FORD MOTOR COMPANY
SWOT ANALYSIS 2018
SLIDE | 2
ABOUT FORD
Name Ford Motor Company
Logo
Industries served Automotive and Financial Services
Geographic areas served Worldwide (62 countries)
Headquarters Dearborn, Michigan, U.S.
Current CEO James P. Hackett
Revenue (US$) 156.776 billion (2017) 3.3% 151.800 billion (2016)
Profit (US$) 7.628 billion (2017) 66% 4.596 billion (2016)
Employees 202,000 (2018)
Main Competitors
Fiat Chrysler Automobiles, General Motors Company, Honda Motor
Company, Hyundai-Kia Automotive Group, PSA Peugeot Citroรซn, Renault-
Nissan B.V., Suzuki Motor Corporation, Toyota Motor Corporation,
Volkswagen AG Group and many other automotive companies.
Ford Motor Company business overview from the companyโ€™s financial
report:
โ€œWe are a global automotive industry leader based in Dearborn, Michigan. We
manufacture or distribute automobiles across six continents.
In 2017, we sold approximately 6,607,000 vehicles at wholesale throughout the
world. Substantially, all of our vehicles, parts and accessories are sold through
distributors and dealers, the substantial majority of which are independently
owned.
In addition to the products we sell to our dealerships for retail sale, we also sell
vehicles to our dealerships for sale to fleet customers, including commercial
fleet customers, daily rental car companies, and governments.โ€[1]
SLIDE | 3
BUSINESS DESCRIPTION
โ€œ โ€
STRENGTHS
1. Fordโ€™s F-Series pickup truck line
2. Brand reputation combined with the second most loyal
customer base
3. Strong position in Chinaโ€™s automotive market
4. Geographically diversified revenue streams
5. Research and development spending combined with a clear
future strategy
WEAKNESSES
1. Weak brand portfolio
2. Declining market share in the U.S. automotive market
3. Profitability of smaller vehicle models in its product range
4. Below average vehicle recall and dependability rates
OPPORTUNITIES
1. Future markets for self-driving vehicles
2. Significant untapped potential of Chinese and Indian markets
3. Improving U.S. economic conditions
4. Timing and frequency of new model releases
THREATS
1. Increased competition
2. Increased government regulations
3. Economic and political volatility in international markets
4. The rising U.S. dollar exchange rate could negatively affect
the companyโ€™s revenue and profits
5. Rising fuel prices
Ford
SWOT 2018
SLIDE | 4
1. Fordโ€™s F-Series pickup truck line
SLIDE | 5
STRENGTHS
S W
O T
Ford has produced
the best-selling
pickup truck in the
U.S. market for a
record 41 years in
a row.
Rank Brand 2017 2016 2015 2-year growth
1. Ford F-Series 896,764 820,799 780,354 14.9%
2.
Chevrolet
Silverado
585,864 574,876 600,544 -2.4%
3. RAM P/U 500,723 489,418 451,116 11%
4. GMC Sierra 217,943 221,680 224,139 -2.8%
5. Toyota Tacoma 198,124 191,631 179,562 10.3%
Total 2,822,838 2,692,540 2,543,595 11%
1. Weak brand portfolio
โ€ข Ford sells its vehicles only under 2 brands: Ford and Lincoln.
โ€ข In comparison, Volkswagen has 12, General Motors - 11, Chrysler - 8 and Toyota has
4 different brands.
SLIDE | 6
WEAKNESSES
S W
O T
Ford Motor Company Brands
1. Future markets for self-driving vehicles
โ€ข In 2017, Ford was testing a fleet of 100 of level 2 automation vehicles.
โ€ข The company expects to introduce a level 4 autonomous vehicle by 2021.
