The Company's Dilemmas Facing Ford Motor Company
Like many business Ford Motor company has its dilemmas as well. Facing Ford Motor’s was a shut down their exiting ling of the Mercury vehicle. The Mercury line tried to be revamped into a model of vehicles people wanted. In May 2010 Ford reported double digit sales (Hirsch, 2010). This was not strong enough to save the Mercury line which accounts for five percent of the total company sales. By shutting down this line, Ford would be able to focus on other lines that were becoming more popular. The major characters are Ford Motor Company, General Motors, and the Government.
Company Background
In 1903 Ford Motor Company became incorporated with $28,000. The first car sold was a month after the incorporation. The company continued to build …show more content…
The May sales were reported at a higher cost due to this decision. This was found true by the rental car companies who would replace their fleet with other models. Another push from Ford was their decision to sell the Volvo car unit to China’s Geely area. These changes would allow Ford to focus on the Lincoln line of vehicle in North America. Ford continues to prosper as it earns an operating profit of $463 million in 2011 than it did the prior year. Also Ford has released dividend shares to stockholders, which is the first payout since 2006. Ford’s corporate citizenship includes employee volunteering in community projects. Key initiatives that drive the company is: an aggressive restructure to operate profitability at existing demands and changes to a model mix; accelerate a development of new products to which customer’s value; finance a plan to improve the balance sheet; work together as one team that leverages global …show more content…
Ford has created many cars such as the Model A and the Model T. It was Edsel Ford, who introduced the Mercury line to Ford. The family car was a popular item which attracted returning loyal customers. Ford was able to build many factories and many other models of cars throughout the years. Ford understood they were losing the market in the Mercury line. The production numbers showed as in 1978 there was 579.498 vehicles made. These numbers dropped and by 2009 the production reports were down to 92,299 vehicles made. They made several attempts to restructure the vehicle to attract younger buyers. They also tried to revamp the Lincoln line which is a spinoff of
Company Background
In 1903 Ford Motor Company became incorporated with $28,000. The first car sold was a month after the incorporation. The company continued to build …show more content…
The May sales were reported at a higher cost due to this decision. This was found true by the rental car companies who would replace their fleet with other models. Another push from Ford was their decision to sell the Volvo car unit to China’s Geely area. These changes would allow Ford to focus on the Lincoln line of vehicle in North America. Ford continues to prosper as it earns an operating profit of $463 million in 2011 than it did the prior year. Also Ford has released dividend shares to stockholders, which is the first payout since 2006. Ford’s corporate citizenship includes employee volunteering in community projects. Key initiatives that drive the company is: an aggressive restructure to operate profitability at existing demands and changes to a model mix; accelerate a development of new products to which customer’s value; finance a plan to improve the balance sheet; work together as one team that leverages global …show more content…
Ford has created many cars such as the Model A and the Model T. It was Edsel Ford, who introduced the Mercury line to Ford. The family car was a popular item which attracted returning loyal customers. Ford was able to build many factories and many other models of cars throughout the years. Ford understood they were losing the market in the Mercury line. The production numbers showed as in 1978 there was 579.498 vehicles made. These numbers dropped and by 2009 the production reports were down to 92,299 vehicles made. They made several attempts to restructure the vehicle to attract younger buyers. They also tried to revamp the Lincoln line which is a spinoff of