Executive Summary of the Ford Motor Company

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Executive Summary Ford Motor Company has been and till the date is known as the king of innovations in the automobile industry. Their research & development department and innovation of interchangeable parts in moving assembly lines resulted in extraordinary global extension for them. They are an old heritage who ruled and still doing impressive jobs in the global automobile market. Some prestigious motor brands are also owned by Ford. Despite of these good things, Ford Motor faced a loss due to some wrong decisions taken by the management regarding their business strategy. The decision of centralizing the management made them think narrowly which results in too much Americanization and ignorance of local market in the rest of the world. This caused losing global market for them. This assignment focuses on internal analysis of Ford Motor by doing SWOT analysis and external analysis by doing Pestle analysis. The assignment also focuses on the strategic performance analysis on the basis of Porter’s Diamond Model, BCG Matrix and Blue Ocean Strategy. SWOT analysis showed that, Ford Motor has strength on heritage, global aspect, brand name, innovation etc. It has weakness on market share, global competition and affected by economic recession. The opportunities lie on small cars, fuel efficient cars and production market in India and China due to lower cost. Threats are coming from high price of petrol, raw material, labor and competition from other companies. Pestle analysis showed that, Ford maintained worker friendly company and able to cope up with financial crisis during recession. They focused on advertisement. Also go for joint venture with Microsoft to bring new technology in the car. They produce environmental friendly cars. A... ... middle of paper ... ...tory of Ford Motor. Now at the present time Ford can create another blue ocean by working hard on full electric vehicle as their new innovation. Conclusion: So the discussion on internal and external analysis clearly defines that where the competitive advantage of Ford Motors is and where it is lacking. People who have durability as their first priority will go for Ford but they lack in some of their strategies which the management should consider and work on it. We also came to know that Ford is an innovative company from the very first and also serves local demands with the help of related and supporting industry. But in some points they have taken wrong decisions which compel them to sell some of their brands to others. The good news is they are doing hard job to maintain their performance regarding their star and cash cow products to remain in the competition.

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