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As AMC began the development of the next Jeep in , management created a business process that is now known as product lifecycle management PLM. Meanwhile, new communication systems allowed potential conflicts to be resolved faster, thus reducing costly engineering changes, because all drawings and documents were in a central database. The Grand Cherokee thus became the first Chrysler-badged Jeep product.
Development work for the new Jeep model continued and Chrysler's employees after the buyout of AMC were eager for a lates release date; however, CEO Lee Iacocca was pushing for redesigned Chrysler minivans , thus delaying the Grand Cherokee's release until late [ 8 ] as an Explorer competitor. Unlike the Explorer, the Grand Cherokee used monocoque unibody construction, whereas the Explorer was a derivative of the Ranger pickup with a separate body-on-frame construction.
A Dodge-branded version was designed as a precaution should Jeep dealers struggle to handle so many Grand Cherokee units. The original Grand Cherokee was launched in as a model-year vehicle in the luxury SUV segment.
The base model included features such as full instrumentation, a cloth interior, and a standard five-speed manual transmission , while gaining the moniker "SE" name for the model year. Power windows and locks were not standard equipment on the base trim. The minimal price tag differential resulted in low consumer demand, and as a result, the low-line model was eventually discontinued. Additional standard features included a driver-side airbag and a four-wheel antilock braking system ABS.
The Laredo was the mid-scale model with standard features that included power windows , power door locks , cruise control, and a leather-wrapped steering wheel. Exterior features included medium-grey plastic paneling on the lower body and five-spoke alloy wheels. The Limited was the premium model, featuring body-color lower body paneling, and gold exterior accents.