SLIDE | 7
OPPORTUNITIES
S W
O T
Figure 8. Levels of automation in vehicles
1. Increased competition
SLIDE | 8
THREATS
S W
O T
Fordโ€™s main competitors
SLIDE | 9
GET THE FULL
PRESENTATION
BUY FORD SWOT 2018
1. Ford Motor Company (2018). Form 10-K for the Fiscal Year Ended December 31st, 2017. Available at:
http://shareholder.ford.com/~/media/Files/F/Ford-IR-V2/events-and-presentations/2018/F-2017-10-K-report.pdf Accessed March 8, 2018
2. Cain, T. (2017). Top 11 Best-Selling Pickup Trucks In America โ€“ December 2017. Available at: http://www.goodcarbadcar.net/2018/01/top-11-
best-selling-pickup-trucks-america-december-2017/ Accessed March 8, 2018
3. Bunkley, N. (2015). The F-150, Ford's heavy-duty profit hauler. Available at:
http://www.autonews.com/article/20150428/BLOG06/150429797/the-f-150-fords-heavy-duty-profit-hauler Accessed March 8, 2018
4. Woodyard, C. (2017). Many rich folks opt for plain olโ€™ pickups, economy cars. Available at:
http://www.usatoday.com/story/money/cars/2017/02/20/many-rich-folks-opt-plain-ol-pickups-economy-cars/97978392/ Accessed March 8,
2018
5. Interbrand (2018). Best Global Brands 2017. Available at: http://interbrand.com/best-brands/best-global-brands/2017/ranking/ Accessed
March 8, 2018
6. Forbes (2018). The Worldโ€™s Most Valuable Brands. Available at: http://www.forbes.com/powerful-brands/list/ Accessed March 8, 2018
7. IHS Markit (2018). General Motors Retains Leadership as Top Manufacturer in Automotive Loyalty Awards Presented by IHS Markit. Available
at: http://news.ihsmarkit.com/press-release/automotive/general-motors-retains-leadership-top-manufacturer-automotive-loyalty-award
Accessed March 8, 2018
8. Toyota Motor Corporation (2017). Form 20-F for the Fiscal Year Ended March 31st, 2017. Available at: http://www.toyota-
global.com/pages/contents/investors/ir_library/sec/pdf/20-F_201703_final.pdf Accessed March 8, 2018
9. General Motors Company (2018). Form 10-K for the Fiscal Year Ended December 31st, 2017. Available at:
http://www.gm.com/company/investors/sec-filings.html Accessed March 8, 2018
10. Volkswagen AG (2017). Annual Report 2016. Available at: http://annualreport2016.volkswagenag.com/ Accessed March 8, 2018
11. Fiat Chrysler Automobiles (2018). FCA Annual Report 2017. Available at: https://www.fcagroup.com/en-
US/investors/financial_regulatory/financial_reports/files/FCA_NV_2017_Annual_Report.pdf Accessed March 8, 2018
SLIDE | 10
SOURCES (1/3)
12. Chutel, L. (2017). It took 39 fires before Ford recalled exploding SUVs in South Africa. In the US, it took 0. Available at: https://qz.com/901046/ford-
recalls-exploding-kuga-suv-in-south-africa/ Accessed March 8, 2018
13. LeBeau, P. (2014). Big 3 Dominance Slipping as Competition Heats Up. Available at: http://www.cnbc.com/2014/12/18/big-3-dominance-slipping-as-
competition-heats-up.html Accessed March 8, 2018
14. Ford Motor Company (2015). Ford at CES Announces Smart Mobility Plan and 25 Global Experiments Designed to Change the Way the World Moves.
