March 2017 | Business View Magazine

76 77 have to give them away at practically no profit or perhaps at a loss.” NADA helped draft the Price Labeling Law in 1958, which mandated window stickers listing manufacturer suggested retail prices for cars and all options, accessories, handling, freight and federal taxes. The Monroney sticker, named for Sen. Mike Monroney (DOkla.), father of the law, helped restore consumer faith in the auto industry and transformed the car-buying pro- cess. 1960s: The imports arrive At the end of the 1950s, there were six main car-producing countries in the world: the Unit- ed States, England, France, Germany, Sweden and Italy. By the early 1960s, Japan entered the competition and swiftly grew to the world’s fifth-largest auto producer. Toyota introduced its first model—the Toyopet—to the U.S. market, while Honda initially sold only scooters and then built the Civic. At the same time, U.S. automakers saw sales slip, while other OEMs folded, including Stude- The NADA Story baker in 1963. In 1968, NADA started its 20 Group program, and Frank McCarthy began what would be a 33- year stint at NADA, first as executive vice presi- dent, then as president. McCarthy would spearhead key programs, such as retirement and insurance for dealers and their employees, as well as management training for dealers and political action efforts. NADA also spent a good deal of time in the late 1960s and 1970s testifying before Congress or federal agencies about various proposals. When proposals became law—such as the Truth in Lending law of 1968—or regu- lations, the NADA staff worked to explain the new laws and regulatory actions to dealers. And in a foreshadowing of recall difficulties that would plague the industry in coming decades, NADA testified before the Senate Subcommittee on Antitrust and Monopoly, en- couraging clarity in manufacturer warranties, which helped alleviate dealer-customer friction over manufacturer defects.