The history of Ford
Ford Motor Company was founded on June 16, 1903. A few months after the company was founded the first Ford car, the Model A, was being sold in Detroit. Ford Motor Company was just 1 of 15 car manufactures in Michigan and 88 in the US. It became clear that Henry Ford's dream of an automotive industry company was to come true after they broke even and started making a profit. During the first five years of Ford Motor Company's existence, Henry Ford, as chief engineer and later as president, directed a development and production program that started in a converted wagon shop. Henry Ford's insistence that the company's future lay in the production of affordable cars for a mass market caused increasing friction between him and the other investors. As some left, Ford acquired enough stock to increase his own holdings to 58.5 percent. Henry Ford became president in 1906, replacing John S. Gray, a Detroit banker who had served as the company's first president.
The world wars played a vital part in making the company what it is today as they were periods of hectic expansion. 1917 was the year the Ford Motor Company started producing trucks and tractors. Conflict occurred in 1919 with stockholders when Henry Ford wanted to spend millions on building a giant Rouge manufacturing complex in Dearborn, Michigan. This led to Henry Ford and his son, Edsel Ford, owning the Ford Motor Company completely. Edsel became president of the company but passed away in 1943, Henry Ford resumed the presidency after this
At the end of the second world war Henry Ford resigned for the second time. His eldest grandson, Henry Ford II, became president of the company on the 21st of September, 1945. He was a bright man, as he delivered the first postwar car he was already making plans to reorganize and decentralize the company so that it could resume its prewar position as a major force in the car manufacture line.
Henry Ford II proved to be a strong leader for the Ford motor company from the postwar era into the 1980's. His rein of presidency went on from 1945 until 1960 and as chief executive from 1945 to 1979. He was also chairman of the board of directors from 1960 until 1980 and remained chairman of finance committee from 1980 until his death in 1987.
Ford at its present time.
William Clay Ford Jr. (great-grandson of Henry Ford) is now CEO of Ford Motor Company. He is the first family member to hold this position in 20 years.
I am an executive marketer at the Ford Motor Company, I am compiling a report on our new vehicle the “Ford AK”. In this report I will cover customer satisfaction, customer perception and customer needs and expectations. I will also explain how the car is environmentally friendly and how we conquered this. The car has already received a 5 star award for its passenger protection system and car safety.
In order to make this car sell.
In order to make the car sell on today's market we need the car to be environmentally friendly, trendy, up-to-date technology, fuel efficient, cheap and overall to a high standard of quality. As we are going to be mass producing this car we need it to be a success on the market in order to break even, we will also need to the car the last on the market, in order to do this we must design a car that is at least 12 months ahead of its prime. We must do this so that we gain a profit after we break even in production costs etc.
What Ford hopes this new car will deliver.
Increase sales by 12% over a period of 12 months.
Increase company net worth by 12% over 12 months. Company net worth stands at £509,000,000, 12% increase = £1,217,000,000
Increase market shares by 10% over a period of 12 months. They currently stand at £75 a share. The 10% increase will result in the share price equaling £82.5.
Increase the companies variety of new models, based on the “Ford AK” which will appeal to the youth generation.
Increase our publicity.
Improve our customer perception of the company.
Improve the image of Ford being an environmentally friendly company.
Make space for new jobs.
Open new business opportunities.
In order to keep our customers as satisfied as possible with their new car the Ford AK we will be including 1 years free break down service from Ford and also half price insurance for the first year, as a promotional offer. In order to keep our customers satisfied we are also we are also offering a money back guarantee on the car if you are not happy with it. In order to gain the best customer satisfaction we have gained a list of persons ages 18-25 in the UK and sent them a survey asking what they would like to see in the new Ford AK and we also sent the pre-designs for the car and asked for each persons opinion on which they think is best and how it could be improved. The survey also asks questions such as, what accessories do you think should come as standard in the Ford AK?. The survey is based plainly on the car and its features, nothing else.
In order to keep our customer perception at its best we have asked environmentally friendly groups such as Green Peace to help design the car with us to perform at its best while also keeping the environment unpolluted. We hope that working with Green Peace and other environmentally friendly groups brings the image across that we are one of the companies trying to save the earth. We are also aiming to keep our image of Ford being a youth as well as older generation car company by devising the car to the needs of the youth generation today.
Customer needs and expectations.
As we have already received the information for customer needs and expectations through our survey this was a particularly easy part of the job. Some of our customer expectations for the Ford AK are for the car to have: A cd player, radio, good quality speakers, a large boot space, tinted windows, spoiler, chrome alloys and lowered bumper.
We see from the survey that what our customers need is a car that's small, but has a fair amount of storage space, trendy style, up-to-date technology, good handling, good mobility and excellent safety.
Marketing Mix explained.
1. Product - We must make the product to a good quality and suitable for our customers needs.
2. Price - We must have a price that is competitive and also able to gain a profit off and no loss.
3. Place - We must sell the product at the correct places. Online, Dealers, Garages, Phone.
4. Promotion - In order to get our product selling we must have an introductory promotion offer for the product as it comes available to the public.
5. Packaging - There will be no packaging needed for the product.
Our Marketing Mix.
Product - The product is the Ford AK car.
Price - The Ford AK stands at a competitive price of £6,999 on the road. This price suits the market for this type of car and is also priced lower than most competitors cars in the “small car range”. We found the most suitable price by finding the average price of all the “small cars” in the UK, this came to £8,943, we then had our team of accountants work out the best price so that we could, 1. gain a profit, 2. sell the car at a competitive rate, 3. make sure we were not losing money on manufacturing the car. £6,999 is the best price Ford can offer after this.
Promotion - The Ford AK has an introductory promotion offer of 1 years free break down service from Ford and 1 years free insurance, also %10 discount if you buy from an online Ford dealer and free delivery. A typical APR of 6.4% for the first year of the purchase then it stands at 8.9%.
Place - You can buy the Ford AK from and online Ford dealer and also any Ford showroom. You can also order via phone, fax, email and post.
Packaging - There is no packaging for the Ford AK.
How Ford have adjusted to the environmentally friendly market.
Recycling - Our ultimate aim as a company is to manufacture vehicles that will be almost totally recyclable, so as part of our environmental commitment we have deployed a new programme around, design-for-recycling guidelines, increased use of recycled material and reducing hazardous materials.
Environmental initiatives - Our commitments in efforts to save the environment include, pursuit of improved air quality and fuel effeiciency, minimizing emissions and conserving natural resources in manufacturing and in waste management we are taking an industry lead and we're already capitalizing on the potential of alternative fuels for our vehicles.
Alternative Fuel Vehicles (AFVs) - Our AFVs offer fewer, less damaging emissions than petrol and diesel. The Ford company has been at the forefront of AFV research and technology for the past 40 years, and we market vehicles which run on a wider range of alternative fuels than any other manufacturer's. These include Compressed Natural Gas, Liquefied Petroleum Gas, methanol, ethanol and electricity.
Why we need to adjust.
We must adjust as a company due to sustainable economic development being important in the future welfare of the Ford company as well as the society in general. In order to be sustainable we must provide protection of human health and the worlds environmental resource base. Ford has the policy that its operations, products and services accomplish the functions that they perform responsibly for the protection of human health and the environment.