the deconstruction of Ford

imported_Shivetya

Platinum Member
Jul 7, 2005
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http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.
 

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Oh please, they didn't give up.

They are working on your ilk's agenda of shedding all responsibility to workers.

Just about Mission Accomplished.
 

imported_Shivetya

Platinum Member
Jul 7, 2005
2,978
1
0
Originally posted by: dmcowen674
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Oh please, they didn't give up.

They are working on your ilk's agenda of shedding all responsibility to workers.

Just about Mission Accomplished.


Actually the sound like your kind of people, losers who can't handle the effort so they just give up. They probably even blame someone else for their lack of ability too.
 

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
Originally posted by: Shivetya
Originally posted by: dmcowen674
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Oh please, they didn't give up.

They are working on your ilk's agenda of shedding all responsibility to workers.

Just about Mission Accomplished.

Actually the sound like your kind of people, losers who can't handle the effort so they just give up. They probably even blame someone else for their lack of ability too.

Here's your well deserved :cookie:
 

BarneyFife

Diamond Member
Aug 12, 2001
3,875
0
76
Why would anyone want Jaguar? Those cars are lemons and have been for the past 25 years.
 

fskimospy

Elite Member
Mar 10, 2006
87,105
53,480
136
Originally posted by: Shivetya
Originally posted by: dmcowen674
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Oh please, they didn't give up.

They are working on your ilk's agenda of shedding all responsibility to workers.

Just about Mission Accomplished.


Actually the sound like your kind of people, losers who can't handle the effort so they just give up. They probably even blame someone else for their lack of ability too.

I smell someone who'se read one of Ayn Rand's crappy books recently! Shivetya, why so angry? I can almost feel the hatred and anger coming out of every one of your posts. Maybe you just need a hug.
 

imported_Lothar

Diamond Member
Aug 10, 2006
4,559
1
0
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Bad management, not unions. :thumbsup:
 

BaliBabyDoc

Lifer
Jan 20, 2001
10,737
0
0
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

Unlike Jag or Land Rover . . . Ford will MAKE money on the sale of AM.

The problem is that Ford didn't invest in improving MOST of their Ford-badged (Mercury) products and NONE of their Lincolns. In the current environment, Ford is compelled to sell AM b/c they need the revenue and it further justifies the total dismantling of the PAG.

Jag and Land Rover are producing better vehicles than the past . . . but that's a pretty low bar. I don't think Jag has EVER made money under Ford and Land Rover is a comparable blood letting. Both are likely to be sold just to reduce the hemorrhaging.
 

Looney

Lifer
Jun 13, 2000
21,938
5
0
What did they expect? That rebranding some Ford into Jaguar are going to escalate sales? People aren't that dumb.
 

imported_Shivetya

Platinum Member
Jul 7, 2005
2,978
1
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Originally posted by: BaliBabyDoc
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

The point is the second quote. Ford has come out and said they will rely on FEWER sales in the future. In other words they have given up the race to bigger and better. They are essentially admitting they cannot do so.

Selling off a profitable, or higher performing, part of your business seems to be a step in the wrong direction.

They should be concentrating on selling more cars, not less.
 

desy

Diamond Member
Jan 13, 2000
5,446
214
106
No they should sell cars at a proffit and not worry about how many they sell
and until they figure out the type of car or truck that can do that for them they downsize.

Yes its mangement + UNIONS, labor works hand in hand with the big three in how they run their plants no question about it.
 

bozack

Diamond Member
Jan 14, 2000
7,913
12
81
Originally posted by: BaliBabyDoc
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

Unlike Jag or Land Rover . . . Ford will MAKE money on the sale of AM.

The problem is that Ford didn't invest in improving MOST of their Ford-badged (Mercury) products and NONE of their Lincolns. In the current environment, Ford is compelled to sell AM b/c they need the revenue and it further justifies the total dismantling of the PAG.

Jag and Land Rover are producing better vehicles than the past . . . but that's a pretty low bar. I don't think Jag has EVER made money under Ford and Land Rover is a comparable blood letting. Both are likely to be sold just to reduce the hemorrhaging.

Yup, Jag and LR are a joke and for the most part have been for a while, the Discovery Series was horrible as was the Freeloader and Jags have for a long time been the pinnacle of unreliability....Ford hasn't done much for that either with simply rebadging a Mondeo for the X and the tarus for the S, two of their biggest sellers for Jag...they get their clock cleaned by Lexus regularly. LR on the other hand supposedly has a winner with their new model but again it is ugly as sin...

