Automobile firm FORD - Essay Example

Comments (0) Cite this document
Summary
Clouded by the economic doom of this decade, the automobile industry has been suffering due to the reduced household income and having to comply with the new green standards in the…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.5% of users find it useful
Automobile firm FORD
Read TextPreview

Extract of sample "Automobile firm FORD"

Download file to see previous pages The rise in taxes in recent years has meant that petrol cars pay more VED. Companies have to take into account other laws such as new car warranties and the laws under the EU treaty such as those regarding location and block exemption.
The market is oligopolistic. Ford has a high market share in 3 categories of cars. However, international competition, especially from BRIC countries, is a threat. The Ford brand has lost its appeal to the masses and is now termed as an old brand. In the market, there are high barriers to entry from financial constraints and regulatory requirements. There is threat of substitutes from environment-friendly cars. Backward integration diminishes the power of suppliers. Customers have high bargaining power in this durable goods industry. The future strategies of Ford Motors should be focused on slashing prices, improving brand image and technological innovation.
The automobile industry is perhaps an industry that has suffered the most in the current global economic crisis situation. Burdened by the lack of consumer credit and cutbacks in household expenditures, this durable goods industry has had to endure setback in sales growth. Furthermore, the credit crunch has meant that the companies have found hard to draw capital from the pockets of investors. Oil price hikes and increase in credit costs pulled up the costs of manufacturing and put the giant manufacturers in the same league as small manufacturers with regard to problems faced. Companies like Chrysler have had to cut back on production in order to trim their inventories and reduce cost. Revill (2008) reports that Ford will reduce production at its Southampton factory in southern England in 2011 to 35,000 units, less than half of the 75,000 the factory built in 2007.
Despite this, the automotive industry has done quite well. According to Auto Industry (2007), in 2006, 1.4 million cars and 208,000 commercial vehicles were produced in the UK. SMMT (2009) reports ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Automobile firm FORD Essay Example | Topics and Well Written Essays - 3250 words”, n.d.)
Automobile firm FORD Essay Example | Topics and Well Written Essays - 3250 words. Retrieved from https://studentshare.org/miscellaneous/1561608-automobile-firm-ford
(Automobile Firm FORD Essay Example | Topics and Well Written Essays - 3250 Words)
Automobile Firm FORD Essay Example | Topics and Well Written Essays - 3250 Words. https://studentshare.org/miscellaneous/1561608-automobile-firm-ford.
“Automobile Firm FORD Essay Example | Topics and Well Written Essays - 3250 Words”, n.d. https://studentshare.org/miscellaneous/1561608-automobile-firm-ford.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Automobile firm FORD

Ford and the World Automobile Industry

...of technology and environmental concerns. For this reason Ford planned to make the switch to all-electric commercial vans and automobiles. This change in strategy had also been necessary because of the shift of market opportunities to the growing markets of Asia, Eastern Europe and Latin America. As a result the automobile producers were changing strategic focus to emphasize upon the newly industrializing countries as new sources of market opportunities. Driven by the emerging markets in BRIC countries and in the newly industrializing countries such as Korea, Thailand, Malaysia, Turkey and Argentina, the supply of cars and trucks continued to grow. However new product development costs...
10 Pages(2500 words)Essay

Supply Chain Management in Ford Automobile

...? (Assignment) Supply Chain Management in Ford Automobile Introduction Modern business firms heed exceeding emphasis on their supply chain activities along with their fundamental objectives like internal productivity, economic cost of production, and high profitability. The trend is attributed to the growing concept that effective supply chain management operations would benefit the whole business unit. Supply chain optimization strategies can play a vital role in improving the functionality and viability of automobile industry. This paper in particular will analyze various supply chain strategies and practices of Ford Motor Company. Supply chain...
4 Pages(1000 words)Research Paper

