What does the smart in smart car stand for?

'Smart' is an acronym for Swatch Mercedes Art. The acronym was originally used internally by Mercedes City Car (MCC) for what was otherwise known as the "Swatchmobile", having been originally conceived by SMH (Société de Microélectronique et d'Horlogerie) CEO Nicolas Hayek. SMH was the company that made the Swatch brand watches.