AUTOS: The Dinosaur Hunter

(10 of 10)

On the other hand, Romney will have a problem with some of his dealers. Some 30% of them are auto bigamists; they sell a Big Three car as well as the Rambler, will probably carry the Big Three's line of small cars (though only Chevrolet, Ford and Plymouth dealers, of which Rambler has practically none, are expected to). Romney hopes that his hard core of 2,800 dealers will stick with Rambler. During the industry's 1958 slump, Rambler saved many of them; last year they made a 2.8% profit on their total sales v. .2% for the average U.S. dealer. Another reason for holding on: Rambler has a current resale price advantage of from $99 to $191 over a same-year Chevrolet, Ford or Plymouth.

Fall Flat? For all his confidence, Romney does not underestimate the threat he faces—or expect anyone to underestimate him. "We don't have research and development facilities in magnitude equal to the Big Three," he says. "But we have greater freedom and flexibility of operation. We're leaner. We're harder. We're faster. I've seen halfbacks, out in the clear, trip and fall flat with a sure touchdown in sight. That sort of thing could happen to anybody." Then Romney breaks into a wide grin: "But I don't intend to let it happen to us."