Case Analysis - Ford Motors

General Motors and Ford Motor Company are one of the top two companies in the motor industry every year. But with every great company it will have it’s ups and downs and with the ratios we have for both companies it will be easier to explain the performance of both companies in depth. The price ratio helps us better understand the future outlook of a company’s stock. And with the Beta it helps us measure the risk of the stock in the company. With both companies there PE ratio fall to the industry average means that they are expected to have a rise in their stock in the future which isn’t necessarily a bad thing. The Beta for the industry average is around 1.41 and if your company has more than that it would be considered a higher risk but with a higher reward, vice versa if your number is lower it has lower risk with little reward. The Beta for GM was 1.42 which means that investing in this company would be more of a risk but in the end it could come with a greater reward. Then with Ford their Beta lies below the line which means their company is low risk low reward. So when picking a company off of this data one would choose GM most likely due to high risk high reward.

“In September of 2006 William Clay Ford, Jr. was named CEO of the Ford Motor Company. . In Liker and James’ journal article (2011) they noted that Ford brought in Allan Mulally whose job it was to use borrowed monies to bring Ford Motor Company back to a more stable and profitable state. Mulally had to decide where to use the borrowed $23 billion and where to cut cost. To help with this he appointed Derrick Kuzak, former vice-president of Europe’s product

Every external factor exhibits an open door or risk that the business must address through vital activity. As one of the main five players in the worldwide car industry, Ford guarantees that it addresses the issues in its PESTLE analysis. These issues are an immediate determinant of the hierarchical advancement direction of Ford.

General Motors (GM) was one of the premier automakers of the world. Firmly planted as the leader of the big three automakers, GM, Ford, and Chrysler, years of success grounded GM as an economic and cultural icon of American business. As the Japanese auto market grew and became more efficient, turning out improved vehicles that the public wanted, GM was becoming a lumbering behemoth of inefficiency and corporate gluttony. Many circumstances contribute to GM’s road to bankruptcy including high legacy costs in union owned contracts, largely poor design, inferior quality, and low productivity.

Ideas introduced in the article assist in understanding Ford’s current situation. Ford reported sharp falls in U.S. auto sales in May 2008. Sales of its most profitable pickups and SUVs suffered the most (“US Auto Sales Slide”). Some of the main

The figure illustrates that Australian is among the highest labour country as compared to other higher automotive countries. Car industry workers in Australia are waged About $50 an hour when all taxes, privileges and other benefits are included, compared to $32 an hour for industrial workers across all sectors. According to local factory sources, labour financial statement for 65percent of an automobile’s manufacturing cost in Australia. The budgets of producing motor vehicles in Australia is more as compared to some other countries. Holden Ford and some other countries stated that the cost of motor vehicles trade in Australia is two times higher than in Europe, and four times higher in Asia. The high cost producer of vehicles is because

Ever since the 2008 recession US automobile companies have been on a steady downhill slide, but actually you can trace this downward trend even further back than 2008. US car companies have been feeling the heat since as early as the late 1980s when Japanese car companies laid claim to American manufacturing plants . Despite a shot in the arm in sales over the past five years, American firms are still on the decline. This case analysis aims to diagnosis the problem, provide analysis of the problem, and propose a viable solution to the problem from the perspective of the US automobile market share leader, General Motors.

Ford Company basically has to fulfill and satisfy the legal requirements required of it, it does so through:

Considering the unethical business dealings between Maitland Motors and Wisconsin-National, Inc., the recommended solution would favor the third alternative. This decision had a high risk of losing

Ford in 2011 is on the rebound, having recovered from the darkest hours in the late 2000s. The company for the company is that many of its competitors are also rebounding, and there are significant long-run changes in the automobile industry. Ford needs to determine a strategy that will take the company through the next decade, and improve the company's competitive position. The company has four of the top fifteen best-selling cars in America, but also needs to set strategy globally, as many of the best automobile growth markets are overseas. Another strategic consideration is that CEO Alan Mulally remains in the process of changing the organizational culture at Ford, which had become stagnant and unresponsive to the changes in the industry environment.

Ford Motor Company preserves its place as one of the largest makers of vehicles globally by making changes to its strategies. Ford needs to create a plan of action and ideas that react to the most substantial effects from outside divisors in the motor vehicle industry globally. The Five Forces analysis of Ford Motor Company recognizes the most significant outside elements and how they affect the company, rendering data that helps in management’s decision-making process.

Faced with an overwhelmingly complex situation, Alan Mulally has been brought in as Ford Motor Company's new president and CEO. As diverse global dynamics confront the company and competitive pressures continue to build, he has the challenging task of improving Ford's brand image and returning the company to profitability. Mulally has invited your consulting firm to advise his management team on restoring the company's reputation and viability. Assigned to the project, you have been asked to evaluate Ford's situation and prepare a report with the following content:

In light of the above discussion on Ford, we can analyse Toyota across the dimensions of Leadership, Culture, Power/Politics and Structure. This will help us better understand whether Toyota, the second largest automobile manufacturer in the world, took a different management approach from Ford. As mentioned earlier, it is evident that both were fighting entirely different battles, albeit repercussions of which were similar. Ford was trying to keep its head above water as GM and Chrysler submerged in the subprime crisis’ fallout. On the other hand, Toyota was trying to ensure that the impact of this crisis, now affecting the larger automotive industry especially in terms of falling profit margins and sales volumes, could be limited at its doorstep

One of the world’s largest automakers, GMC has it’s roots traced back to 1908. Also known as GM, this company is a United States-based automaker with its headquarters in Detroit, Michigan. After the General Motors Company was founded, it soon became known as one of the largest car manufacturers in the world. In 1909, the Grabowsky Rapid Motor Vehicle Company (GMC) joined with GM. The trade name GMC Trucks was first exhibited in 1912 at the New York Auto Show and registered with the U.S. Patent Office eight months later. The

Q: 1 Why are Ford and GM entering the Russian car market now? Why did they not invest earlier, and why do they do not postpone investment until the market is bigger?