9781422279601

C h a p t e r O n e

THE TALE FROM THE L IT TLE BLACK BOOK

T he year 1959 was a good one. It was the final year of a prosperous decade that sowed the roots of change. This great decade of plenty was reflected in the cars America drove and loved. Big, fat, finny, and flashy, with 350 horsepower under the hood, this was the type of car that Detroit gave to a motor hungry nation. Then, the fickle public’s taste began to change, and by the end of the decade many people were buy- ing Volkswagen Beetles. Except for American Motors with its Rambler American, and struggling Studebaker with the Lark, few auto makers thought that small cars would appeal to suburban America. However, with the introduction of compact cars, the independents scored mightily and soared up the sales charts. The Big Three scrambled to follow suit with their own smaller models. Of these, the conventional and conservative Ford Falcon, with its simple design, was the most popular. People were turning away from triple col- ors and chrome, and wanted smaller cars with straightforward engines. The success of the Falcon, which sold more cars than all other compacts put together, was largely due to Ford Division president, Robert Mc- Namara, who was interested in the bottom line, and had changed Ford’s direction to ensure profitability. lacocca’s Vision When McNamara left the company in 1961 to join the administration of President John F. Kennedy, he was succeeded by Lee Iacocca, a young man who had risen meteorically in the ranks to become vice-president of the Ford Division at the age of thirty-six. From the start, Iacocca sought to make changes, believing that the youth market would ensure the continued profitability established by McNamara. He knew that the baby boomers—those born after World War II—would soon be the nation’s consumers. Iacocca understood that the new generation would want excitement in style as well as power under the hood. He envisioned a small, sporty car with enough options to give it individual expression, and a base price of around $2,300.

FOLLOWING PAGE: Available with the 289-cubic-inch V-8 rated at 225 or 271 horsepower, the 1965 Mustang GT first appeared late in the season. It was well received and gave a true indication that Mustang was a force to be reckoned with.

An old man and his dynasty. Henry Ford, left, in one of those awkward, very posed pictures with his son, Edsel (center) and grandson, Henry Ford II. Henry the Second ousted his grandfather in what might be termed a government inspired coup.

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