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14 Cars That Saved Their Companies From Bankruptcy

Vukasin HerbezAugust 25, 2017

13. Volkswagen Golf Mk1

Volkswagen became one of the giants of the car industry after the World War II. However, their major challenge was transforming from a single model manufacturer into the modern company it is today. Since its main product was the immensely popular Volkswagen Beetle, the company produced many of its variants. They included the T1 and T2 vans, the Karmann Ghia coupe and the 1600 TL sedan or wagon. Despite the different appearance, all those cars were the humble VW Beetle underneath their bodies.

By the end of the 60’s, Volkswagen realized they would soon be in financial jeopardy. This was because they knew the market would eventually stop buying the Beetle in all its variants. The feared the Volkswagen company would have nothing to offer.

So, in the early 70’s, when sales started to drop, Volkswagen invested into a totally new line of models, led by the Golf Mk1. This was a completely new concept and design for them. It featured a new front-wheel drive platform and straight four engine. The new Golf had nothing in common with the old Beetle. In fact, Volkswagen gambled everything they had. Fortunately, the risk paid off and Volkswagen is now one of the biggest car companies in the world.

14. AMC Gremlin

AMC introduced the Gremlin on April 1, 1970, so many people considered it a joke. The Gremlin was a subcompact model with small dimensions and diminutive power. It also came at an affordable price, attracting the youth market. Until then, no American automotive manufacturer tried such a thing. However, AMC had to do it since it was on verge of bankruptcy as the sole independent carmaker in U.S. at the time.

Car fans have always known AMC for their inexpensive, economy cars. While Detroit’s Big Three were busy building full size machinery, AMC produced compact cars. However, by the end of the 60’s, GM, Ford and Chrysler entered the compact car field, too. This caused AMC to start losing ground. So, the answer was to go to the next level with the subcompact model.

The Gremlin was well received by the market since it was a cool, affordable car for the free-thinking early 70’s. It sold in high enough quantities to keep AMC stable for the rest of the decade. Despite the fact it saved AMC from going bust in the 70’s, it wasn`t able to save it from closure in mid-80’s.

These vehicles saved their companies from bankruptcy, and for good reason. They were innovative and gave customers what they wanted at the time. Who knows what the automobile industry would look like today if these companies had to close their doors forever.

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