Ford isn't killing models to save money

[RSS Robot]

Filed under: Economy, Hirings/Firings/Layoffs, Hatchbacks, Ford, Earnings/Financials

Click above for a high-res gallery of the 2009 Ford Fiesta

With all the news surrounding General Motors and Chrysler's slicing and dicing to profitability, it's a breath of fresh air to hear that Ford is taking a different tack. The Blue Oval is betting the farm on new models that will lure consumers into showrooms rather than reworking existing models and cutting back development spending.

Speaking with the Detroit News, Ford CEO Alan Mulally said, "We're only going to be in business if we create products that people really do want and value. This is the essence of creating a viable Ford."

Part of the automaker's plan is to invest in the development of small cars in the U.S. and to make those models as profitable as their European counterparts. The recently renegotiated contracts with the UAW should help, but offering the features U.S. consumers crave in a small, inexpensive packages could prove difficult. And new products are only part of the solution.

Ford plans to cut back on advertising spending, reduce salaried payroll by 10% and cut executive bonuses to net between $8-9 billion. All that, along with asset sales and working with Ford Credit, could bring things back into the black (hopefully) and more compelling products have to be part of the plan.

Gallery: First Drive: 2009 Ford Fiesta


[Source: Detroit News]Ford isn't killing models to save money originally appeared on Autoblog on Thu, 13 Nov 2008 18:02:00 EST. Please see our terms for use of feeds.


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[KULTULZ]

Part of the automaker's plan is to invest in the development of small cars in the U.S. and to make those models as profitable as their European counterparts. The recently renegotiated contracts with the UAW should help, but offering the features U.S. consumers crave in a small, inexpensive packages could prove difficult. And new products are only part of the solution.

TRANSLATION:

FORD will introduce their FORD of EUROPE models here to hopefully satisfy the market. They will be made mostly in Mexico to achieve low wages needed for huge profits. Americans will still choose ASIAN cars.

[SandyBoy]

Pack of lies

I have purchased, new, 6 American cars since 1990. 1 was "fair" and the other 5 were perfect, and never gave me a moment of "trouble".
I would not purchase any foreign car, NEVER! The Germans, under Hitler, killed my Great Grandparents and my Grandfather. I should"consider" a Nazi car? Never!! My cousins (2) were killed in Nam. Buy an Asain car? W-H-Y ?

My Personal experience:

1990 Ford Mustang GT Convertible - Most fun I ever had, with a car.
1993 Cadilac Sixty Special Sedan. Never had problem #1 ! Still have it !
1994 Pontiac Grand Prix GTP Coupe - Terrible fitting doors, cheap assembly
1998 Lincoln Mark 8 - Great car, real road car, heavy, tight, no problem, ever
2001 Jeep Cherokee Limited 4x4 Wagon - Still have it, with 55,000 on it. Had one problem, in 8 years. Air Conditioning Evaporator failed. $1,300 fix.
2003 Lincoln Town Car Limited Edition. Current car. Absolutely flawless.

Why then, should I support another countries product, when I have had excellent experiences with domestics?

When I purchased my 2003 Lincoln, my next door neighbor bought the cheap Mercedes-Benz "C-Class" 4-door. He patted himself on the back for spending the same $$$ that I did, and HE got a Meeer-SAY-deees!

7 times Igave him a morning lift to the R.R. station whenthe Mer-SAAY-dees did't want to start !!! Meanwhile, I have never had a problem with my cars.
So, he finally has it with the mer-SAAY-dees and trades it for a Buick Lucerne. To date, 34,000 on the Buick. He had a slight water leak in the trunk. Dealer fixed it under warrantee and installed new trunk carpeting. He still has the Buick, but is looking at a new BMW. (They just don't learn!).
*** BUY AMERICAN*** Support American Industry

[KULTULZ]

Why then, should I support another countries product, when I have had excellent experiences with domestics?

This is the stickler on the present automotive industry.

Foreign cars are made here and American cars are made in either Mexico or Canada or contain mostly components being imported. There is no AMERICAN AUTO INDUSTRY.

FORD = Mazda
GM = Toyota/Isuzu
Chrysler = Mitsubishi

My last new car was (is) a 1999 MERC SABLE. I love this car. But I knew when I bought it that it was Japanese technolgy, not American.

FORD is a world-wide producer of cars and soon you will be inundated with cars from Australia, the Orient (incl. China) and FORD of Europe.

And the fools sold off Jaguar, one of their only luxury cars and are trying to shake Volvo.

Present day FORD is not FOMOCO that we are familiar with.

[Anders]

I would not purchase any foreign car, NEVER! The Germans, under Hitler, killed my Great Grandparents and my Grandfather. I should"consider" a Nazi car? Never!! My cousins (2) were killed in Nam. Buy an Asain car? W-H-Y ?

How about a Volvo? Owned by Ford, and Sweden was not even part of WW1, WW2 or in Vietnam.
As a matter of fact, we have not having war with anyone ( how about that?...)for way over 100 years....

[scumdog]

Yep, the Ford of today (or for the last 20 years or so) may well not be the Ford you think it is - like my wifes '84 Ford Laser = Mazda 323.

Early Dodge Colt = Mitsubushi Galant yadda-yadda-yadda......

The list goes on and the 'war' has long gone.

[SandyBoy]

True !

This is true. But, we can do little about it. Ford GM & Chrysler are American Corporations, even though they are "in bed" with other Foreign Corporations.
I think if you ask 100 people if GM is an American Corp. all 100 will say "yes" - - ask them if Nissan is an American Corp. and most will say, "no".