Issues and Case Analysis

by Kathi Berman, June 2014

900 words

3 pages

essay

ABSTRACT

The paper provides SWOT analysis of the two great vehicle manufactures Toyota Motor Corporation and Ford Motor Company that provide innovative cutting edge solutions that gained both domestic and overseas markets. The paper underlines the problems and challenges the both enterprises are facing and their ways and solutions to tackle the issues. Comparing the threats and weaknesses it can be concluded that Toyota and Ford are sharing the same problems. The difference is how they tackle these problems to keep the high positions in the world market. The main finding of the paper is the fact that Toyota has more improved team management and provides custom tailored solutions for the regions the corporation sells its vehicles to.

Issues and Case Analysis

One of the main strength of Ford Motor Company is its flexibility and ability to adjust to the new emerging needs and meet safety and innovation requirements of the customers as well as introducing new affordable environmentally friendly cars. In the view of the global problems of increased gas emission and global warming, Ford contributes to CO2 reduction by creating plug-in hybrid vehicles. Ford Motor Company claims to reduce 30 % of CO2 emission of their new U.S. and European vehicles by 2020 compared to car models of 2006 (Blue print for sustainability. The future at work 2009/2010).

Another strength of the company is the implementation of the strategy of water use reduction in car manufacturing, thus making their vehicles more effective remaining environmental issues and challenges in priority. In addition Ford raises vehicle safety by creating innovative safety measures such as the world’s first automotive inflatable seat belts and preventing distracted driving Besides, Ford tackles societal issues “by developing programs to ensure sound working conditions in Ford facilities and supply chain” (Blue print for sustainability. The future at work 2009/2010, p.7).

The recession of the world’s economy resulted in the reduction of sales and decrease in revenues. Debts and slashed production are the main weaknesses the company strives to recover from. Change in demand for more fuel economic models requires the changes in production of the vehicle range which is a slow and expensive process. Due to the profit shortage, the company can not adjust quickly to the new challenges.

As a manufacturer of reliable and innovative vehicles Ford sweep new emerging markets. The economic development of China contributed to the higher demand for innovative vehicles and outlined China as the main area for the Ford vehicles market. In the view of the predicted fuel shortage, the customers seek for electric or hybrid models. Besides, the increased price for gasoline generated the demand for fuel effective technologies that Ford is able to provide.

The threats the company is facing are common to the all automakers that involve overall reduce in vehicle sales, increased prices for fuel as well as intense competition amid the global financial crisis.

To remain one of the leading automaker Ford has to invite more investments for the innovative models development and increase funding of their R&D, otherwise, without new effective solutions …

Download will start in 20 seconds

Disclaimer

Note that all papers are meant for inspiration and reference purposes only! Do not copy papers in full or in part. Papers are provided by other students, who hold the copyright for the content of those papers. All papers were submitted to TurnItIn and will show up as plagiarism if you try to submit any part of them as your own work. Assignment Lab can not guarantee the quality of the user generated content such as sample papers above.