Ford Motor Company Essay - 3016 Words

Ford Industry Analysis The automobile industry began with Henry Ford’s production of the Model T in the early 1900’s. With the creation of the assembly line, cars became cheaper and quicker to produce, thus making them affordable for many people. There were originally 500 auto manufacturers. By 1908, there were only 200; and in 1917 only 23 remained. This vast reduction was due to large amounts of consolidation within the industry. Currently, the major competitors within the industry are Ford, DaimlerChrylser, General Motors (GM), Honda, Toyota, and Volkswagen. A few United States (US) manufacturers produce 23% of the world’s vehicles while Japan is responsible for 21%. The tendency for the industry is to be a global†¦show more content†¦Economic Climate In the past, the oversized vehicle was the body-style of choice among American consumers. In the 1970’s, oil shortages led to an increase in demand for more fuel-efficient cars, thus the sub-compact car became popularized. After 1979, Japan’s efficiency at producing this type of car allowed them to take 30% of the U.S. automobile market away from American manufacturers. In 1999, total industry sales have risen 8%2. Now, unprecedented competition has pressured firms to reduce costs. This competition is a result of the mass consolidations occurring among worldwide automotive manufacturers. These immense companies are able to offer many styles and options, but so many options come at a cost. This could become a problem for them as more informed consumers insist on lower prices and more add-ons. The World Wide Web, which allows consumers to thoroughly research and purchase automobiles from home, has become an essential ingredient to any successful automakers arsenal, and will continue to play a large role in the 21st Century. The luxury vehicle segment has grown more competitive, yet maintains large profit margin potential. American buyers have been showing increased interest in European and Japanese manufacturers. A study in 1990 revealed 11% of Americans wanted to purchase European luxury cars, a number that has increased to 23% in 1999. The SportShow MoreRelatedFord Motor Company2304 Words   |  10 PagesFord Motor Company GROUP PROJECT ACC 505 - FINANCIAL ACCOUNTING 12/01/96 TABLE OF CONTENTS DESCRIPTION PAGE INTRODUCTION........................................................1 LIQUIDITY...........................................................1-3 Working Capital...................................................1 Current Ratio Quick Ratio.......................................2 Receivable Turnover Average Days Sales UncollectedRead MoreFord Motor Company1426 Words   |  6 PagesFord Motor Company Supply Chain Strategy Background In 1913, Henry Ford revolutionized product manufacturing by introducing the first assembly line to the automotive industry. 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By comparing the two paths both parallel companies have taken throughout over one hundred years of operations (Dykes, 2015), we can expose proper and improper business strategies within Canada. We can adventure through the strengt hs built up by management,Read MoreThe Legacy Of The Ford Motor Company1023 Words   |  5 PagesOn June 17, 1903 the Ford Motor Company was organized. The date is the day the deal started for Henry Ford not because the company had his name, the day all his hard work would start to payoff. To look at the deal from just one day would not do justice to the brilliant way and intertwined ways Henry Ford took the world by storm. From the start in Ford’s garage to the offices of lawyers, and then on to control of the largest automotive companies in the world one can see the deal was just a key toRead MoreThe Invention Of The Ford Motor Company1279 Words   |  6 Pagesincome for Americans meant that they were able to afford more appliances like a toaster or a car. Prices dropped with industrial innovations like the moving assembly line. With these new prices, people could buy more per dollar. Henry Ford’s, The Ford Motor Company is an example of a business that prospered i n the 1920s. The innovation of Ford’s Model T allowed many Americans to explore the country and experience being on the road. Along with these new products and appliances, businesses made a new formRead MoreFord Motor Company Essay760 Words   |  4 PagesFord motor company: The Ford Empire was almost a century old. After a series of great growth periods and high revenues, the company from early 2004 to 2008 has been hit by the recession and very challenging times. The decision to invite an outsider as the CEO of Ford motors was to take a fresh and rather novel view of Ford operations and to look at it unbiased. Ford appears on the list of the world’s most ethical companies its commitment to stakeholder engagement, corporate governance, sustainability