Google Answers Logo
View Question
Q: Ford Motor Co ( Answered 4 out of 5 stars,   0 Comments )
Subject: Ford Motor Co
Category: Business and Money
Asked by: rwh1955-ga
List Price: $15.00
Posted: 11 Nov 2002 18:49 PST
Expires: 11 Dec 2002 18:49 PST
Question ID: 105755
I need a SWOT analysis of Ford.

What is Ford's strenghts, weaknesses, oportunities, and threats?

What is Ford's strategic policy and what would you do to change it for the better?
Subject: Re: Ford Motor Co
Answered By: willie-ga on 12 Nov 2002 03:07 PST
Rated:4 out of 5 stars
Hello, and thanks for the question

I‘ve summarised the SWOT in a style you’d see in the standard SWOT
lists. If you need to fill it out or if you are doing this as a
research paper, you’ll find all the ammo you need at :
Case Analysis/Research Help: Ford Motor Company

Most of the info below is abstracted from papers and info found at the
above site.


-4th on the Fortune 500 List (U.S. only)
-4th on the Global 500 List
-39th on the Best Companies for Minorities List
-One of world’s best known brands
-Their Web strategy has cut car build costs by as much as $380 per car
-Have already invested heavily in alternate fuel sources
-Ford are seen as supportive eg 
   - Gave Generously after the September 11 Attacks
   - Give Generously to Help Fight Breast Cancer
   - Support Racing Teams, NASCAR , Formula One Etc


-Firestone Tire recalls caused Stock Price to Suffer--$14.70, Lowest
in Years
-CEO Jacques Nasser and Chairman Bill Ford Jr. could not  get along
leading to Bill Ford taking over as CEO
-Cash Reserves Have Sunk to $4.1 Billion
-$13 Billion on Acquisitions
-$3.5 Billion to Cover Tire Recalls
-Sometimes seen as "safe", "boring"


-Have a chance to become more environmentally friendly with cleaner
engine emissions and by working with environmental groups to help
clean the environment
-Ford have already started investing in Solar Power ,and have a chance
to become a market leader
-They can use their Web strategy to cut costs further
-They can take advantage of their perceived generosity by giving to
more charities, and using the fact in their targeted advertising.


-Competition is huge.
-Internal strife will hurt the company.
-Threat of substitute products such as Natural gas, Electricity,
Ethanol, Vegetable oil, Sunlight, Water
-Intensity of Rivalry among competitors worldwide
-Worldwide markets threatened due to the "War on Terrorism"

Ford’s Strategic Policy

In January 2002, Ford launched a major revitalization strategic plan
with three key elements:
- A strong focus on products.
- An emphasis on cost reductions.
- A commitment to right-sizing the business.

The plan is to improve their quality and rationalize capacity in North
America from 5.7 million units to 4.8 million. It includes the closing
of five plants and the elimination of four low-margin vehicles by
mid-decade. By then they will be introducing 10 new and 10 freshened
models annually in North America.
In Europe, the strategy includes 45 new or significantly improved
products over a five-year period,
( and in Europe it has already improved market share and returned Ford
of Europe to profitability. )

An opinion on the policy direction

In my view Ford are right in focusing on their products, as their
brand name is their big strength, but their policy does not go far
enough in preparing for the future, in terms of alternate, greener,
fuels. The importance of this sector will become paramount, especially
if the situation in the Middle East deteriorates and an oil crisis
develops. Japanese competitors such as Honda are well advanced in
developing "hybrid" engines and new fuel sources, and in retrenching
to cut costs and focusing inwards, Ford are in danger in missing out
on the bigger world market picture.

Also, the recent politics at board level have led the public to see
Ford as a company in turmoil. An inward looking strategic policy won't

So I would put more emphasis on emerging technologies , and stress
Ford’s position as a leading world company, at the fore front of
development of a greener, cleaner, future. This would also help to
negate somewhat the "boring" image people have of the company, and
would also divert attention from the recent history of in-fighting. A
high profile ad campaign emphasising Ford’s "supportiveness" would
also help in this regard

Here is one of the areas I think they should be emphasising
"Ford Motor Company has also joined with over 50 other companies in
endorsing the ten-point code of environmental conduct set out by the
Coalition for Environmentally Responsible Economics (CERES). "
Taken from "Promising Developments at Ford Motor Company"

In summary, they should be playing to their strengths, not emphasising
the fact that they are working on their weaknesses.

Hope that’s what you wanted, but if you need anything clarified, just


Google searches used
Ford strategy
Ford research
Ford Future
Ford News
"Ford Motor Company" future
"Ford Motor Company" strategy
"Ford Motor Company" research
"Ford Motor Company" news
rwh1955-ga rated this answer:4 out of 5 stars
Good job.  Thanks.  4.5 stars

There are no comments at this time.

Important Disclaimer: Answers and comments provided on Google Answers are general information, and are not intended to substitute for informed professional medical, psychiatric, psychological, tax, legal, investment, accounting, or other professional advice. Google does not endorse, and expressly disclaims liability for any product, manufacturer, distributor, service or service provider mentioned or any opinion expressed in answers or comments. Please read carefully the Google Answers Terms of Service.

If you feel that you have found inappropriate content, please let us know by emailing us at with the question ID listed above. Thank you.
Search Google Answers for
Google Answers  

Google Home - Answers FAQ - Terms of Service - Privacy Policy