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COMMENT: A closer look at FCA’s 7 million upa target

BY IAN HENRY. From FCAU stock launch to proposed Ferrari IPO, there’s plenty keeping FCA in the news. But how feasible are plans to grow by more than a third to 7m units by 2018?

In May, Sergio Marchionne and his team presented their vision and strategy for the newly created Fiat Chrysler Automobiles (FCA) operation. The headline is for the group to grow by more than one third, to 7 million units worldwide by 2018. 10% of this is due to come from two key new markets, India and China, but the majority, over 6 million units, is to come from established Fiat-Chrysler markets, in Europe, North America and Brazil. In other words, FCA needs to find an additional 2 million customers a year in these regions by 2018, whilst also retaining existing customers.

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