For years, Chrysler had been building lousy cars, according to Iacocca, but it is in a company’s interest to catch problems at the factory, it would cost about $20 on hour to fix versus $30 when under warrantee. The designer has to 1) ensure the part is low weight since heaviness affects mileage, 2) ensure the part is low in cost, 3) and ensure that it is easy to manufacture: when an assembly line only does two pieces versus three it is better. Understanding what customers want is difficult because you don’t want to compromise on other things that were lost in innovations. Air conditioning is the classic Iacocca example, when you pay $700 more for air conditioning, you want your money’s worth. The problem is air conditioning has to work fast because most rides end within 30 minutes but at the same time you don’t want the car to be loud and noisy so that they customer can’t hear his radio. It’s a tough job but this matters to customers.
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