Question

With Ford Motors in mind:

Analyze different scenarios and discuss how each group of stakeholders would be affected. (E.g. layoffs, cuts on quality, pay decreases, etc.) How will the different scenarios benefit certain groups? How will others hurt certain groups?

Customers/Consumers:

Managers and Employees:

The Local Communities:

Investors

Suppliers

Answer 1

Ford Motor is a American multinational automaker company headquartered in dearborn.The company sell automobiles and commercial vehicles under the Ford and the luxuary vehicle under the Lincoln brand.In case of in any uncertanity like layoffs, cut on quality,pay decreases there would be a erffect on the different group of people who are related to company.The advantages and the disadvantages of the changes are as follow-

Customers/consumers-The customer will only be effected in case of the quality dereases as he/she is not directly related to the company so the layoffs or any other thing may not effect him. On the other hand the qecrease quality would give other rival companies to promote their product and also take an advantage to acquire the customer from Ford.

Managers and employees-The layoffs and decrease pay will cause a majour problem to these people as the only motivation for some people is the paycheck they get at the end of the day.Decreased pay and layoffs will create a sense of unstability in the working culture and also will make the employees consious and ansious as they will always be in a situation where they would think of the next layoffs and be insecure of there position. The quality of work will decrease due to this and decrease pay will make the employees to look for better jobs outside the business.

The local communities

Investor- Investors will become dissatisfied as they amout of return on therir investment will be reduced and if the sales go down due to the decreased quality there will be less profit which again in turn will make the investor unhappy.Any bad name to the company will also make its investors goodwill to be reduced.

Suppliers-Suppliers will also face an issue if the quantity they supply reduces , the amout of money they get per supply will reduce and there will also be a danger to the goodwill .