Strengths and weaknesses: Strength: Ford is a popular brand in the United State car industry, and it been in the industry for a very long time, so this should be one of the strength for the company in the industry. Moreover, recruit Alan Mulally is also another strength for the company. Another strength of the Ford Auto Company is that they came out vehicles fuel-efficient. Both of this strength helps the company comeback after the recession. Weaknesses: As the results of the recession, Ford had faced so many financial difficulties during the past few years. Ford try to lay off employees, closed its plants, and cut its global workforce by more than a third. In addition, the company did loss billions of dollar when tried to expand the business in Europe and China. SWOT Analysis Strengths and threats: With a large company like Ford, the company need to have strategic plans and employees with a great ability in able to make the company growth and overcome to face threats that come from external. Since 1980, foreign auto industry entered the United State, which create high entrant threat for the auto industry in United State. The auto industry has been effects by the threat directly by many ways. However, as one of the biggest auto company in the United State and it had been in the industry for long time, beside GM and Chrysler, Ford is the brand that popular all over the global and this can be used as a strength for the company. In addition, Ford recruit Alan Mulally as a Chief Executive Officer (CEO) of the company was a smart decision. Alan Mulally has carried the company through many difficult times. For example: The Ford Auto Company has also face many more threats from external beside threat of high entrants, high switc... ... middle of paper ... ... as a unique market segment with its distinctive preference. Last but not least, the presence of Allen Mulally should be a good opportunity for the company to get better and better; therefore, Ford should make use and keep Allen Mulally. Although, Mulally came from outside of the company, especially he did not come from auto industry, but he came from the metal-bending business, which is similar to the auto making. He was executive vice president of Boeing Company and president and chief executive officer of Boing Commercial Airplanes. For this reason, it might help to restore faith in Ford management among investors, increase income in sales (Is One Ford Really Working?, 2013). Moreover, there are several senior executives left the company because of his appearances. Therefore, keeping him to stay is best suggestion to keep the company to growth and profitability.
Until recently, the Ford Motor Company has been one of the most dynastic of American enterprises, a factor which has both benefited the company and has brought it to the brink of disaster. Today Ford is the second largest manufacturer of automobiles and trucks in the world, and it’s operations are well diversified, both operationally and geographically. The company operates the worlds second largest finance company in the world, and is a major producer of tractors, glass and steel. It is most prominent in the US, but also has plants in Canada, Britain and Germany, and facilities in over 100 countries.
Henry Ford was a captain of industry. He owned Ford Motors, which was an automobile company. Ford was a man who always wanted his own way and he got it most of the time. The creation he is most famous for is the FORD MODEL T, the car for the commoners. His car became an instant hit amongst the people- the local people and the working class of people because it was very affordable and was not just for the rich. Ford was a very successful businessman but not particularly a nice guy. He expected a lot from his workers but thing is that he also cared for his workers, because he knew that not only were they dependent on him but also that he depended upon them, they were the ones due to which he was gaining popularity and success throughout America. Ford’s great strength was the manufacturing process for his cars. Instead of having people put together the entire car he created organized teams that added parts to the Model T as it moved down the assembly line, this lowered the production prices and also the time and energy required to put together the cars.
Ford Motor Company was founded in 1903 by Henry Ford. The company remained a private company until January 1956, when public sale of the common stock was first offered. The company mainly manufactures passenger cars, trucks, and commercial vans. They have also been able to produce automotive parts and accessories. Company headquarters are located in Dearborn, Michigan
Imagine that you are not that rich or not very poor. The very next day you are driving off the lot with a brand new Model T by Henry Ford. The car that is affordable for everyone to buy and it being safe to drive everyday and everywhere. Henry Ford led to the best car manufacturer in the world. The world knows this company because of how Henry Ford got his company to where it is now, how it is a unique company, and it rebounded time and time again. Ford was and is the greatest car company. It is here to stay.
A primary source referring to the financial success of the Ford Motor Company as well as the financial policies administered.
