In somewhat of an understatement, chairman and chief executive Billy Ford, of the Ford Motor Co. said that the company needs a new business model.
Quoting a report from the Financial Times, Reuters said that Ford "may turn to outside executives and alliances with other carmakers."
Citing a memo sent to employees from Ford, The Financial Times reported Billy Ford as saying: "The business model that sustained us for decades is no longer sufficient to sustain profitability."
While most of us know this already, it is a revelation into the underlying problems that are not only afflicting Ford, but the entire U.S. automotive industry.
It's hard to believe that they've dropped this far without any type of contingency plan in place. It's not like gas prices and large vehicles have been under pressure for a long time. It's odd that they are not able to respond to this threat in any sufficient way.
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It is of my opinion that ford motor co. has one problem.Its the carburator stupid,what about at least 30mps.The quality is not the factor.If this business is kept up ford will lose,especially in the suv and truck line,and japan of all people will rule the suv and truck line.Thinging ahead is the problem of ford motor co.I have tried to stay loyal to ford,but that may change.I have a F-150 supercab fx4 worth at leat 28000 dolars which is now worth 14000 dollars.With all corprate Americia this is the problem,or does someone want it this way?
Posted by: Ricky Nelson | September 5, 2006 3:29 PM | Permalink to Comment