 

imported_Lothar

Diamond Member
Aug 10, 2006
4,559
1
0
Originally posted by: BaliBabyDoc
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

Unlike Jag or Land Rover . . . Ford will MAKE money on the sale of AM.

The problem is that Ford didn't invest in improving MOST of their Ford-badged (Mercury) products and NONE of their Lincolns. In the current environment, Ford is compelled to sell AM b/c they need the revenue and it further justifies the total dismantling of the PAG.

Jag and Land Rover are producing better vehicles than the past . . . but that's a pretty low bar. I don't think Jag has EVER made money under Ford and Land Rover is a comparable blood letting. Both are likely to be sold just to reduce the hemorrhaging.

So why don't they just sell Jaguar/Land Rover and keep their "profitable" Aston Martin?
I don't see much sense in selling a profitable business(Aston Martin) while keeping others that have been making you bleed(Jaguar/Land Rover) for the past 15+ years to continue the hemorrhaging.

http://www.bloomberg.com/apps/news?pid=20601087&sid=aqcsMn4U0iak&refer=home
Ford's Booth said two other U.K-based units of Premier, Jaguar and Land Rover, aren't for sale.
 

desy

Diamond Member
Jan 13, 2000
5,446
214
106
Cause if you can't make your bankloans you have to sell assets, which ones do you try to sell ? why the ones with the best market value of course. Fixing Jag and LR and THEN selling them will bring more market value.
 

imported_Lothar

Diamond Member
Aug 10, 2006
4,559
1
0
Originally posted by: desy
Cause if you can't make your bankloans you have to sell assets, which ones do you try to sell ? why the ones with the best market value of course. Fixing Jag and LR and THEN selling them will bring more market value.

In theory, yes.
In reality, they've had 18 years to fix Jaguar, and they haven't.

I'm not optimistic that they'll accomplish "fixing" it considering their history.
 

Strk

Lifer
Nov 23, 2003
10,197
4
76
Originally posted by: Shivetya
Originally posted by: BaliBabyDoc
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

The point is the second quote. Ford has come out and said they will rely on FEWER sales in the future. In other words they have given up the race to bigger and better. They are essentially admitting they cannot do so.

Selling off a profitable, or higher performing, part of your business seems to be a step in the wrong direction.

They should be concentrating on selling more cars, not less.

It's a good idea too. It's something that works very well for Honda, so why not try something similar at Ford?

Originally posted by: Lothar
Originally posted by: desy
Cause if you can't make your bankloans you have to sell assets, which ones do you try to sell ? why the ones with the best market value of course. Fixing Jag and LR and THEN selling them will bring more market value.

In theory, yes.
In reality, they've had 18 years to fix Jaguar, and they haven't.

I'm not optimistic that they'll accomplish "fixing" it considering their history.

Actually, based on car performance and reliability, they've done wonders; however, the sales have been stagnant.
 

Ktulu

Diamond Member
Dec 16, 2000
4,354
0
0
Originally posted by: Lothar
Originally posted by: Shivetya
http://news.monstersandcritics.com/busi...on_Martin_luxury_brand_back_to_Britain

'The sale of Aston Martin supports the key objectives of the company, to restructure to operate profitably at lower volumes and changed model mix and to speed the development of new products,' Ford chief executive Alan Mulally said in a statement Monday.

Basically this shows the problem at Ford. They are no longer interested in selling as many cars as they do now or more. People wonder why Toyota is taking the lead in sales? Because American manufacturers have given up! Instead of improving the product and selling more as a result they have given up.

Amazing.

Bad management = unions. :thumbsdown:

fixed
 

foghorn67

Lifer
Jan 3, 2006
11,883
63
91
They are merely selling a profitable leaner division. Easier to sell and gets more cash then a defunct-nobody cares brand. They will probably sell Land Rover next.
 

imported_Lothar

Diamond Member
Aug 10, 2006
4,559
1
0
Originally posted by: Strk
Originally posted by: Lothar
Originally posted by: desy
Cause if you can't make your bankloans you have to sell assets, which ones do you try to sell ? why the ones with the best market value of course. Fixing Jag and LR and THEN selling them will bring more market value.

In theory, yes.
In reality, they've had 18 years to fix Jaguar, and they haven't.

I'm not optimistic that they'll accomplish "fixing" it considering their history.

Actually, based on car performance and reliability, they've done wonders; however, the sales have been stagnant.

