Ford Motors SWOT Analysis

adam July 15, 2010 Automobile No Comments

Ford Motors is one of the leading and world’s best manufacturer in the world. Brand of Ford Automobile comprises of Ford, Jaguar, Aston Martin, Lincoln, Volvo, Mercury & Land Rover. This company nearly manufactures as well as distributes to around 200 companies and thus gains more productivity. Ford motor is operating in around 100 offices in all over the world and thus contributing a lot in order to generate better outcomes. (Banham, Pg 272, 2002)
Ford Motor’s productivity can be easily analyzed with the help of SWOT analysis.

Below mentioned is the SWOT analysis of Ford Motors which tells us how this company works and what are it’s opportunities as well as threats.

Strengths

• Ford Motors recorded the strongest as well as effective operation performance in 2005

• Ford motors is the second largest automobile manufacturer

• Ford Motors is termed as one of the supportive tool after various attacks

• Ford Motors is one of the best auto manufacturer which are offering credit services

• Ford Europe along with PAG also known as premier automotive group also recorded the strongest revenue in year 2005

• Extensive supply chain is the leading and the best contributor towards the betterment of the company

• Ford motor is termed as the best manufacturer in terms of diversity

Weaknesses

• Due to the competition with the Japanese company, Ford Motors suffered a lot and thus went far away from fuel based light trucks

• Due to the product recalls, Ford’s brand image was also harmed and thus the company suffered a lot

• Cash reserves was ruined to around $4.1 Billion

• Ford Motors stock prices suffered greatly to $14.70

• Ford motors suffered lack of diversification

• Ford Motors have a very small share of market which results in a great loss to the company

• Various obligations are termed as the weakness of Ford motors

Opportunities

• Restructuring plan was launched in order to improve the performance of the Ford Motors.

• Various products were predicted to switch towards the hybrid electric engines

• Ford tried to diversify their market towards India and china in order to diversify their revenues

• Ford motor is termed as environment friendly

• Generosities is one of the best opportunity which results in betterment for the company

• Well researched programs are under consideration in order to gain more popularity

• Other companies doing well oriented task is also the greatest opportunity for Ford Motors

Threats

• Rising oil prices are one of the major contributor towards the loss of the company

• Rising raw material prices

• Rise in competition is one of the major threat towards the productivity of the company

• Another important threat for Ford Motor is the low capital spending

• Other automobile manufacturer’s ideas and programs are the biggest threat for Ford Company

• Competition is one of the major threat. Ford Motor is thus trying to generate automobiles with best technology in order to minimize this

• Working with different techniques is one of the major threat

All the above-mentioned strengths, weaknesses, opportunities and threats are the major factors, which contribute a lot towards the betterment of the company. If these all are rectify properly and at proper stage then the outcomes can be easily generated without facing any further difficulty.

Due to SWOT analysis, a company can work well and can generate effective outcomes. Proper SWOT analysis is necessary for the betterment of a company. Therefore, SWOT analysis should be carried on regular basis in order to generate better outcomes. (Gundry & Kickul, Pg 401, 2007)

REFERENCES

Russ Banham, (2002), The Ford century: Ford Motor Company and the innovations that shaped the world, Artisan, Page 272

Lisa K. Gundry, Jill R. Kickul, (2007), Entrepreneurship strategy: changing patterns in new venture creation, growth, and reinvention, Sage Publications, page 401

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