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Pages 18 (4518 words)
Executive Summary This research paper will give a deep insight into the present situation of Ford. Ford has been in crisis for some years now. The reasons that have lead to this crisis are many. There are external factors as well as internal factors that lead to the present crisis situation…
The first part of the analysis will give a summary about the company and its problems in general. From the analysis in the second part it is found that poor management and decision making is the core problem of Ford. Ford is also loosing the market edge on Hybrid and Small cars segment. A fish bone diagram is used to represent the various problems that have lead to the loss of profitability for Ford. The analysis helped to arrive at the issues which are management, competition, recession and quality. Excessive family control and poor decision making are the major management issues. Similarly, competition from Japanese car makers and other small and hybrid car makers are the major competition lead issues. Low demand and rippling effects of the recession are the recessionary issues. Finally product defects and recalls following that are the quality issues that affected ford. The analysis had also put forward various other solutions that will help the company to come back to profitability. Huge reduction of the family’s stake in the business is among the primary solution for Ford. The later part of the report will give a detailed cost benefit analysis for arriving at the right decision for the company. Ford Motor Company Position Ford Motor Company is one of the largest multinational automakers in the world. Ford Motor Company is headquartered in Dearborn in Michigan State of US. ...
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