Available at: https://media.ford.com/content/fordmedia/fna/us/en/news/2015/01/06/ford-at-ces-announces-smart-mobility-plan.html Accessed March 8,
2018
15. Ford Motor Company (2016). Ford Tops Industry for U.S. Patents Granted in ; Employees Set New Record for Annual Number of Inventions. Available at:
https://media.ford.com/content/fordmedia/fna/us/en/news/2016/12/09/ford-tops-industry-for-us-patents-granted-in-2016.html Accessed March 8, 2018
16. Lee, T. (2016). Which Automakers Have the Best Recall Rate and Timeliness? Available at: http://blog.iseecars.com/2016/11/03/which-automaker-has-
the-best-recall-rate-or-timeliness/ Accessed March 8, 2018
17. J.D. Power (2018). Most Owners Still in Love with Their Three-Year-Old Vehicles, J.D. Power Finds. Available at: http://www.jdpower.com/press-
releases/jd-power-2018-us-vehicle-dependability-study Accessed March 8, 2018
18. BMW Group (2016). Annual Report 2016. Available at: https://www.bmwgroup.com/content/dam/bmw-group-
websites/bmwgroup_com/ir/downloads/en/2015/12784_GB_2015_engl_Finanzbericht_Online.pdf Accessed March 8, 2018
19. Research and Markets (2017). Global Autonomous Vehicles Market - Analysis & Forecast (2016-2025). Available at:
http://www.researchandmarkets.com/research/wd2lrs/global_autonomous Accessed March 8, 2018
20. Grand View Research (2017). Autonomous Cars/Driverless Cars Market Analysis And Segment Forecasts To 2024. Available at:
http://www.grandviewresearch.com/industry-analysis/driverless-cars-market Accessed March 8, 2018
21. CB Insights (2017). 44 Corporations Working On Autonomous Vehicles. Available at: https://www.cbinsights.com/blog/autonomous-driverless-vehicles-
corporations-list/ Accessed March 8, 2018
22. National Conference of State Legislature (2018). Autonomous Vehicles | Self-Driving Vehicles Enacted. Available at:
http://www.ncsl.org/research/transportation/autonomous-vehicles-self-driving-vehicles-enacted-legislation.aspx Accessed March 8, 2018
SLIDE | 11
SOURCES (2/3)
23. Trading Economics (2017). China GDP Annual Growth Rate. Available at: http://www.tradingeconomics.com/china/gdp-growth-annual Accessed March 8,
2018
24. McCaffrey, C. R. and Peterson, E. R. (2018). The Rise of Chinaโ€™s Middle-Class Consumer. Available at: https://www.atkearney.com/diversity-and-
inclusion/article/-/asset_publisher/O7EGSazwBWC9/content/the-rise-of-china-s-middle-class-consumer-article/236833 Accessed March 8, 2018
25. Rosevear, J. (2017). Ford's China Sales Get Help from a Brawny SUV. Available at: https://www.fool.com/investing/2017/03/07/fords-china-sales-get-help-
from-a-brawny-suv.aspx Accessed March 8, 2018
26. Shirouzu, N. and White, J.. (2017). Exclusive: One Ford, two systems - U.S. carmaker revamps China strategy amid EV push. Available at:
https://www.reuters.com/article/us-fordmotor-china-strategy-exclusive/exclusive-one-ford-two-systems-u-s-carmaker-revamps-china-strategy-amid-ev-
push-idUSKCN1C81EB Accessed March 8, 2018
27. Karnik, M. (2016). 600 million people are now part of Indiaโ€™s middle classโ€”including your local carpenter. Available at: https://qz.com/742986/600-million-
people-are-now-part-of-indias-middle-class-including-your-local-carpenter/ Accessed March 8, 2018
28. Roughneen, S. and Asia, N. (2017) Booming Southeast Asian vehicle sales drive urban congestion. Available at: https://www.ft.com/content/96608536-
4204-11e7-9d56-25f963e998b2 Accessed March 8, 2018
29. Trading Economics (2018). United States GDP Growth Rate. Available at: http://www.tradingeconomics.com/united-states/gdp-growth Accessed March 8,
2018
30. Cain, T. (2016). U.S. Auto Sales Brand Rankings - 2015 Year End. Available at: http://www.goodcarbadcar.net/2017/01/usa-2016-auto-brand-sales-
results-rankings.html Accessed March 8, 2018
31. Greenough, J. (2017). How Tech Companies Will Win the Battle Over the Connected Carโ€™s Digital Dashboard. Available at:
http://www.businessinsider.com.au/how-tech-companies-will-win-the-battle-over-the-connected-cars-digital-dashboard-2015-12 Accessed March 8, 2018
32. Cain, T. (2017). U.S. Auto Sales Brand Rankings - 2016 Year End. Available at: http://www.goodcarbadcar.net/2017/01/usa-2016-auto-brand-sales-
results-rankings.html Accessed March 8, 2018
33. Matthews, J. (2018). U.S. Auto Sales Brand Rankings โ€“ December 2017 YTD. Available at: http://www.goodcarbadcar.net/2018/01/u-s-auto-sales-brand-
rankings-december-2017-ytd/ Accessed March 8, 2018
SLIDE | 12
SOURCES (3/3)

Ford SWOT Analysis 2018

  • 1.
