricklin, whose newest project has the potential of accelerating the already blinding speed of change in the industry. Speaking to the Detroit Society of Automotive Analysts this week, Bricklin charmed and fascinated the audience with a vision of revolution based on his plan to bring Chinese cars into the US. His new company is called Visionary Vehicles.

Because of a jaded business history Bricklin’s credibility requires a close examination. His remarkable business acumen was first evidenced when he left college to work in his family’s building supply business in Florida where he created a computerized inventory system. He turned that family business of three building supply stores into 174 franchised hardware stores in less than two years.

Looking for opportunities to provide new products to new markets, Bricklin sold his interest in the hardware stores and began importing and selling the Japanese-made Rabbit Scooter manufactured by Fuji Heavy Industries. The scooter was a hit. On one of his trips to Japan he discovered the unique, all-wheel-drive Subaru automobiles, another FHI product, and began importing them – another big success, though some claim that Subaru USA became a success only after Bricklin left the company.

Next, the energetic young entrepreneur decided to design and produce his own car – a “safety sports car” called SV-1 – with gull wing doors, built-in roll cage and even side air bags. This lovely two-seater was built in Canada and had the distinction of being used by police in Scottsdale, Arizona. Nearly three thousand units were built before the car went away in 1975. Not really a run-away success but certainly innovative.

When Fiat abandoned the US market, Bricklin kept two of the more sexy models in play for a few years by importing the Fiat Spider 2000, which became the “Pininfarina” and the phenomenally crisp-handling, mid-engine Fiat X-1/9, which became the “Bertone.”

Then, perhaps Bricklin’s best known automotive venture, was the importation of the poorly built East European Yugo. It was cheap. It was simple. And it lasted about as long as a sneeze. Within two years it was quipped that you could double the value of your Yugo . . . by filling the gas tank. By the way, the 8-gallon gas tank was barely enough to get the stingy motorist from one gas station to the next in the west. I say that from experience, having driven a Yugo GVX in the fabled One Lap of America and nearly having to push on one stretch in eastern Utah. Bricklin reminded our co-publisher during an interview at the Detroit auto show that the Yugo was the only car in America never recalled. Perhaps they didn’t last long enough for the government to catch up with them.

During the intervening years the energetic Mr. Bricklin has been involved with electric vehicles, fuel cell technology and who knows what other ventures. Now, at a youthful age 66 he is just hitting his stride with this new venture.

THE IDEA
The idea is to build a full range of well-designed, high quality, soulful automobiles at the independent Chery automobile manufacturing company in China and sell them in the USA. Between the economies of building an automobile in the low-wage environment of China and an innovative marketing structure, Bricklin aims to make a killing. Beginning with a quarter-million units in 2007 growth in sales is expected to be 100% per year for the first few years as outlets and models come on line. It seems that Chinese government regulations restrict the other Chinese/American automobile manufacturers from building cars for export.

The idea is to “Keep It Simple!” says Bricklin. But from the vantage point of this reporter it doesn’t seem all that simple: manufacturing half way around the world in what is still a third-world, communist, country; transportation down the river, across the ocean and throughout a big continent; satisfying government regulations in two bureaucratic nations; distribution through an entirely new dealer network and dealer system; sales without sales people; and service by way of a never-before tried system. While that may seem overwhelming a look at the list of Visionary Vehicles board members might instill some confidence. Well-known experts in international relations, finance, construction, transport and all the other disciplines needed are already on board leading the charge.

THE CARS
Until the 1960s American-made cars dominated the home market. Suddenly, they began to be challenged by the Japanese who took about a decade to become a serious threat. Then came the Koreans to challenge the Japanese and the Americans. They took barely more than half a decade to gain enough quality and market savvy to become a contender. Now it’s the Chinese turn. Then it will be the Indians. A world market, indeed!

The all-new vehicles from Chery are being designed and engineered by the best companies in the world - many in Europe - charged with capturing the “soul” of the worlds finest automobiles, like Lexus, Mercedes-Benz and BMW. Vehicles will be built in many sizes and configurations with multiple engine options. There will be sedans, crossovers, sport-utilities, two-seat sports cars; with in-line 4-cylinders, 6s, V-8s and all the iterations one might want. A few preliminary designs have been presented and appear to be state-of-the-art and appealing. At this stage there is no reason to think it can’t be done considering how vehicles are designed and built with today’s technology.

Visionary Vehicles will begin in 2007 with a BMW 3-Series/5-Series challenger - that is, a premium, mid-size 5-passenger sedan – for about $19,000. Later will come a two-seat roadster at $15,000, an all-wheel-drive sporty sedan like the Subaru, and even a BMW 6-Series fighter at around $25,000. By 2008 there will be hybrids in the line-up. Can they do it? I sure wouldn’t bet against them.

THE SYSTEM
The Visionary Vehicle ‘stores’, if that’s the accurate term, are unlike anything we’ve seen in the auto industry. Each multi-million dollar facility will be “an entertainment destination” that sells automobiles. Exclusive

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dealerships will be located away from other car dealers and preferably away from other commercial development. Customers will make an appointment to come to the store with kids and pets. A valet will wash and park your car. The kids will be entertained and the pets fed while Mom and Pop enjoy an experience designed to resemble a major auto show. Vehicles on display are surrounded by big screen video, laser-like “pins of sound”, allowing for audio information focused in one limited space, and a host to guide customers around and answer questions, not to sell a car. An on-site test track is stocked with all models for test drives. Customers can drive as many cars as they like. At a projected 30% below the competition’s price, with quality at or better than said competition, and products that are appealing in all categories, the vehicles will sell themselves, insists Bricklin, meaning no sales staff needed. There will be no haggling over price and dealers will be guaranteed 15%.

Speaking of the dealers, Bricklin is now recruiting 250 of them to put up big bucks to get in on the ground floor. He claims that of the fist 6 prospects pitched, 6 wrote checks and got on board. Not only will they get their own store, they’ll own a small piece of all the other stores and even get part ownership in the Chinese factory. And, since there will be few Visionary Vehicle locations - meaning large protected territories for dealers - customers will have the option of having their cars serviced at independent local shops chosen by the dealer. The dealer will get a piece of their action, too.

THE POTENTIAL
“Can he do it?” I ask again. Only time will tell. Designs by Bertone and Pininfarina, engineering by top German, Japanese and American suppliers, design and engineering centers in metropolitan Detroit, the support of the Chinese government, and a list of executives that sure impressed me, would seem to imply a substantial potential for success. When asked about the advertising and PR budgets, Bricklin brashly insists that the new venture will be in a position to be made or broken by the media. That is, with unfettered access, the products will speak for themselves. They will have to be good.

If this works, quipped a media pundit at the press conference, the cross-Pacific shipping corridor will have to be renamed “The Bricklin Bridge.”

Bricklin's First Detroit Auto Show Interview