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Ford Case Study

Was written for Business Strategy Class on July 03 at Stony Brook University



Discussion Question #1

Is it necessary for Ford to produce and/or sell a large proportion of its vehicles abroad to maintain its strong domestic market position in the coming decade?


The majority believe that in order to keep a strong domestic sales value, the automotive company must produce and/or sell a large proportion of its vehicles overseas.

The reasons for that are as followed (Ferris, 2019)

  • Selling abroad helps the company to keep a large international client base

  • Especially when the U.S client base is established it is very helpful to develop and grow the international client base

  • Selling overseas helps the brand to gain a reputation as an international, multi-cultural organization.

  • Selling abroad helps the company learn from the knowledge and experience of other cultures and client base needs.




Discussion Question #2

Should Ford actively pursue any specific mergers, acquisitions, or strategic alliances? Why or why not?


Yes. I believe that Ford as a company is far behind on electric vehicle models. GM, for example, has an electric research team, Chevrolet has also developed this matter.

Although Ford does have an electric vehicle, it is not very unpopular and received negative reviews. (Escalent, 2020)

In my opinion, Ford needs to move from Trucks which are very fuel inefficient, to hybrid and electric. If they can research and put the time into building a unique model they might even be able to be a first-mover on a hybrid truck or an electric truck. It is clear to see that Ford is very far behind the lead innovative automotive company, which is Tesla.


Discussion Question #3

How can and should Ford address environmental concerns in areas such as pollution and fuel economy? Explain.

The company should be an early responder to innovation, research, and development and always bring the latest innovative technology that is as environmentally friendly as it can be. Ford as a company should publicly support nonprofit organizations that act to aid and support environmental issues.

Although cars are considered non environmentally friendly, ford should emphasize that buying a ford, that is a quality car that will stay for years and years - is, in fact, better for the environment than having to replace, and purchasing more cars that will result in more harm for the environment. In that aspect - purchasing a quality car is a good thing.




 

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