Question

Ford Motors case analysis:

Write a 1-2 page case analysis on Ford Motors.

Include: intoduction, services, target marketing, competitors, industry analysis, environmental scan, problems and solutions to thrive in the future, and summary

Answer 1

Introduction:

Ford (NYSE: F) is one of the most seasoned and most notorious automobile manufacturers on the planet. The organization's organizer, Henry Ford, is broadly credited with propelling the cutting edge automobile industry by making a mass market for autos.
Ford is right now positioned the fifth most profitable car mark on the planet by Statista and the seventh biggest auto producer by Forbes.It fabricated around 5.97 vehicles at 90 plants worldwide in 2014. Ford's significant items are traveler autos and light business vehicles (trucks and vans); it created around 3.231 million traveler autos and 2.64 million light business vehicles in 2014. Ford additionally constructed 94,845 trucks around the same time.
Ford's present resources incorporate 90 production lines, two car brands—Ford and Lincoln—and the Ford Motor Credit Company. Ford detailed incomes of $141.95 billion on June 30, 2015. Ford's biggest market is the United States, where it created $82.67 billion in incomes in 2014, as per Statista; Ford's offer of the worldwide car advertise expanded by 4.48% of every 2014.

Services:

Ford Motor Company offers a wide scope of cars under the Ford marque around the world, and an extra scope of extravagance vehicles under the Lincoln marque in the United States. The organization has sold vehicles under various different marques amid its history. The Mercury mark was presented by Ford in 1939, proceeding underway until the point that 2011 when poor deals prompted its stopping. In 1958, Ford presented the Edsel mark, however poor deals prompted its cessation in 1960. In 1985, the Merkur mark was acquainted in the United States with advertise items created by Ford of Europe; it was suspended in 1989.

Ford gained the British games auto producer Aston Martin in 1989, later offering it on March 12, 2007,although holding a 8% stake.Ford obtained Volvo Cars of Sweden in 1999,selling it to Zhejiang Geely Holding Group in 2010. In November 2008, it decreased its 33.4% controlling enthusiasm for Mazda of Japan to a 13.4% non-controlling interest.

On November 18, 2010, Ford lessened their stake further to only 3%, refering to the diminishment of proprietorship would enable more prominent adaptability to seek after development in developing markets. Ford and Mazda stay vital accomplices through trades of mechanical data and joint endeavors, including an American joint wander plant in Flat Rock, Michigan called Auto Alliance.Ford sold the United Kingdom-based Jaguar and Land Rover organizations and brands to Tata Motors of India in March 2008. In 2015, Ford sold its outstanding 3% stake in Mazda.

Target Marketing:

The organization of FORD is using Differentiated Strategy in their businesses. This strategy is to targets two or more segments by developing marketing mix for each segment. FORD Motor Company designed to appeal to many different types of consumers and to satisfy many different needs in the form of economy cars, sports cars,

luxury cars, station wagons, vans, trucks, and so on. Now the latest cars that the company produce is FORD FIESTA, this car are focus on young people and ladies.

Competitors:

FORD see ecological powers as wild and keep up detached and responsive to the earth. In the vehicle showcase, FORD is confronting numerous competitors like TOYOTA, HONDA and NISSAN. Competitors are influencing the FORD Company by decreasing the business rate. In this circumstance, FORD is delivering another model auto which is FORD FIESTA this period of auto is center to draw in youngsters and women. That as well as concentrated on making a solid marketable strategy that deliver incredible items that add to this new age. As a component of association design, the organization may keep on pressing forward to globalize cars stages that can be adjusted to meet particular territorial needs. Adaptable assembling capacities enable us to put up items for sale to the public with more prominent speed and proficiency than at any other time.

The advertisers characterize the FORD organizations as an oligopoly rivalry in the market structure in light of the fact that in the market there are numerous substitutes accessible yet just a single organization offerings for another.

Ford’s Strengths

Strong position in the American auto market. Ford’s U.S. market share in the market for cars and light trucks in August 2015 was 14.8%, making it number two to General Motors Corporation.
Ford’s biggest market is the United States, which has been doing better economically than the two other large markets, China and Europe, in recent years.
Ford has some popular models, including the F150 pickup truck, the Transit Connect work van, the Fusion sedan and the Explorer SUV.
Strong financial position. Ford reported a free cash flow of $3.477 billion in June 2015.
Proven expertise in manufacturing, research and development and automobile marketing.
Strong dealership network. Ford currently has 7,500, according to Automotive News.
Ford’s expertise in the manufacture and marketing of light commercial vehicles, particularly vans. The demand for commercial vans is growing because of the increasing demand for delivery service created by growing e-commerce.
Ford’s Weaknesses

Inability to match the production capabilities or sales volume of the top five automakers: Toyota, Volkswagen, General Motors, Renault-Nissan and Hyundai Kia. Both Toyota and Volkswagen produced over 10 million vehicles in 2014, or twice as many as Ford data provided by Statista indicates.[5]
Poor reputation of American auto brands compared to European and Japanese competitors. Lincoln in particular is widely considered an inferior product to British and Germany luxury cars, even in the United States.
Heavy dependence on U.S. and European auto markets. Most experts believe future growth in car sales will be in emerging markets such as China and India.
Large operations in Europe, where car sales have been stagnant in recent years.
Ford’s reputation as a working- or middle-class brand, which makes it hard to market vehicles to the upwardly mobile.
Heavy reliance on pickup truck sales. Pickups have limited appeal outside the North American market.
Dependence on some national auto markets that are in recession because of falling prices for natural resources, such as Russia, Brazil and Canada.
Ford’s reputation as a staid, conservative brand, which makes it harder to market to younger consumers.
Low stock price $15.26 a share on October 19, 2015.
Poor reputation with investors, which can limit the company’s ability to raise capital. Ford had a market capitalization of just $60.55 billion on October 19, 2015.
Opportunities for Ford

New automotive technologies, such as self-driving or autonomous cars. These could increase demand for new models and sales. The publicity-generated new technologies could also increase interest in car purchases.
Volkswagen’s diesel scandal. Ford has not marketed any diesel-powered vehicles in the United States, which means it will not be hurt by the scandal. Ford could take some market share by marketing disgruntled Volkswagen customers. Volkswagen will lose the competitive edge that diesel mileage gives it.
Ford’s alternative fuel cars, particularly the C-Max Electric and the Fusion hybrid,[6] which are not dependent on diesel. Ford is marketing a C-Max electric plug-in hybrid. The market for these is growing, particularly with concerns about air pollution and a growing suspicion of electric cars created by the Volkswagen scandal.
Growing auto markets, particularly in expanding economies such as China, Mexico and India.
New uses for vehicles, such as app-bases serviced like Uber and Lyft and short-term rental services like Zipcar. These could create new markets for vehicles and for vehicle financing.
Increased levels of e-commerce, which could increase the demand for light commercial vehicles that are used for delivery. Ford manufactures one of the most popular delivery vehicles: the Transit Connect work van.
Threats to Ford

The growing presence of German and Japanese automakers in the vital North American auto market, particularly Volkswagen and Toyato