Tuesday, January 19, 2010

Ford goes "All In" with the New Focus

Ford is building a world automobile, using the same parts in Europe, Asia, and America.

The Ford Focus will be the first real test of the "One Ford" strategy, CEO Alan Mulally plans to implement. Over 80% of the vehicle, will be the same worldwide.

Mulally, has built large amounts of capital within Ford, with his deft handling of the economic crisis, not taking a single dollar from the Government.

However, he puts all that capital on the line with the Focus. Personally, I like the strategy, the vehicle, and the direction Ford is headed under Mulally. To me, it seems that Ford is working a plan, while the other American car companies are just adjusting to the trend of fuel efficiency, and smaller vehicles. Although, Ford will never be as big as it once was in terms of market share domestically, I believe they are efficiently transitioning toward long term success as a profitable well run automotive company that can compete worldwide.

Ford plans to have 10 vehicles based on the Focus platform by 2014, including a battery driven electric car in 2011.

If this strategy works, Mulally will have turned around a company many people thought was doomed just two years ago. Making automotive history with his Iacocca like rescue, Although Mulally may lack the bravado of Iacocca, he also lacked the Government loans and contracts to buy K-cars that made Iacocca's Chrysler rescue possible, making the Ford success story, that much more impressive.

The New Ford Focus was unveiled at the North American Auto Show in Detroit last week.








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