Lee Iacocca
Lido Anthony "Lee" Iacocca was a prominent American automotive executive, best known for his transformative impact on the auto industry during the 20th century. Born to immigrant parents in Pennsylvania, he pursued engineering at Lehigh University and later earned a graduate degree from Princeton. Iacocca's career began at Ford Motor Company in 1946, where he initially worked in engineering but soon shifted to sales. He played a pivotal role in launching the Ford Mustang in the 1960s, which became a cultural icon and reshaped the American automotive landscape.
In 1978, after conflicts with management, Iacocca was dismissed from Ford and subsequently took over leadership at Chrysler, which was facing financial difficulties. He famously secured an $800 million loan from the federal government, a move that sparked considerable debate about corporate subsidies during a period of economic hardship. His successful turnaround of Chrysler, culminating in the repayment of the loan by 1983, solidified his reputation as a skilled leader. After retiring in 1992, Iacocca remained a public figure and founded the Iacocca Family Foundation to support diabetes research following his wife's death from the disease. His legacy continues to influence both the automotive industry and corporate leadership today.
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Lee Iacocca
Automobile Executive
- Born: October 15, 1924
- Birthplace: Allentown, Pennsylvania
- Died: July 2, 2019
- Place of death: Bel Air, Los Angeles, California
Iacocca led Ford Motor Company during the pinnacle of the American auto industry during the 1960s, and he saved Chrysler Motors from bankruptcy during the 1970s.
Born to immigrant parents in Pennsylvania, Lido Anthony "Lee" Iacocca majored in engineering at Lehigh University, then earned a graduate degree at Princeton. In 1946, he began work at Ford Motor Company. Although he started in the engineering division, he found his job tedious and got transferred to sales. During the 1960s, he led the way in canceling the Ford Cardinal project and promoting a new type of car called the Mustang. The Mustang was an instant sensation and led to a generation of powerful sporty American cars aimed at the youth market. The youth market had previously been dominated by imports and hot rods, and the Mustang model became an icon with tremendous durability.
By the 1970s, Iacocca found his situation at Ford precarious because of frequent clashes with Henry Ford II. In 1978, Ford convinced the corporate board to fire Iacocca. The former Ford employee took a job as head of Chrysler Motors, which was in dire straits. The once excellent engineering division had fallen into neglect. Chrysler had set up partnerships with floundering European automakers that only worsened the position of the American company. The general economic slump of the late 1970s added to the gravity of the situation.
In a controversial move, Iacocca went to the federal government and negotiated an $800 million loan. The request touched off a political firestorm. Opponents blasted it as corporate welfare at a time when services for the poor and unemployed were being slashed. Iacocca succeeded in arranging the loan in 1979 and subsequently turned Chrysler around and repaid the loan by 1983.
Iacocca retired from Chrysler in 1992. In retirement, he remained a corporate celebrity, a role emulated by many but matched by very few executives. After his wife died of complications from diabetes in 1984, Iacocca founded the Iacocca Family Foundation, which has continued to fund diabetes research into the 2010s.
Bibliography
Iacocca, Lee. "What I'd Do Differently: Lee Iacocca." Interview. Car and Driver. Hearst Communications, Jan. 2014. Web. 23 June 2016.
Iacocca, Lee, and William Novak. Iacocca: An Autobiography. New York: Bantam, 1984. Print.
Seeger, Matthew W., ed. I Gotta Tell You: Speeches of Lee Iacocca. Detroit: Wayne State UP, 1994. Print.
Weintraub, Arlene. "Here's How Lee Iacocca Wants to Cure Diabetes." Forbes. Forbes, 7 June 2015. Web. 23 June 2016.