Submitted by: Submitted by Dominator
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Words: 1012
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Category: Business and Industry
Date Submitted: 01/15/2012 09:43 AM
Ford Develops a Strategy for Competitive Advantage
Case Summary:
Ford Motor Company is one of the world’s top 10 corporations in offering many global brands of automobiles. In 2009, when Ford saw sales decline of 23.4 percent in sales and several other auto corporations filing bankruptcy while requesting a bailout from the government. Ford took advantage of the opportunity by cutting costs, trimming unprofitable models, and closing down vehicle assembly plants all while taking no assistance from the government.
Key Marketing Issues
* Market opportunity – A combination of circumstances and timing that permits an organization to take action to reach a particular target market. Ford used the opportunity to increase sales and roll out new product line when other major automobile companies were filing bankruptcy and had the U.S. government bail them out. The company aimed it Fusion auto towards women using a unique promotional campaign. Ford benefit in 2010 from recalls from the Toyota Motor Corporation and fines totaling $16.4 million from allegedly hiding safety defects. This resulted in Ford being number one in auto sales in the United States during this period.
* Market share – The percentage of a market that actually buys a specific product from a particular company. Ford has increased its share of the U.S. light-vehicle market for the last two years.
* Corporate strategy – A strategy that determines the means for utilizing resources in the various functional areas to reach the organization’s goal. Ford used the “The Way Forward” to reduce costs while maintaining a focus on customers.
* Intended strategy – The strategy the organization decides on during the planning phase and wants to use.
* Marketing objective – A statement of what is to be accomplished through marketing activities. Ford used the Fusion Studio to promote to women their brand of automobile the Fusion. The women could interact with Fusion while they were being treated to...