FORD AND THE WORLD AUTOMOBILE INDUSTRY IN 2012

...?FORD AND THE WORLD AUTOMOBILE INDUSTRY IN 1. The world automobile industry has experienced low profitability during the past two decades. What features of the industry have caused intensive competition and low profitability? The rudimentary characteristics of the modern cars have not altered much since the days when Ford happened to dominate the market. Nowadays cars happen to have the same number of wheels as back then that is four. Furthermore, cars are driven by a fuel engine. The body of a car is also joined together by parts of metal, exactly same as it was done by then. Notwithstanding the overpowering influence Ford happened to have on the...
4 Pages(1000 words)Essay

Ford automobile analysing the vertical integration

...? Ford Automobile Vertical Analysis Introduction Many people attribute the concept of vertical integration to a 19th century steeltycoon Andrew Carnegie. Subsequently, many organizations have adopted the concept with a view of improving efficiency and financial growth in their business operations. Vertical integration consists of the confinement of many value addition steps of a product or service to the same entity or company. The main purpose is to ensure that an organization maintains competitive advantage and subsequent increases its market base. Generally, it is the level at which an organization controls the main suppliers and buyers, and aims at improving marketplace supremacy (Katie, 2013). In the early 20th century, Ford... ...
5 Pages(1250 words)Essay

Automobile

...Automobiles With their high-performance automobiles, BMW and Chrysler are two of the most prominent and trusted automobile manufacturers in the world. This paper intends to describe and compare a number of their product line in 2006 series. One of BMW’s economy models is the M3. This car is powered by a 3.2-liter in-line 6-cylinder engine that produces around 333 horsepower at 7,900 revolutions per minute (rpm). The fuel consumption of this car is about 23 miles per gallon (mpg) for highway cycle and 16 mpg for city driving. This sedan model comes with an air conditioning with climate control, audio anti-theft protection, smart card or smart key manual with central locking, and...
4 Pages(1000 words)Essay

Mustang Ford

...Company Analysis: Mustang Ford Mustang Ford is a creation of Ford Motor Company (Bowling, . Currently, Ford is strategically placed in the automobile industry. It is categorized as a major firm in the industry that competes with other firms that produce similar products. It faces both international and domestic competition, and this has huge impacts on the industry’s motor operational planning. Domestic competitions that Ford faces are from General motors and Toyota, while China and Japan are its main international competitors. Its competitors have appropriate development strategies that enable them to...
4 Pages(1000 words)Assignment

Ford

...Ford case study The ford motor company which is simply known as ford was established in 1903 in America by Henry ford. Since then the company has grown both domestically and international with its plants found all over the world. Its headquarters are found in Dearborn, Michigan which is a suburb in Detroit. The company is a leading manufacturer of automobiles in the world that include commercial vehicles and luxury cars under its ford and Lincoln brand respectively. The company expanded globally and acquired other automobile company over the years by partial or full ownership. Some of the subsidiaries include Mazda,...
6 Pages(1500 words)Case Study

FORD

...1) What ethical system do you believe Ford was probably operating under at the time of this series of events? This is a speculation, as we have no empirical evidence upon which to base this claim. However, given their actions, you can make a logical inference. In this case rather than being ethical reasons to their customers, Ford was trying to keep their hands clean and did not want a bad name themselves. They had according to me were thinking that if they said to the public that the rollover was because of their fault in the car as speculated by certain agencies, it would hampers their sales in future. But according to me they should have given their customers the actual information. It would give the...
2 Pages(500 words)Essay

Ford

...accepted in parts of Asia. Threats • Japanese brands are competitive in most parts of the world including the U.S. making it hard Ford Motor Company to attain a significant market share. • Financial problems of Ford are likely to affect its capital forcing it to seek financial assistances from the government (Senna 2013). Open System Analysis Manufacturing process of Ford Motor company products has revolutionized since its inception in 1903 by Hendry Ford. Raw materials required are mainly steel, tires and petroleum products such as plastics. Design of the product is done with the help of software such as computer aided design. Parts of the vehicles are brought to...
4 Pages(1000 words)Research Paper

Ford

...identifies Nigeria as a potential foreign market where Ford can exploit to increase its profitability by tapping into potential customers. 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...
8 Pages(2000 words)Statistics Project
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Automobile firm FORD for FREE!

Contact Us