1950s American automobile culture
During the decade, many smaller manufacturers could not compete with the Big Three and either went out of business or merged. In 1954, American Motors was formed when Hudson merged with Nash-Kelvinator Corporation in a deal worth almost $200 million, the largest corporate merger in United States history at that time.
American Motors Corporation
In early 1980, the banks refused AMC further credit. Lacking both capital and resources for the new, truly modern products it needed to offer, the company turned to Renault for a $90 million loan (US$ in dollars). By September that year, AMC's U.S. market share had fallen to 1.7%, and in November sales dropped 19.1%. AMC warned stockholders that the company could be bankrupted if they did not approve a plan for Renault to acquire as much as 59% of the company. On December 16, 1980, AMC shareholders "overwhelmingly approved making the French Government-owned Renault" their company's principal owner.