Need a unique essay?
Order now

Strategy and Analytics for The Ford Motor Company - Essay Example

6 pages
1510 words
Boston College
Type of paper: 
This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.

Threats include strict environmental rules, slowdown in the global economy, and stiff competition.

Also, weaknesses like increasing levels of toll calls, customer dissatisfaction and migration into cities affect the business performance negatively.

Key issues

Key issues include potential opportunities for expansion like chain supply management, relocation of manufacturing plants and a shift to manufacturing smart vehicles.


Strategy and Analytics for The Ford Motor Company

Plan for Collaboration

The team will be working together during the block week. The team met during the previous week to sum individuals drafts. The team agreed to use three major sources During the coursework namely; The Five Competitive Forces That Shape Strategy, Red Ocean Traps and Creating a Strategy That Works. As a team, we intend to use our human resources and the available time to realize the goals for the week. The team will be researching The Ford Motor Company. The team will focus on the marketing strategy used by the company. Also, we shall provide a comparison of the marketing mix strategy used by The Ford Motor Company to the red ocean model derived from the readings.

The Three Sources Selected by the Team

The team found the reading on Creating a Strategy That Works written by Paul Leinwand and Cesare Mainardi to be crucial. The source acknowledges the struggle that businesses face in creating a responsive strategy. The authors provide a concise account on how to come up with a responsive strategy for a business. The team settled on using this source because it will provide a reliable basis for comparing the strategies used by the Ford Motor Company and the ideal strategy model learnt in the resources provided to determine the extent to which the company deviates from the ideal models and the effects that come as a result.

In another source written by Michael Porter; The Five Competitive Forces That Shape Strategy, the author describes five forces that are key to consider in creating or embracing a strategy. The forces include the threat introduced when new competitors enter the market. The force created by new competitors is crucial, and a company should be sure to have a mechanism to curb, withstand or eliminate potential threats. A company should also consider the bargaining power of suppliers and buyers alike because they have the potential to make demands that without a strategy would fail an enterprise. Having substitute products in the market might also overshadow the significance of a firms products and as a result, minimize the sales turnover.

The source; Red Ocean Traps is written by Kim, W. Chan., Mauborgne and Renee. The source argues that a red ocean strategy is aimed to outshine market competition. The team decided to choose this source for the project since it addresses key factors necessary to survive in a competitive market. The information is significant when analyzing the survival tactics of Ford Motor Company. Further, the article suggests that the models are likely to work best in mature markets like the case with the teams case study- Ford Motor Company. It provides insightful information on surviving in the red ocean or competitive markets as well as crucial tactics to venture into blue oceans or less competitive markets.

Ford Motor Companys Marketing Strategy

The company settled on using the Ford Motor Company, an enterprise that deals with designing, manufacturing, marketing and financing motor vehicles including cars, trucks, crossover, Lincoln luxury vehicles, and SUVs. The companys fundamental mission is to better the lives of its customers. The company focuses on producing vehicles that meet necessity, strength, size, speed, quality, passion and appealing to their consumers (Bhasin, 2018). Products that meet these qualities are high levels of competition from other firms in the industry like Toyota and General Motors.

Strategic focus

The strategic focus is geared to cut on costs by reducing configurations for cars, majoring on manufacturing highly profitable vehicles and shifting production sites to reduce production costs. To curb the competition, the company uses marketing mix strategy. Ford motor uses its high technology and variety of manufacturing plants to produce some of the best vehicles with a recent shift that concentrates on manufacturing more electric vehicles. Some of the companys exceptional products include the ford family with a wide range of cars like Land Rover, Jaguar, and Volvo (Ivanco, 2017). Most of these vehicles are fitted with internet connectivity.

