Willys-Overland had been at one point before World War II the U.S.'s second-largest car-maker after Ford, but their fortunes waned during the 1930s.

From 1945, Willys focused almost exclusively on selling Jeep-branded vehicles, both civilian and commercial, as well as government and military jeeps.

1950, going it alone, Henry J. Kaiser's finances ultimately dictated that he could no longer compete with the established manufacturers in the U.S. passenger car business, but he saw value in Willys' Jeep line.

Under Kaiser's management, Jeep introduced the Forward Control vans and the groundbreaking Wagoneer, which offered unprecedented comfort and available (luxury) options combined with serious off-road capability.

Designed by industrial designer Brooks Stevens, the Wagoneer (later known as the Grand Wagoneer) would remain in production with the major architecture unchanged for two more decades after AMC's 1970 purchase of Jeep – until 1991 – and is often credited as the first true sport utility vehicle (SUV).

American Motors Corporation (AMC), looking to expand their product line, had on a couple of occasions entered into negotiations with Kaiser executives with the intent of purchasing the company.