FORD

CASE ANALYSIS REPORT STRATEGIC

PLANNING AND MANAGEMENT
IE 166-E01 Q4 SY 18-19
MAPUA UNIVERSITY
CARAAN, MA.FRANCINE ISABEL G.
FLORES, EDSEL VINCENT PAUL L..
PEFIANCO, MARCO RAFAEL Z.
SURABIA, LOUIS MICHAEL F.
I. COMPANY BACKGROUND
COMPANY BACKGROUND

• Founded by Henry Ford

• Developed the model T , Edsel, model S
• Headquartered in Dearborn, Michigan, USA
• Incorporated in 1903 of June 16
• Introduced the Assembly Line Mode of Production.
BUSINESS MODEL

• FORD SELLS VEHICLES TO VARIOUS MARKET SEGMENTS LOCALLY AND GLOBALLY

FORD PRODUCT LINES
• FORD PRODUCT LINES INCLUDE THE :
• FIESTA
• EXPEDITION
• RANGER
• RAPTOR
• FOCUS
• GT
• MUSTANG
• FORRESTER
• E-SERIES OF TRUCKS
• F-SERIES OF TRUCKS
FORD MUSTANG COMMERCIAL
 Young Professionals

Businessmen
TARGET
MARKET Corporations

Family Folks

Car Enthusiasts
CURRENT PERFORMANCE

• As of 2018 it is now the third largest car manufacturer having a 5.83 percent in market share
• It has generated 160.3 billion U.S dollars in revenue as of 2018
II. STRATEGIC INTENT
STRATEGY INTRODUCTION

• Vision: ““people working together as a lean, global enterprise for automotive leadership.”
• Mission: ““One Team. One Plan. One Goal.”
• Goal: To be a market leader in the automotive industry
• Strategy: Using the One Ford Strategy

• http://panmore.com/ford-motor-company-vision-statement-mission-statement
ONE FORD TO RULE THEM ALL
III. INDUSTRY ANALYSIS
INDUSTRY STRUCTURE

Global Market Share of the automotive industry as of 2018

2.76
2.72
9.46
3.08

4.39
7.38
4.76

5.39 5.83
5.42

Toyota Volkswagen Ford Nissan Honda Hyundai Chevrolet Kia Mercedes Renault
KEY SUCCESS FACTORS OF FORD

• Government subsidies in North America and Western Europe

• The One Ford transformation plan
• Alliance and partnerships with other companies
• Demand from other markets such as China, India and Brazil
FORCES SHAPING THE INDUSTRY AND THEIR
IMPLICATIONS
• SATURATION OF THE MARKET IN DEVELOPED COUNTRIES
• NEW ENTRANTS SUCH AS TATA AND OTHER CHINESE COMPANIES
• GOVERNMENT REGULATIONS REGARDING DISTRIBUTION OF AMERICAN PRODUCTS AND BRANDS
• TARRIFS DUE TO TRADE WAR
• PRICE, SUPPLY AND DEMAND OF CRUDE OIL
• SHIFT TO ELETRCITY AND OTHER FORMS OF RENEWABLE ENERGY
• CAR POOLING AND PUBLIC TRANSPORTATION USE
• MORE CUSTOMERS NOT BUYING VEHICLES AND A PREFERENCE FOR MAINTENANCE OF VEHICLES
 COMPETITION
OTHER CAR MANUFACTURERS GLOBAL AND
LOCAL
IV. RESOURCES AND CAPABILITIES
 RESOURCES AND CAPABILITIES

• Has 213,000 employees and 90 plants and facilities worldwide

• Revenues of 156.7 billion U.S Dollars
• Strong government support locally
• Has partnerships with various companies local and global
• Recognizable brand image worldwide
V. FINDING THE STRATEGIC FIT
 SWOT ANALYSIS OF FORD
• STRENGTHS:
• 3rd in Market share globally and 2nd in market share in the U.S market
• Strong Research and Development
• New Technologies
• Patents
• Large portfolio of products
• WEAKNESSES:
• Not doing well in emerging markets
• Parts are difficult to find in some regions of the globe
• Capacity of Vehicles exceeds demand of vehicles
 SWOT ANALYSIS OF FORD:
• OPPORTUNITIES:
• Expansion to emerging markets
• Alternative sources of fuel such as electric, hybrid fuel cells which will create new demands
• Rise of Income of households
• THREATS:
• Tariffs from both local and global sources
• Increased competition
• Slowdown of the global economy
• Environmental regulations
• Government Instability in some regions
VI. RECOMMENDATIONS
RECOMMENDATIONS FOR FORD
• Increase market share in emerging markets such as south east Asia, Africa and Latin America
• Continue creating partnerships with other companies such as Toyota, TATA and Volkswagen
• Concentrate on the middle class and upper middle income demographics
• Uphold Patriotism from Buyers especially from the U.S Market
• Invest in technology and renewable sources of energy.
• Be aggressive in marketing
• Maintain or overcome the 3rd position in the market share
• Market the company’s charitable foundations and corporate responsibility projects for a better brand image
• Continue developing the F-SERIES of Truck since they are the most profitable when it comes in the U.S Market
AND HAS POTENTIAL IN OTHER MARKETS
JUSTIFICATION OF STRATEGY

• CONTINUE THE F-SERIES OF TRUCKS

• INVEST IN TECHNOLOGY AND RENEWABLE SOURCES OF ENERGY
• COST LEADERSHIP IN EMERGING MARKETS
VII. CONCLUSION
WHY PICK FORD ?
SUMMARY

• FORD NEEDS TO MOVE RENEWABLE SOURCES OF ENERGY

• CONTINUE PENETRATING EMERGING MARKET
• MAINTAIN HOLD IN GLOBAL MARKET SHARE AND STRIVE TO BE THE MARKET LEADER
• MAINTAIN AND CREATE AN EFFICIENT AND EFFECTIVE SUPPLY CHAIN GLOBALLY.
• CREATE BENCHMARKING STRATEGIES
• Develop products that would be use for Public use instead of Private vehicle used.
REFERENCES:

• https://www.marketing91.com/swot-analysis-ford/
• http://panmore.com/ford-motor-company-vision-statement-mission-statement

• https://www.academia.edu/12677649/Ford_Motor_Company_Strategic_Fit_of_the_Firm_Assessment