According to (Bhasin, 2018). The company has been making a significant improvement in the vehicles fuel efficiency, air conditioning systems and environmental responsive materials. The strategic plan has been accustomed to address five key principles including the plan to be fit as a preparation for disruption. The company plans to be in the vehicle business and manufacture products that carry both people and goods. Also, the company plans to manufacture smart and connected vehicle to improve their quality further. The smart vehicles are effective and are meant to thrive in the changing transportation operating system. Lastly, the company plans to evolve and capitalize on new business opportunities in the transport sector.

The company seem to have considered its strengths, weaknesses, opportunities, and threats when choosing the market mix strategy. Some of the strengths that give the company advantages is its crucial contribution to the motor vehicle industry. As at 2015, the company was ranked fourth in the industry (Ivanco, 2017). The company prides itself on the production of fuel-efficient vehicles that are safe, responsive to technology development and meet customers expectations. Also, the company has reliable patents. As a manufacturing industry it has a high inflow of patent applications. The company provides patents of five and a half years. Other strengths include having access to new technologies which creates a boost and cuts on competition. The new technology provides unique opportunities like Eco Boost, hybrid powertrains, plug-in hybrid powertrains and six-speed transmissions. Also, the company is advantaged as it has a 7.2% market share as of 2015 (Ivanco, 2017). The product portfolio is huge and hence provides a variety of options for the customers. The variety includes full-size pickups, buses, SUVs and heavy-duty vehicles.

Potential threats

Some of the threats include strict environmental regulations meant to conserve the environment. The laws are stringent and the company doesnt have a choice other than adhering to the rules which is costly as it requires changing production schematics. Also, in the global economy the company has been going through a slowdown with only 67 plants globally (Ivanco, 2017). It is also crucial that the company keeps checking the prices of the vehicles and act accordingly to curb the effects of fluctuations. The levels of competition are on the rise and this proves to be a threat to Ford motor company as well.

Some of the companys weaknesses include product fails and emerging markets. In product fails, the company has experienced tolls when customers require that it takes back their cars due to faulty performance or insecurity. Having alleviated numbers of recall tarnishes the companys and brands image. Further such a reputation is challenging to overcome given that competitors have introduced advanced technology like the use of self-driving cars.

Key issues

Some key issues that the company can use as opportunities for expansion may include product carbon foot print. For instance, according to (Bhasin, 2018), the company made a decision to invest $2.5 billion in making new and more effective engines and transmission plants in Mexico. Also, the company invested in $2.6 billion for manufacturing operations in Spain. By creating such initiatives, the company will improve in manufacturing vehicles that are fuel economical, conserve the environment and advance the technology with electric vehicles.

Exploring such opportunities is a chance for the company to use technology like hybrid, electric and fuel cell to compete favorably in the industry. Global automotive is also an opportunity for the company to realize significant improvements in annual revenues.

There is need for the company to consider supply chain management. With emerging markets presents a new requirement for the company to venture and reach out to potential customers. The company is not adequately presented in the emerging markets. It would be crucial to focus on increasing global market share and overall revenues by venturing into new markets


The market mix strategy may be a responsive mechanism for the company to survive in the industry and compete favorably. The company has the chance to explore effectiveness of using strategy modes like blue ocean and red ocean models. The concepts in these models will provide an opportunity for Ford Motor Company to enhance its performance by addressing key concerns outlined in its SWOT analysis.



Ivanco, A. (2017). Fleet analysis of headway distance for autonomous driving. Journal of Safety Research, 63, 145-148. doi: 10.1016/j.jsr.2017.10.009

Leinwand, Paul., Mainardi, Cesare. (2016). Creating a Strategy That Works https://www.strategy

Kim, W. Chan., Mauborgne, Renee. (2015). Red Ocean Traps ;, Harvard Business Review

Bhasin, H. (2018). Marketing Strategy of Ford - Ford Marketing Strategy. (2017, December 18). Retrieved from

Porter, Michael E. (2008). The Five Competitive Forces That Shape Strategy ;, Harvard Business Review


Have the same topic and dont`t know what to write?
We can write a custom paper on any topic you need.

Request Removal

If you are the original author of this essay and no longer wish to have it published on the website, please click below to request its removal: