The year Japan won the quality argument and nobody wanted to admit it
1988 was the year that the American car market's cultural center of gravity shifted in a way that was visible in the sales numbers and undeniable to anyone who compared what Honda was building to what GM was building at the same price. The Accord's number-one position was a commercial fact that became a cultural one: the most popular car in America was Japanese, and the reason was quality, not price. The Accord was not the cheapest car in its segment. It was the best-built car in its segment, and buyers had figured that out.
The domestic industry's response was complicated. Quality improvement programs had been underway at GM, Ford, and Chrysler for several years, with results that were real but lagged the Japanese advantage by a margin that customers could measure. The Chevrolet Cavalier and the Ford Escort were competent cars in 1988; they were not as competent as the Honda Civic or the Toyota Corolla at the same price. Reagan was in his last year in office. The Berlin Wall was still up. The Dodge Viper was in development. The context was a market in transition and an industry in the process of a painful recalibration.
