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Ford - Statistics Project Example

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It was founded by Henry Ford in America in 1903 and has its headquarters in Michigan and exports its cars to all continents. Apart from the mother country, Ford also has…
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Download file to see previous pages Since1903, the company has produced motor vehicles in various categories such as cars, trucks, and even tractors. Through innovation and sustainable development, Ford has managed to stay afloat for a century and above while providing its clients with quality and affordable motor vehicles. It owns minority stakes in several other automobile makers. Apart from subsidiary ownership, Ford has also been able to buy and sell several other motor vehicle manufacturers over the years depending on its needs to expand its operations globally and maintain profitability. Nigeria, as the new target market has potential for success to Ford. Nigeria represents Africa’s largest economy with favourable demographics. Since Africa is still developing as a continent, expanding to Nigeria is likely to register success in the long run due to the purchasing power of its population. However, the country has had a tumultuous political past of civil wars. Currently, there is tension due to subversive activities by the subversive militia known as Boko Haram.
Company and environment analysis will help in the making of better informed decisions especially with regard to risk assessment and management (Singla, 2007). The analysis consists of PESTEL, SWOT, VRIO framework and Porters Five Forces model analysis. The result of these analyses significantly influences strategy formulation that follows thereafter.
Beginning with PESTEL, the political environment takes significance. Even though there is political disturbance caused by the militia group (Boko Haram), there are likely no unbearable circumstances as oil exploration, mining and trade continue. It indicates that Ford can launch its operations and expect success as the government supports businesses are able to operate. Secondly, the economy is excellent for Ford to expand to Nigeria. As the largest economy in Africa and still growing, economic stability will definitely ensure that interest and exchange rates are ...Download file to see next pagesRead More
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