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What about the future of Ford Inc?? ![]()

1858 messages, Last post on Oct 16, 2006 at 6:25 AM
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Replying to: nippononly (Aug 15, 2005 10:34 pm) After developing a really great 7-seat crossover, the Freestyle, and then watching it steal 30% of Explorer's sales, they choose to end the Freestyle's run early, I hadn't heard before. When did this happen? In brief, I too think it was a mistake not to bring over the new European Focus. It is a killer car much in the same way its platform mate (the Mazda 3) is here for a small car for not a whole lot of money. I'm sure the Ford version would be cheaper still. They're even going to offer a hardtop convertible version next year. Its a cool little car, but I guess that since the Mazda 3 and various Volvos share this platform they decided to sell Americans the tired old Focus a few more years. This and the fact that Ford desperately needs a new corporate V6. 201hp just doesn't cut it anymore, CVT or not. I think for the most part that they've done the right thing with their PAG brands, but after all this if they don't make money they need to think about selling one or two of them off. I'd keep Volvo and Aston-Martin. Jaguar is going to require more money still. I think Land Rover should be ok, or at least headed strongly down the path of being ok. They have a mostly new and/or refreshed product lineup for 2006. Volvo is arguably the most valuable from a business standpoint because of their safety know how, inexpensive/adaptable platforms and because they're the only one of the PAG brands that make money. Aston-Martin should be ok too once their new entry-level car hits the market pushing their volume to a Ferrari-like 4K units a year. M |
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Replying to: nippononly (Aug 15, 2005 10:34 pm) nippon - I agree with you, but I have heard an explanation. Apparently, if they brought the European Focus here, it would be too expensive to sell at the current Focus' price point. Don't ask me if it's an emissions thing, or a exchange rate thing, or what, but that's the explanation I've heard. Hopefully they can overcome the problem and get it over here, but I doubt we'll see it before 2008. |
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They have announced that Freestyle will end its life in two short years, although a rebadged Mercury version will remain. Sales have been good, relative to other vehicles of this type. Killing it is a bad idea. They have spent a BUNCH of money updating the Explorer for '06, to make it more like the new F-150 inside and out. It will still get sub-20 mpg in these new days of almost $3 gas. Bad thing? They have basically given up on the Ranger and thrown it away. I realize the volume sales in pick-ups is the full-size trucks, but Ranger was good for a couple hundred thousand a year just two years ago. That's meaningful sales, seems to me. Now it will run un-updated for more than a decade and then get killed entirely around MY '10. As for the little old 3.0 Duratec, they are ALMOST ready with the 3.5 supposedly, so at least they heard you on that count! mirth: now that you mention it, I do remember them offering that explanation, although I read it as "the Euro Focus is too nice for you American consumers, who just won't ante up for nice compact cars". Perhaps it is true, but a little insulting nonetheless. People are anteing up for the Mazda3, I believe, which also gets pricey when loaded up. GM and Ford both have this attitude that small cars have to be cheap cheap cheap, or else they're just not worth the effort to bring to market. It is part of the reason their annual sales are so truck-heavy, while the Japanese make tons of profits selling cars. |
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They are redesigning the Sport Trac. Perhaps they expect that vehicle to carry the small truck banner for the brand. Surprised about the Freestyle. I hadn't heard that, either. The interior materials and engine never impressed me, but I think it's otherwise a reasonably well-sorted vehicle. |
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Freestyle is not dead yet, They have just announced a truncated model run for it, that is all. It will be gone for '07. The SportTrac is pretty big, and pretty pricey compared to other small/midsize pick-ups. Someone wanting a base model 4x2 truck, perhaps a 4-cyl no less, will be out of luck at Ford unless they take the time to order a fleet-sales, ages-old Ranger. Otherwise they will need well over $20K to buy an ST. F-150 is Ford's biggest seller. GM will redesign its full-size trucks for early next year, Toyota might get lucky with the new Tundra and siphon another 50-75K sales per year away from F-150 in Tundra's first full year. F-150 is about to take on some redesigned competition. Even the Ram is getting some updates for '06, right? Explorer and Mustang are the next two biggest sellers. Mustang's sales explosion won't last another year (just by the nature of the sport coupe breed), Explorer might get a few percentage points back from the big dip of this year, but it won't return to former sales levels I am sure. The Fusion, which started out looking like a real exciting little car, the return of great cars to the Ford line-up, has ended up being another solid entry not unlike Five Hundred. Solid yes, exciting no. Taurus will end its run early next year, and Fusion/Five HUndred will pick up the fleet sales Taurus drops, but I doubt there will be a net increase of sales among these models. There is no real plan for Mercury and Lincoln five years out, beyond rebadging some more Fords. At Ford, the business plan seems to be dig in and wait out the storm, hoping that the same ol' same ol' will save the day. The only exception to that is they have FINALLY decided to cancel the Freestar, and to go ahead with that Fairlane concept car. The future is muddy....
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Supposedly, Ford is downsizing its production capacity to reflect a 17 percent market share. Which is realistic, in view of the increased competition today from not only Japan, but Korea and a possibly resurgent GM. The only problem is that with the increased competition, Ford will probably have to run harder just to maintain a 17 percent share! As for Mercury - I look for it to be gone within five years. It needs more than rebadged Fords to really survive. The brand has fallen off most buyer's radar screens, and rebadged Fords won't be enough to revive awareness in the division. |
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| Ford is dropping the freestyle line because according to future ford plans, there will be more crossover wagons in the near future and it would only conflict with the freestyle. I saw the spy photos of new car based lincoln aviator and it looks good. There is suppose to be cheaper ford version called the edge and I wonder how it will be look. Maybe someone has a link to a spyshot? | |
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why go to the expense of developing a new crossover to replace Freestyle, which is a good model in its own right? They act like the new line-up is coming, and they have no control over it! And besides the Fairlane and a crossover shared with Mazda, what will this new line-up be? It all seems pretty vague for a company that couldn't afford to redo the Ranger, or properly update the Focus. I also wonder what will actually happen with the Excursion - first it is on, then it is off. And the Expedition? Spending a lot of money updating these truck-based gas guzzlers would be a mistake IMO. GM may prove me wrong though, with the all-new GMT900 trucks next year.
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Replying to: nippononly (Aug 16, 2005 9:31 pm) It is interesting though the ford is keeping the mercury version of freestyle intact. Didn't ford announce they would kill off the excursion and have a new stretch version of the redesign expedition. I agree with you about high gas prices that could keep the potential big truck and suv buyers away in the future. |
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| an Excursion created just by stretching out an Expedition wouldn't have a high enough GVWR to exempt it from CAFE requirements? That might be one reason for keeping the Excursion around, as is. | |
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