"Way Forward"? How about a "Way Out" instead? Ideas for Ford's recovery
Thread Starter
Registered User
Joined: Mar 2001
Posts: 13,713
From: The Golden State
"Way Forward"? How about a "Way Out" instead? Ideas for Ford's recovery
In another thread there was a story about Ford putting it's core business on the block to secure loans. The article mentioned that Ford, without any changes, would burn through it's cash reserve of nearly $24 billion within 3 years. I know it takes alot of cash to buy out employees, & close factories, but Ford's biggest issue is the lack of new product.
The Crown Vic is ancient. Focus, once on the cutting edge is now dull after over half a decade. Ford's Windstar restyling was so conservative that not only could Ford fans not identify the changes, it looked like the same old thing to everyone else as well, & Ford had to kill it due to no sales.
I wanted to post a few cars Ford already has at it's other outposts in Europe & Australia that IMO would do extremely well here. They may be nothing special to our friends here from other continents, but it's hard to express to you just how bad Ford here (outside of a few choice models) has gotten.
Ford's expecting not to turn a profit till 2008 (calendar year, not model year), and outside of a new Volvo based Lincoln and the upcoming redone F-series trucks and a restyled Explorer, there doesn't seem to be much of any new product in the pipeline save adapting Ford's chrome bar grill theme across the line and a few rear tweaks.
It took Holden $1 Billion to create an entirely new car, the VE, and needed just $60-100 million to get the GTO here.
Absolute worse case scenerio: it takes Ford-NA an average of $100 million a pop to get these vehicles certified for the US (all models are relatively easy to pass, and the Falcon's replacement has LHD capability built in, even though Ford-NA is loathe to use it) , and perhaps another $200 million to buy the tooling & set up each line.
Mondeo:
This is the new one in the Bond movie, made in Germany if I'm not mistaken. German cars are extremely easy to adapt to US standards. Both countries are LHD, and many standards are more strict than here. To top it off, the car was originally engineered to sell here, which it did.... as the Ford Countour and the Mercury Mystique in the late 90s. Ford-NA pulled the plug at the same time the line was redesigned.... and looked ALOT better. Figures.
The Ford Ranger:
This one is an option Ford is actually considering. Made in Asia, if I'm not mistaken. The current Ranger hasn't had a full resdeign since the early 1990s. There's been tweaks here & there, and countless interior changes, but Ranger (which has had it's replacements cancelled on average every 3 years since the mid 90s) is still the same truck that outlived 3 sets of Ford F-series. This one, at least, is updated.
Ford's Galaxy:
The only people who knew the Windstar was redesigned last time just a few years ago was the guy who keeps track of spending. You couldn't tell by looking at it. It made Chrysler's conservative redesign look like a major makeover and GM's new snouts look radical. Galaxy is a real minivan that IMO could compete not just with Chrysler, but alos anything from across the Pacific. Again, relatively easy to get here.
Ford Falcon:
I'll admit this one would take a bit of work to get here. It's made for RHD only, and converting it would take far more work than the last Holden Ute or Commodore. But I'd venture that it would still cost less and make far more money in a short time just in police & taxi sales, let alone retail than the money Ford pissed away on the revised Windstar. The new Falcon will be out within a year. I feel either bring the stampings of the current model here & set up Atlanta or set up a duplicate line here for the new L&RHD friendly chassis.
Territory Turbo:
Since it looks too much like the Freestar, but yet has the Falcon's chassis & Porsche & BMW beating turbo straight 6, a bit of interior revision & Lincoln exterior touches and I feel you'd be set. The way we're eating up crossovers would make this a no lose prospect, and the power & performance would give Lincoln a name for itself again. To top it off, it would have Lincoln pricing (which it doesn't have in Australia) meaning bigger profits per model.
The Crown Vic is ancient. Focus, once on the cutting edge is now dull after over half a decade. Ford's Windstar restyling was so conservative that not only could Ford fans not identify the changes, it looked like the same old thing to everyone else as well, & Ford had to kill it due to no sales.
I wanted to post a few cars Ford already has at it's other outposts in Europe & Australia that IMO would do extremely well here. They may be nothing special to our friends here from other continents, but it's hard to express to you just how bad Ford here (outside of a few choice models) has gotten.
Ford's expecting not to turn a profit till 2008 (calendar year, not model year), and outside of a new Volvo based Lincoln and the upcoming redone F-series trucks and a restyled Explorer, there doesn't seem to be much of any new product in the pipeline save adapting Ford's chrome bar grill theme across the line and a few rear tweaks.
It took Holden $1 Billion to create an entirely new car, the VE, and needed just $60-100 million to get the GTO here.
