American automobile industry in the 1950s
In 1954, the smaller American Motors Corporation (AMC) was formed when Hudson merged with Nash-Kelvinator Corporation in a deal worth almost USD $200 million ($1.735 billion in 2013 dollars) the largest corporate merger in U.S. history at that time. Other mergers with smaller independent manufacturers followed. Although AMC was moderately successful it was never sufficiently large to challenge any of the Big Three, and was eventually bought by Chrysler in 1987.
A. E. Barit
The new compact car, named the Hudson Jet, did not attract buyers, and the expense of its development (and failure) combined with Hudson's lack of resources to update their senior line of cars spelled the end for the company. Hudson Motors was subsequently acquired through a friendly merger by Nash Motors in 1954, creating American Motors.