  • 2.
    SLIDE | 2 ABOUTFORD Name Ford Motor Company Logo Industries served Automotive and Financial Services Geographic areas served Worldwide (62 countries) Headquarters Dearborn, Michigan, U.S. Current CEO James P. Hackett Revenue (US$) 156.776 billion (2017) 3.3% 151.800 billion (2016) Profit (US$) 7.628 billion (2017) 66% 4.596 billion (2016) Employees 202,000 (2018) Main Competitors Fiat Chrysler Automobiles, General Motors Company, Honda Motor Company, Hyundai-Kia Automotive Group, PSA Peugeot Citroรซn, Renault- Nissan B.V., Suzuki Motor Corporation, Toyota Motor Corporation, Volkswagen AG Group and many other automotive companies.
  • 3.
    Ford Motor Companybusiness overview from the companyโ€™s financial report: โ€œWe are a global automotive industry leader based in Dearborn, Michigan. We manufacture or distribute automobiles across six continents. In 2017, we sold approximately 6,607,000 vehicles at wholesale throughout the world. Substantially, all of our vehicles, parts and accessories are sold through distributors and dealers, the substantial majority of which are independently owned. In addition to the products we sell to our dealerships for retail sale, we also sell vehicles to our dealerships for sale to fleet customers, including commercial fleet customers, daily rental car companies, and governments.โ€[1] SLIDE | 3 BUSINESS DESCRIPTION โ€œ โ€
  • 4.
    STRENGTHS 1. Fordโ€™s F-Seriespickup truck line 2. Brand reputation combined with the second most loyal customer base 3. Strong position in Chinaโ€™s automotive market 4. Geographically diversified revenue streams 5. Research and development spending combined with a clear future strategy WEAKNESSES 1. Weak brand portfolio 2. Declining market share in the U.S. automotive market 3. Profitability of smaller vehicle models in its product range 4. Below average vehicle recall and dependability rates OPPORTUNITIES 1. Future markets for self-driving vehicles 2. Significant untapped potential of Chinese and Indian markets 3. Improving U.S. economic conditions 4. Timing and frequency of new model releases THREATS 1. Increased competition 2. Increased government regulations 3. Economic and political volatility in international markets 4. The rising U.S. dollar exchange rate could negatively affect the companyโ€™s revenue and profits 5. Rising fuel prices Ford SWOT 2018 SLIDE | 4
  • 5.
    1. Fordโ€™s F-Seriespickup truck line SLIDE | 5 STRENGTHS S W O T Ford has produced the best-selling pickup truck in the U.S. market for a record 41 years in a row. Rank Brand 2017 2016 2015 2-year growth 1. Ford F-Series 896,764 820,799 780,354 14.9% 2. Chevrolet Silverado 585,864 574,876 600,544 -2.4% 3. RAM P/U 500,723 489,418 451,116 11% 4. GMC Sierra 217,943 221,680 224,139 -2.8% 5. Toyota Tacoma 198,124 191,631 179,562 10.3% Total 2,822,838 2,692,540 2,543,595 11%
  • 6.
    1. Weak brandportfolio โ€ข Ford sells its vehicles only under 2 brands: Ford and Lincoln. โ€ข In comparison, Volkswagen has 12, General Motors - 11, Chrysler - 8 and Toyota has 4 different brands. SLIDE | 6 WEAKNESSES S W O T Ford Motor Company Brands
  • 7.
    1. Future marketsfor self-driving vehicles โ€ข In 2017, Ford was testing a fleet of 100 of level 2 automation vehicles. โ€ข The company expects to introduce a level 4 autonomous vehicle by 2021. SLIDE | 7 OPPORTUNITIES S W O T Figure 8. Levels of automation in vehicles
  • 8.
    1. Increased competition SLIDE| 8 THREATS S W O T Fordโ€™s main competitors
  • 9.
    SLIDE | 9 GETTHE FULL PRESENTATION BUY FORD SWOT 2018
  • 10.