By "fixing", I specifically was referring to the profit margins of the Jaguar division.

Yes, they've improved in reliability by ranking 7th out of 30 (and also 9th out of 105) in J. D. Power which is higher than Audi and Mercedes Benz.
However it doesn't change the fact that they're still bleeding and have been for the past 18 years.

AFAIK, Audi and Mercedes Benz are still profitable even with their below average/crap ratings. ;)
 

imported_Shivetya

Platinum Member
Jul 7, 2005
2,978
1
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Ford is suffering from not having an exicting lineup, let alone a good looking one.

The 500 and Freestyle were bombs. With the new 3 bar grille and Taurus name the 500 might make some inroads but its overweight and bloated still. The new Edge is just an overweight and overpriced clone of the better Nissan Murano (bias as I have a Murano)

Still the Edge is a smart looking vehicle and gives families and alternative to the needs overhauled desperatly FreeStar (old windstar with new name). Their only real excitement comes from the Mustang, the GT40 is sweet but a Z06 Vette is better and more obtainable
 

BaliBabyDoc

Lifer
Jan 20, 2001
10,737
0
0
Shivetya, I don't disagree with your last assessment but the OP kind of misses the boat.

AM was put on the block b/c there were willing buyers and it has value. In North America, AM sold 200 cars in 2000, 400 cars in 2002, 600 cars in 2004, and 2500 in 2006. Global sales are about twice that. While 5000 handmade automotive gems are good for corporate bragging rights, it won't keep an automotive titan afloat. Even if AM continues to steal sales from Porsche, Bentley, Mercedes, and Jag (for people moving upmarket), it's not a big market.

I don't know FoMoCo's long-term strategic planning but it's not like they've got a lot of options:

1) Ford cars - Mondeo (Europe) is awesome. Domestic offerings sux.
2) Ford trucks - strong product but STIFF competition
3) Ford SUVs - decent products but STIFF competition for a declining market
4) Ford crossovers - good products but STIFF competition
5) Mercury vehicles - no hope . . . only exist to give Lincoln dealers volume
6) Lincoln vehicles - Ford's version of Oldsmobile and Buick (dead and half-dead)
7) Mazda vehicles - decent to above average vehicles but lowest volume in mainstream lineup
8) Volvo cars and crossovers - good vehicles FIERCE competition
9) Jag - one star (XK-series) that's basically for status seekers that cannot afford an Aston Martin. The rest of the lineup is NOT competitive. Ford has been kicking around the idea of a crossover and/or SUV but I don't think they have the money (or talent).
10) LR - Aside from a MB G/GL . . . LR is still the status SUV . . . for people that actually get their SUV dirty aside from 'back roads' in the Hamptons. But again it's a small, highly competitive market.

From a practical standpoint, FoMoCo has no choice but to REDUCE production in the hopes of making FEWER but more competitive vehicles that people WANT to buy. 5000 AMs won't do the trick. But 500k Ford Edges (lighter, better gas mileage) and a couple of million US-market Mondeos would cure a lot of ills.
 

judasmachine

Diamond Member
Sep 15, 2002
8,515
3
81
I don't see this as a lib/con issue, what I do see is a company that has been resting on it's laurels while the competition crept past.
 

B00ne

Platinum Member
May 21, 2001
2,168
1
0
Originally posted by: Shivetya
Originally posted by: BaliBabyDoc
I'm not sure I understand the OP.

Aston Martin produces more cars and better cars than it did BEFORE it was purchased by Ford. AM actually MADE money last year and they were planning to boost production with their expanded line.

The point is the second quote. Ford has come out and said they will rely on FEWER sales in the future. In other words they have given up the race to bigger and better. They are essentially admitting they cannot do so.

Selling off a profitable, or higher performing, part of your business seems to be a step in the wrong direction.

They should be concentrating on selling more cars, not less.


You cant be more wrong. The should (and I guess that's what thery are doing) concentrate on being profitable (sustainable). Once they have achived that they can still focus on more sales (while keeping profitability)

When you make a loss per car sold more cars means more losses - or in other words doom - if that is what you want for Ford (or GM as they are in a worse situation than Ford) go ahead and demand more sales whithout buisness sense.

The real world is not about becoming Godzilla its about turning a profit - if not now, then at least next year, and in the next decade and beyond and if selling AM opens a path into tha direction, it would ne dumb not to do it. If selling AM was done to boost quarter figures it was dumb....