A Sad Day for Mustang Fans
Lee Iacocca Dies Aged 94
A legendary businessman and the father of the Ford Mustang passed away earlier this month. Lee Iacocca died at his Long Angeles home from complications of Parkinson’s disease on Tuesday morning, July 2. Known as one of the most powerful executives in Detroit, Lee was highly regarded in the automotive industry. Throughout his career, he had major input in at least three iconic vehicles, including the Mustang, the minivan and the K-Car. Lee was also the person who saved Chrysler from going broke in the 1980s. Dodge fans are still thanking him! But more than anything, Lee Iacocca was known and respected by petrolheads across the world for his passion for cars and the industry.
Remembering Lee — The Early Days
Born in Pennsylvania to Italian immigrants, Lee Iacocca was interested in engines and machines from a young age. After graduating from high school, he enrolled at Lehigh University in Pennsylvania where he achieved a degree in industrial engineering. Lee was a model student and won a fellowship to Princeton University where he furthered his education by taking electives in plastics and politics. He then began working as an engineer at Ford. Shortly after he started at Ford, Lee realized that even though he loved motors, he was more inclined towards the business side of things. His knowledge of engineering and his talent for business dynamics were a match made in heaven, and soon Lee began moving up the ranks. By 1960 he was vice president of the company, and managing the Ford division.
Revolutionizing Ford
While he was at Ford, Lee was the driving force behind several highly successful models like the Ford Escort and the Continental Mark III. He was active in the Mercury’s revival which featured the brand spanking new Marquis and the Cougar. Most importantly, to us petrol heads, Lee was also behind the release of the iconic Ford Mustang. Lee had some kind of sixth sense when it comes to what the market needs. At the time, the post-war public was ready for a car that was smaller and sportier but still had four seats. I know, I know… most of you don’t believe that a ‘sports car’ and ‘four seats’ go together. But I’m sure, any self-respecting petrol head will make an exception for the Mustang — I know I do.
Well, Mustang was launched and within the first year over 400,000 were sold and over US$1 billion generated in profit. During this time, Ford was on a mission to build the Ford GT40, which was meant to defeat Ferrari at the Le Mans. There were even a movies made about this!
More than Just Mustangs
Lee also had a range of other revolutionary ideas like the K-car and the minivan. Unfortunately, Ford was not as progressive as he had hoped and Lee’s ideas didn’t make it to production until several years later, and not as part of Ford’s range. Lee had a falling out with Henry Ford II and left the company.
Taking Chrysler by Storm
Lee joined Chrysler which was struggling at the time and getting closer and closer to bankruptcy. Not taking no for an answer, and despite intense debate with the government, Lee managed to secure a guarantee of US$1.5 billion on the premise that he raises another US$2 billion on his own. At the time, this was the largest amount of federal financial help ever given to a private company. The agreement sparked major changes including drastically cutting operations, convincing unions to accept wage cuts and layoffs — they even had to close plants to raise the cash. Lee then shifted the company to emphasize K-cars, models that are more fuel efficient, like the Plymouth Reliant and the Dodge Aries, and began aggressive advertising campaigns. By the next year, Chrysler showed a profit, and within only three years profits of over UR$2.4 billion were reported, making Iacocca a national automotive celebrity overnight.
Riding the Wave of Success
And if bailing Chrysler out of the crisis is not enough, Lee got the production of minivans going at the company. This turned out to be yet another winning bet when it became some of the most profitable products offered by all the top Detroit automakers. Lee definitely had a way of knowing what the next best thing in the industry is, and the industry won’t forget this.
An Icon, Always
Thirty years ago Lee Iacocca was named as one of the top three most admired men in the world alongside Ronald Reagan and the Pope. Today, the legend is no longer with us in physical form, but he will live on in the hearts and minds of so many. He was survived by two daughters, eight grandchildren and will always be remembered by millions of Mustang fans around the world.