    1. Ford MotorCompany (2018). Form 10-K for the Fiscal Year Ended December 31st, 2017. Available at: http://shareholder.ford.com/~/media/Files/F/Ford-IR-V2/events-and-presentations/2018/F-2017-10-K-report.pdf Accessed March 8, 2018 2. Cain, T. (2017). Top 11 Best-Selling Pickup Trucks In America โ€“ December 2017. Available at: http://www.goodcarbadcar.net/2018/01/top-11- best-selling-pickup-trucks-america-december-2017/ Accessed March 8, 2018 3. Bunkley, N. (2015). The F-150, Ford's heavy-duty profit hauler. Available at: http://www.autonews.com/article/20150428/BLOG06/150429797/the-f-150-fords-heavy-duty-profit-hauler Accessed March 8, 2018 4. Woodyard, C. (2017). Many rich folks opt for plain olโ€™ pickups, economy cars. Available at: http://www.usatoday.com/story/money/cars/2017/02/20/many-rich-folks-opt-plain-ol-pickups-economy-cars/97978392/ Accessed March 8, 2018 5. Interbrand (2018). Best Global Brands 2017. Available at: http://interbrand.com/best-brands/best-global-brands/2017/ranking/ Accessed March 8, 2018 6. Forbes (2018). The Worldโ€™s Most Valuable Brands. Available at: http://www.forbes.com/powerful-brands/list/ Accessed March 8, 2018 7. IHS Markit (2018). General Motors Retains Leadership as Top Manufacturer in Automotive Loyalty Awards Presented by IHS Markit. Available at: http://news.ihsmarkit.com/press-release/automotive/general-motors-retains-leadership-top-manufacturer-automotive-loyalty-award Accessed March 8, 2018 8. Toyota Motor Corporation (2017). Form 20-F for the Fiscal Year Ended March 31st, 2017. Available at: http://www.toyota- global.com/pages/contents/investors/ir_library/sec/pdf/20-F_201703_final.pdf Accessed March 8, 2018 9. General Motors Company (2018). Form 10-K for the Fiscal Year Ended December 31st, 2017. Available at: http://www.gm.com/company/investors/sec-filings.html Accessed March 8, 2018 10. Volkswagen AG (2017). Annual Report 2016. Available at: http://annualreport2016.volkswagenag.com/ Accessed March 8, 2018 11. Fiat Chrysler Automobiles (2018). FCA Annual Report 2017. Available at: https://www.fcagroup.com/en- US/investors/financial_regulatory/financial_reports/files/FCA_NV_2017_Annual_Report.pdf Accessed March 8, 2018 SLIDE | 10 SOURCES (1/3)
  • 11.
    12. Chutel, L.(2017). It took 39 fires before Ford recalled exploding SUVs in South Africa. In the US, it took 0. Available at: https://qz.com/901046/ford- recalls-exploding-kuga-suv-in-south-africa/ Accessed March 8, 2018 13. LeBeau, P. (2014). Big 3 Dominance Slipping as Competition Heats Up. Available at: http://www.cnbc.com/2014/12/18/big-3-dominance-slipping-as- competition-heats-up.html Accessed March 8, 2018 14. Ford Motor Company (2015). Ford at CES Announces Smart Mobility Plan and 25 Global Experiments Designed to Change the Way the World Moves. Available at: https://media.ford.com/content/fordmedia/fna/us/en/news/2015/01/06/ford-at-ces-announces-smart-mobility-plan.html Accessed March 8, 2018 15. Ford Motor Company (2016). Ford Tops Industry for U.S. Patents Granted in ; Employees Set New Record for Annual Number of Inventions. Available at: https://media.ford.com/content/fordmedia/fna/us/en/news/2016/12/09/ford-tops-industry-for-us-patents-granted-in-2016.html Accessed March 8, 2018 16. Lee, T. (2016). Which Automakers Have the Best Recall Rate and Timeliness? Available at: http://blog.iseecars.com/2016/11/03/which-automaker-has- the-best-recall-rate-or-timeliness/ Accessed March 8, 2018 17. J.D. Power (2018). Most Owners Still in Love with Their Three-Year-Old Vehicles, J.D. Power Finds. Available at: http://www.jdpower.com/press- releases/jd-power-2018-us-vehicle-dependability-study Accessed March 8, 2018 18. BMW Group (2016). Annual Report 2016. Available at: https://www.bmwgroup.com/content/dam/bmw-group- websites/bmwgroup_com/ir/downloads/en/2015/12784_GB_2015_engl_Finanzbericht_Online.pdf Accessed March 8, 2018 19. Research and Markets (2017). Global Autonomous Vehicles Market - Analysis & Forecast (2016-2025). Available at: http://www.researchandmarkets.com/research/wd2lrs/global_autonomous Accessed March 8, 2018 20. Grand View Research (2017). Autonomous Cars/Driverless Cars Market Analysis And Segment Forecasts To 2024. Available at: http://www.grandviewresearch.com/industry-analysis/driverless-cars-market Accessed March 8, 2018 21. CB Insights (2017). 44 Corporations Working On Autonomous Vehicles. Available at: https://www.cbinsights.com/blog/autonomous-driverless-vehicles- corporations-list/ Accessed March 8, 2018 22. National Conference of State Legislature (2018). Autonomous Vehicles | Self-Driving Vehicles Enacted. Available at: http://www.ncsl.org/research/transportation/autonomous-vehicles-self-driving-vehicles-enacted-legislation.aspx Accessed March 8, 2018 SLIDE | 11 SOURCES (2/3)
  • 12.
