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Anyone have any suggestions as to how Ford (and GM) can combat this?
I have put forward my thoughts - More diesels, and more "exciting" cars...
I think that's a big part of it. Look at Cadillac, the division that came back from a near-death experience to be GM's hottest division. Edgy styling, in-your-face advertising, horsepower to burn. Anyone seen those "3 under five" ads? Three Caddy's that do a 0-60 in under 5 seconds- whoulda thunk Caddy's would be kewl again.
Hard to believe this is the same company that builds the Malibu, a car that seems to be equipped with a factory-installed cloaking device, or the Taurus look-alike Buick La Crosse.
If they want more power but dont want a diesel, whats wrong with the 6.8?
Ford, GM and DCX have been losing market share. I think DCX has started putting the brakes on it and I think Ford is as well. I think one thing that hurts Fords market share is that they wait longer than the other guys to change up the line. Now I dont have a problem with that, if you want a reliable vehicle you buy one thats been around for awhile, but most people want the new(er) look. They add more diesels from small 4 bangers to 8 or maybe even 10 cylinder ones and that will improve their market share and help fight off Toy and Honda.
As far as exciting cars, I think they should help improve Mazda in that area moreso than themselves. Mazda has the sporty lil car reputation moreso than Ford. Ford has the big muscle reputation just like GM and Dodge. If Ford would tell Mazda to start pumping out more sports cars that would help their profitability some since they own stock in Mazda and then Ford can go after the more high hp market, maybe give SVT the kinda funding and attention it deserves.
I think one thing that hurts Fords market share is that they wait longer than the other guys to change up the line. Now I dont have a problem with that, if you want a reliable vehicle you buy one thats been around for awhile, but most people want the new(er) look.
Just think if all that Jaguar, Mazda, Land Rover, Aston Martin money had been cycled into new product instead? Of course, GM, not to be outdone, tried to buy Fiat. If that was the answer, what was the question?
As far as exciting cars, I think they should help improve Mazda in that area moreso than themselves. Mazda has the sporty lil car reputation moreso than Ford. Ford has the big muscle reputation just like GM and Dodge. If Ford would tell Mazda to start pumping out more sports cars that would help their profitability some since they own stock in Mazda and then Ford can go after the more high hp market, maybe give SVT the kinda funding and attention it deserves.
Very good point.
Ford owns some impressive companies, with fantastic herritage.
I wouldn't be surprised if Mazda comes out with some exciting products in the next year or so.
The Miata replacement should come along shortly, and I hear that the new MPS drivetrain may make it underneath a Mazda 3... And the possiblity of a new RX-7!!! I can't wait.
However all of Fords other makes need to get their act together, Land Rover appears to be making head way (after lots of cash being dumped down their neck) with the Discovery 3, and Range Stormer, and Aston Martin have some new products. Volvo are doing okay, but Jaguar, Lincoln and Mercury need a serious overhaul.
As for Fiat being an answer - I likewise have no idea what was the question, unless it was "we need to get more rust in our products" - refering to Alfa's famous tin-worm problem of the 70's through to 90's
Jaguar is killing Ford right now. Lost 1 B last year. They are hoping to break even by 2007.
In fact, its us Aussies which are keeping you alive at the moment.
Ford of Australia announced a 320million profit last year...
Far and away the highest profit per vehicle sales...
Anyone have any suggestions as to how Ford (and GM) can combat this?
I have put forward my thoughts - More diesels, and more "exciting" cars...
More diesels and more exciting cars will definately help. If Ford would quit trying to go head to head with Toyota and Honda by making a nice, boring vehicle, it would be a step in the right direction. Toyota and Honda are masters at boring, and Ford needs to be different and bring attention to themselves in a positive way. One reason Chrysler was the only of the big 3 to gain market share is the fact that they have interesting, high-powered vehicles. Most of Ford's profits last year were from their finance arm, and that is not a sound business model for an auto manufacturer.
Just a thought here- but my own stoopid opinion is Ford needs to lose the British car divisions. they need R&D resources and boatloads of cash- resources that aren't exactly in a surplus at the moment. And then there's those stoopid Swedes- Volvo and Saab. Sold the (profitless) passenger car divisions, then merged the truck divisions to do battle with Daimler what's-their-names. Big car companies do really dumb things when there's a lot of cash lying around. Problem is- who would be a taker? The CEO of BMW lost his job over the Land Rover fiasco, which BMW promtly unloaded on Ford.
Last edited by polarbear; Feb 9, 2005 at 11:09 PM.
We could debate this forever. Caddy got back in the market IMO because of the STS. This was almost 10 years ago and now its paying off.
What is the easiest way for Ford and GM to blow the market away again. Declare bankruptcy. It allows them to get out of pensions/contracts. Close down unprofitable factories and build new ones.
In fact, its us Aussies which are keeping you alive at the moment.
Ford of Australia announced a 320million profit last year...
Far and away the highest profit per vehicle sales...
We could debate this forever. Caddy got back in the market IMO because of the STS. This was almost 10 years ago and now its paying off.
Don't forget the Escalade- it paid the bills while the new stuff was getting readied.
Originally Posted by tmyers
What is the easiest way for Ford and GM to blow the market away again. Declare bankruptcy. It allows them to get out of pensions/contracts. Close down unprofitable factories and build new ones.
The war being waged on our retirements- both by the government and Corporate America. But thats another thread...
More diesels and more exciting cars will definately help. If Ford would quit trying to go head to head with Toyota and Honda by making a nice, boring vehicle, it would be a step in the right direction. Toyota and Honda are masters at boring, and Ford needs to be different and bring attention to themselves in a positive way. One reason Chrysler was the only of the big 3 to gain market share is the fact that they have interesting, high-powered vehicles. Most of Ford's profits last year were from their finance arm, and that is not a sound business model for an auto manufacturer.
You make an interesting point.
Ford of Australia has already been through the change.
We had issues here, and Toyota are currently the No.1 car manuifacturer here, followed by Holden (GM) then Ford.
Ford are now rapidly gaining market share, and as mentioned above, PROFIT!!!
They way they have changed it around, Ford used to sell boring cars ala Toyota, and in the boring car department, no one can compete with Toyota, they build solid, reliable cars day after day.
They then changed our large car here (the Falcon), implementing more aggresssive colours, much better styling, much better performance and handling and a better interior - giving the car a far a far more sportier image and feel.
They also introduced a similar vehicle to the Freestyle, only locally developed (and much better IMHO), which drives like a BMW X5.
Both vehicles are drawing customers, not only out of bland Toyotas, but from BMW's and the like...
These 2 vehicles has increased vehicle sales from Ford in the past 2 years by around 25%!!!