Absolute worse case scenerio: it takes Ford-NA an average of $100 million a pop to get these vehicles certified for the US (all models are relatively easy to pass, and the Falcon's replacement has LHD capability built in, even though Ford-NA is loathe to use it) , and perhaps another $200 million to buy the tooling & set up each line.
Mondeo:
This is the new one in the Bond movie, made in Germany if I'm not mistaken. German cars are extremely easy to adapt to US standards. Both countries are LHD, and many standards are more strict than here. To top it off, the car was originally engineered to sell here, which it did.... as the Ford Countour and the Mercury Mystique in the late 90s. Ford-NA pulled the plug at the same time the line was redesigned.... and looked ALOT better. Figures.
The Ford Ranger:
This one is an option Ford is actually considering. Made in Asia, if I'm not mistaken. The current Ranger hasn't had a full resdeign since the early 1990s. There's been tweaks here & there, and countless interior changes, but Ranger (which has had it's replacements cancelled on average every 3 years since the mid 90s) is still the same truck that outlived 3 sets of Ford F-series. This one, at least, is updated.
Ford's Galaxy:
The only people who knew the Windstar was redesigned last time just a few years ago was the guy who keeps track of spending. You couldn't tell by looking at it. It made Chrysler's conservative redesign look like a major makeover and GM's new snouts look radical. Galaxy is a real minivan that IMO could compete not just with Chrysler, but alos anything from across the Pacific. Again, relatively easy to get here.
Ford Falcon:
I'll admit this one would take a bit of work to get here. It's made for RHD only, and converting it would take far more work than the last Holden Ute or Commodore. But I'd venture that it would still cost less and make far more money in a short time just in police & taxi sales, let alone retail than the money Ford pissed away on the revised Windstar. The new Falcon will be out within a year. I feel either bring the stampings of the current model here & set up Atlanta or set up a duplicate line here for the new L&RHD friendly chassis.
Territory Turbo:
Since it looks too much like the Freestar, but yet has the Falcon's chassis & Porsche & BMW beating turbo straight 6, a bit of interior revision & Lincoln exterior touches and I feel you'd be set. The way we're eating up crossovers would make this a no lose prospect, and the power & performance would give Lincoln a name for itself again. To top it off, it would have Lincoln pricing (which it doesn't have in Australia) meaning bigger profits per model.
Last edited by guionM; Nov 27, 2006 at 03:43 PM.
Thread Starter
Registered User
Joined: Mar 2001
Posts: 13,713
From: The Golden State
Focus:
We get a mildly brushed up old version (based on the 1st gen chassis... everyone else has been on the 2nd gen for a couple of years). Again, easy to adapt for here
Fiesta:
I've seen these everywhere but here. They are small, cheap, and (dare I say) better than the Aveo. Very solid rides. Why Ford hasn't brought them here with Chevy, and BMW's Mini selling every model they can import is beyond me.
We get a mildly brushed up old version (based on the 1st gen chassis... everyone else has been on the 2nd gen for a couple of years). Again, easy to adapt for here
Fiesta:
I've seen these everywhere but here. They are small, cheap, and (dare I say) better than the Aveo. Very solid rides. Why Ford hasn't brought them here with Chevy, and BMW's Mini selling every model they can import is beyond me.
Last edited by guionM; Nov 27, 2006 at 03:52 PM.
Registered User
Joined: Aug 2000
Posts: 6,165
From: Sterling Heights, MI
Interesting. The Ranger is a bit goofy looking but at least it's something different. I can't tell you how embarrassing it is that the Big 3 basically gave Toyota the small-midsize truck market because of lack of investment (Ranger) or mediocre product (Colorado/Canyon/Durango).
The rest I could see as pretty successful cars here, product that should be relatively cheap to do as opposed to designing all new models...and the best part is people would see them as all-new models here simply because they don't look like current Ford fare.
The rest I could see as pretty successful cars here, product that should be relatively cheap to do as opposed to designing all new models...and the best part is people would see them as all-new models here simply because they don't look like current Ford fare.
Registered User
Joined: Aug 2002
Posts: 2,356
From: Madison Heights, MI
Vehicles like that sold abroad and not here only makes evident that the company wants to be a loser at home. Bring these rides here and maybe someone will buy Ford stock too. I think its about time the "Way Backward" restructuring plan accounts for something other than an excellent example of how to run a business into obscurity and bankruptcy.
Registered User
Joined: Mar 2001
Posts: 4,000
From: TX Med Ctr
Basically Ford just needs to get rid of Ford NA and import all their vehicles, or at least build them here. Maybe keep around the Mustang and F150 guys. Otherwise it seems that NA is quite inept compared to Ford Europe.