    23. Trading Economics(2017). China GDP Annual Growth Rate. Available at: http://www.tradingeconomics.com/china/gdp-growth-annual Accessed March 8, 2018 24. McCaffrey, C. R. and Peterson, E. R. (2018). The Rise of Chinaโ€™s Middle-Class Consumer. Available at: https://www.atkearney.com/diversity-and- inclusion/article/-/asset_publisher/O7EGSazwBWC9/content/the-rise-of-china-s-middle-class-consumer-article/236833 Accessed March 8, 2018 25. Rosevear, J. (2017). Ford's China Sales Get Help from a Brawny SUV. Available at: https://www.fool.com/investing/2017/03/07/fords-china-sales-get-help- from-a-brawny-suv.aspx Accessed March 8, 2018 26. Shirouzu, N. and White, J.. (2017). Exclusive: One Ford, two systems - U.S. carmaker revamps China strategy amid EV push. Available at: https://www.reuters.com/article/us-fordmotor-china-strategy-exclusive/exclusive-one-ford-two-systems-u-s-carmaker-revamps-china-strategy-amid-ev- push-idUSKCN1C81EB Accessed March 8, 2018 27. Karnik, M. (2016). 600 million people are now part of Indiaโ€™s middle classโ€”including your local carpenter. Available at: https://qz.com/742986/600-million- people-are-now-part-of-indias-middle-class-including-your-local-carpenter/ Accessed March 8, 2018 28. Roughneen, S. and Asia, N. (2017) Booming Southeast Asian vehicle sales drive urban congestion. Available at: https://www.ft.com/content/96608536- 4204-11e7-9d56-25f963e998b2 Accessed March 8, 2018 29. Trading Economics (2018). United States GDP Growth Rate. Available at: http://www.tradingeconomics.com/united-states/gdp-growth Accessed March 8, 2018 30. Cain, T. (2016). U.S. Auto Sales Brand Rankings - 2015 Year End. Available at: http://www.goodcarbadcar.net/2017/01/usa-2016-auto-brand-sales- results-rankings.html Accessed March 8, 2018 31. Greenough, J. (2017). How Tech Companies Will Win the Battle Over the Connected Carโ€™s Digital Dashboard. Available at: http://www.businessinsider.com.au/how-tech-companies-will-win-the-battle-over-the-connected-cars-digital-dashboard-2015-12 Accessed March 8, 2018 32. Cain, T. (2017). U.S. Auto Sales Brand Rankings - 2016 Year End. Available at: http://www.goodcarbadcar.net/2017/01/usa-2016-auto-brand-sales- results-rankings.html Accessed March 8, 2018 33. Matthews, J. (2018). U.S. Auto Sales Brand Rankings โ€“ December 2017 YTD. Available at: http://www.goodcarbadcar.net/2018/01/u-s-auto-sales-brand- rankings-december-2017-ytd/ Accessed March 8, 2018 SLIDE | 12 SOURCES (3/3)