It seemed like a good idea at the car versions, but every change cars were produced instead, like time. The Swatch watch company cost money, so several adapta- the Forfour, which looks like an in Switzerland wanted to develop tions like the expanded Smart but was in fact an innovative small car that was sportscar were canned. As a cost- a 2003 Mitsubishi Colt in Smart trendy, fun and practical in an saving measure, ‘pretend’ Smart clothes. overcrowded world. A totally new Knowing they Smart car was re- lacked the skills to leased in 2007. develop such a car The new Smart was inhouse, the Swatch closely styled to the people went for original model. . help. They first ap- proached Volkswa- Thus the saga gen, but little came continues, although of it, so they ap- for how much long- proached Mercedes- er is anyone’s guess. Benz. Thus the It is possible that the Smart (short for Smart project will Swatch Mercedes art) be saved by high oil project was born. prices and a move to smaller cars world- The fact that wide. Mercedes has a dis- astrous history with small cars The Smart’s problems are a seemed to escape the attention of SMART pity because Smarts are not bad the Swatch people. They further cars, when working (they are Official name: Smart GmbH. declined to notice that Mercedes’ generally in the bottom quarter research and development budg- Owned by: Daimler AG of reliability surveys). ets were frequently larger than the Current situation: The Smart national debt of many third world is cool, compact, practical Once you get used to the fun- nations. & cheap on fuel at a time of ny looks and driving style, the crowded cities and record oil Smart is a really functional lit- So time went on, with no prices. However, due to amaz- tle vehicle. It can park just about ingly inept management, the small, innovative car, but debts project has lost billions and is anywhere and is even reasonably that would frighten God. In the close to being simply closed safe. Best of all, Smart cars are end the Swatch people cut their down. It’s too soon to say if quite fun. losses and bailed out, leaving a recent new model can turn Mercedes to carry on. around the Smart project’s If Toyota had produced this fortunes. Mercedes doesn’t car, it would probably have The Smart car has proved very really understand how to make worked. It should have been easy; cars on a budget; therefore popular in European cities, where the Smart project continues to the Smart is cool, compact, prac- parking is at a premium, but it haemorrhage money. tical & cheap on fuel at a time has still not sold enough to re- of crowded cities and record oil cover the costs of research and de- Chances of survival: uncer- prices. tain. If Smart’s new model can velopment. Rumours continue to grab enough customers, the fly about the whole project being project might survive. However, As things stand the Smart closed down and the losses writ- carmakers like Fiat and Toyota car may go down in history as a ten off. are snapping at Smart’s heels. multi-billion dollar vehicle that A new wave of similar vehicles was at the right place at the right The original vehicle was modi- could easily consign the Smart time, but had Mercedes handling fied into and to history • the deal •

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