Registered User
Joined: Dec 2005
Posts: 2,802
From: Annapolis MD
I think the Mondeo and Falcon would do well here. Thats the best pic of the Falcon Ive seen unless the other pics were a newer car. Ford needs to do what GM is doing. Build their best cars for multiple markets and get the most out of all their global resources.
Registered User
Joined: Dec 2005
Posts: 1,502
Pretty ironic, since Ford was the champion of the "world car" back in the 1980s and early 90s. Something must have gone horribly, horribly wrong.
A) Ford is so broke, they can't afford to redesign these cars for domestic consumption
B) The content level/cost of Euro/AU cars is too high for the domestic customer base. (Compare the price of a VW to a Ford/GM product.)
C) Or, maybe Ford is just stupid and/or overly political
The situation reminds me somewhat about Bob Lutz's recent comments to the effect of "Americans are going to have to accept a more expensive smaller car", meaning that GM couldn't keep building domestic-only models and its inevitable that more Euro-style cars are coming.
I also have a little doubt about a Crown Vic replacement in the way you describe -- this probably the most perfect example of a domestic car that sells well because it's so cheap.
A) Ford is so broke, they can't afford to redesign these cars for domestic consumption
B) The content level/cost of Euro/AU cars is too high for the domestic customer base. (Compare the price of a VW to a Ford/GM product.)
C) Or, maybe Ford is just stupid and/or overly political
The situation reminds me somewhat about Bob Lutz's recent comments to the effect of "Americans are going to have to accept a more expensive smaller car", meaning that GM couldn't keep building domestic-only models and its inevitable that more Euro-style cars are coming.
I also have a little doubt about a Crown Vic replacement in the way you describe -- this probably the most perfect example of a domestic car that sells well because it's so cheap.
Registered User
Joined: Jun 2001
Posts: 4,600
From: Pewee Valley, KY
At the very least to kill 2 bones with one stone Ford could adapt the Falcon line to Lincoln and have a lux version for Jaguar, they seem to have no idea of what to do with that whole brand. The chassis seems BMW level and looks to be quite profitable on paper in small Australian volumes. Reskin the current model and make it LHD as well as RHD and I don't see how it could not make money!
Registered User
Joined: Jan 2006
Posts: 215
From: ********.com
After reading guion's remarks, it seems to me that Ford's apparently ineffective "Way Forward" strategy, not to mention their failure to embrace the north american market potential of these vehicles, is all designed to self destruct the corporation...
Perhaps it's all part of GM's turnaround plan?
Perhaps it's all part of GM's turnaround plan?
Registered User
Joined: Apr 2002
Posts: 589
From: Flounderville, MI, USA
Having spent some years in England and here, I always had a sense that Ford Europe knew what it was doing a little more than Ford NA. The mid 90s Euro escort was actually really good, not so much the NA version. (Cosworth Escort anyone??) Also, they kept the Modeo, developed it and has made it into a really nice car.
BTW, at least as far as I could tell, Ford was largly veiwed as a European company, as it turns out, there seems to be more differences than similarities.
BTW, at least as far as I could tell, Ford was largly veiwed as a European company, as it turns out, there seems to be more differences than similarities.
Banned
Joined: Mar 2001
Posts: 1,938
One adage of the car business is that there are no problems at a car company that good products can’t solve…of course, the other side of that is that even if everything is right, bad products will destroy you.
I’ve never claimed to understand Ford as a company…they seem intent on always being in second (or third) place because as soon as they do something right they’ll turn around and do two things wrong…I’d hate to see the company Henry Ford started destroy itself but that seems to be where they are headed.
I’ve never claimed to understand Ford as a company…they seem intent on always being in second (or third) place because as soon as they do something right they’ll turn around and do two things wrong…I’d hate to see the company Henry Ford started destroy itself but that seems to be where they are headed.
Registered User
Joined: Dec 2000
Posts: 2,574
From: Arlington, Texas
Without looking it up, I don't even know the difference between the 500, and the Futura, or whatever they call it. They look so generic, that I can't even tell the difference. I know one has those goofy ricer chrome tail light treatments. 
Registered User
Joined: Jun 2000
Posts: 528
From: The land of ice and snow.
The product available from Ford North America makes me think there is some kind of weird conspiracy within Ford N. America to ensure they do fail. Either that or they think that they can keep the company afloat on just the F-150/ Explorer and Mustang which is purely delusional. Ok I know those are both crazy notions... but when you look at the Ford vehicles availble outside of N. America you end up scratching your head in disbelief.