Foreign markets were beginning to show promise with the vehicles that were going to put out on the market. The Ford Motor Company began to feel the pressure and felt that it needed to be in the limelight of the competition. Lee Iococca, the CEO of Ford, decided that it was time for a change and thus the Ford Pinto was introduced. However, the Pinto had numerous flaws that cost the Ford Company more than ever anticipated.
Henry Ford was in two companies before making a successful company. The first company he had was first named Cadillac Motor Company then changed into the Ford Motor Company when they went bankrupt once, which was established in August 22, 1902. He went into this company with twenty-eight thousand dollars and eleven men. This company only made around five cars a day. The only way that they made cars was that they would group three guys on one car. During this time, the Great Depression was going on which made one of the toughest times to sell cars. When the company went bankrupt twice, he was not about to give up. When he was forty years old, he created the Ford Motor Company. On one of his projects he made a design for a car that broke the fastest car record. Once the word went around people started to buy his cars. Once the Great Depression ended he started making money. Today Ford Motor Company is one of the most successful company in America.
Strengths Since first reporting profits in 2003, Tesla Motors has been climbing it’s way to brand awareness ( Hirsch, 2015). While the ever-growing and changing company has many accolades, there are three core strengths Tesla Motors has to offer. These core strengths include, competitive advantage, pricing, and supply chain management.
So the discussion on internal and external analysis clearly defines that where the competitive advantage of Ford Motors is and where it is lacking. People who have durability as their first priority will go for Ford but they lack in some of their strategies which the management should consider and work on it. We also came to know that Ford is an innovative company from the very first and also serves local demands with the help of related and supporting industry. But in some points they have taken wrong decisions which compel them to sell some of their brands to others. The good news is they are doing hard job to maintain their performance regarding their star and cash cow products to remain in the competition.
Many economic factors exist that impact the development of Ford Motor Company's strategic plan and it’s no small task to project how some of these factors might change as the strategy is being realized. Consider the prospect of expansion into a new market like China or Mexico. Economic changes like currency devaluation will make Ford’s product more expensive to their target market potentially reducing overall sales revenue. Oil prices as we’ve seen in the U.S. economy can also play a big factor as large vehicles become less desirable and more fuel efficient compact cars gain market share.
...when the company focused on further improvements of its pickups and SUVs instead of focusing on innovations required by the changing demand. If the management had not been ignorant and would have developed sound strategy as soon as it spotted the change, the company would have avoided the crisis. However the company just recently adjusted its production plan and plans to continue realigning its manufacturing capacity, product mix and cut costs to fix the situation (“Ford Adjusts Production”).
Ford Motor Company current mission statement is “committed to provide personal mobility for people around the world”. With that in mind their vision is to become the world’s leading Consumer Company for automotive products and services. By improving everything they do, the company provide superior returns to their shareholders (Vision, Mission, Values).
In 1914 Ford shocked the industrial world when he raised the minimum wage of his employees to $5 dollars per hour a day, which was almost double the average wage. Also the Model T nicknamed the “Tin Lizzie” had dropped in price even more down to $360 dollars. (Henry Ford Biography, 2015) Ford had also grabbed 48% of the market in automobiles in 1914. Ford wanted to bring the price of his cars down as far as he could so that even the workers of his companies could buy one. Ford wanted to produce cars for the masses making it so that everyone could afford a Ford car. By this time Ford had greatly improved the morale of his workers and his customer base had also grown. The production of his assembly line was producing a high amount of vehicles at reasonable prices. It soon spread to other manufacturing companies all over the country changing how things were produced from then on. (Scientific Management Theory and the Ford Motor Company,
Ford- focused differentiation, medium pricing, breadth of product line is high. A strength is their pick-up truck market share, a weakness is perceived reliability and styling on some of the lines.
...(Boudette, and Dolan, 2010). Ford is about to launch its smaller vehicles; less than two years ago Ford motor’s plant in Mexico was building big pick-up trucks. But it has retooled to produce Ford’s small Fiesta car, due to go on sale in America for the first time in June. (Simon, 2010).Mulally is the architect of Ford’s remarkable recovery in its fortunes.