How will Ford Go Further?

When I think of Ford I think of Mustang and F-150. These two nameplates connote power and strength. What do most drivers think when they hear Ford Fiesta, Ford Fusion or Ford Taurus? Most likely, innovation, reliability or durability does not come up to mind. Let’s be honest, Ford is a well established brand that’s long associated with pickup trucks and muscle cars; Ford’s car lineup failed to appeal to new vehicle prospects that trusted the Honda’s and Toyota’s of the world.

https://www.cbsnews.com/news/ford-motor-company-mustang-focus-survive-shedding-car-brands-fusion-taurus-fiesta-earnings-today-2018-04-25/

Does it make sense for Ford Motor Co. to shed most of its North American car lineup to save money and make the company more competitive? From the financial standpoint, absolutely! Eliminating the car lineup increases ROI, and increases stock value from day 1, which makes shareholders super happy. From the marketing standpoint, Ford F-150 leads the full-size pickup truck segment and protecting its leadership position against Chevy Silverado should be a priority. Ford can also leverage F-150’s “strong” and “big” imagery to support sales of mid- and full-size SUVs (Ford Explorer and Ford Expedition).  Therefore, it seems that Ford is making smart business decisions.

In 2009, the Dodge brand faced a similar challenge; the Ram truck lineup was split away from the Dodge car offering to create two brands. Ford Motor Co. may use the Lincoln brand to introduce a new line of sedans to compete with Toyota Camry and Honda Accord. Though this solution it’s unlikely due to Lincoln’s luxury positioning.

http://www.motortrend.com/news/its-official-ram-truck-brand-split-off-from-dodge-brand-good-idea-5581/

Yet, we haven’t heard what’s in the future for the Ford Motor Co. Cars represent about 25% of all new vehicle registrations in the U.S., and not having a competitive car lineup is a missed opportunity. Can the Ford brand innovate the car segment? Or can it manufacture a new mid-size sedan that fulfills the needs and wants of new car prospects? Personally, I would like to see Ford Motor Co. redefine the company’s line of business.