Ford's 2022 Plans

 

For this assignment, I decided to report on Ford's electric vehicle plans. I am choosing to report on this for a couple of reasons.  One, growing up my family (Dad and brother) have always owned Ford trucks.  Secondly, my daughters grandpa was a Ford mechanic for over 30 years, not only at Nissen Ford, but at a shop he and his wife owned.    I visited www.forbes.com and found an article https://www.forbes.com/sites/sergeiklebnikov/2022/01/13/ford-blows-past-100-billion-market-valuation-as-shares-surge-thanks-to-hot-electric-vehicle-plans/?sh=94268512943d regarding Ford vehicles dated January 13,2022.

 

This article touched on many topics including the fact that Ford's stock increased just shy of four percent with the ramp up of production on their electric vehicles, that they are now worth more than their rival, General Motors, and that the primary vehicles they will be focused on producing will be the Ford Mustang Mach E crossover, as well as the Ford Lightning F-150 pickup (scheduled for release in Spring of this year).  

 I found it extremely interesting that this article pointed out that Ford's shares exploded by 140% in 2021.  Because of this, they now lead the auto industries stock. For 2022, Ford released that their stock for 2022, is currently up by sixteen percent. In this article, it was noted that then majority of Wall Street analysts see "further upside ahead, with many praising CEO Jim Farley's ongoing Ford+ restructuring plan, a big part of which focuses more of the company's resources into electric vehicles."   Ford's market capitalization is now just over one hundred billion dollars, however it still is behind Tesla with their market valuation being more than $1 trillion.

Earlier this month, Ford announced that they are "committed to leading the electric vehicle revolution". They also said that they plan to invest a total of thirty BILLION dollars into the industry by 2025.  Additionally, Ford released that  “Over the next two years, Ford aims to emerge as the clear No. 2 electric vehicle maker in North America and then challenge the No. 1 spot".

 

Over the years, Ford's value proposition has focused on manufacturing affordable, safe and vehicles with structural integrity. I feel that by them releasing and devoting so much money to their new electric vehicles, they are rising above the market.  If I were the product manager, I think I would work toward making the Ford Expedition and the Ford Excursions electric as well.  My reasoning behind doing this, is for a couple of reasons.  One, for the sake of the environment, and emissions.  The second reason, is to make these vehicles more appealing to families that need a large vehicle, but can't afford the rising gas prices.  As we all know, large SUV's are not known for their fuel economy.   Ford has always used the slogan of "Built Ford Tough", and they seems to be continuing that marketing tactic even with their introduction of the electric vehicle line.

As I researched this a bit more via Google.com, I learned that Ford is also making the Transit van 100% electric.  I ended up visiting https://media.ford.com/content/fordmedia/fna/us/en/news/2021/05/19/the-ford-electric-vehicle-strategy--what-you-need-to-know.html and learned a bit more of Ford's plan of attack.  In this article it was noted that their are over 2300 certified dealerships that are certified to sell these electric vehicles over all 50 states.

 Because of businesses like my families (www.abcbox.net), and other industrial businesses such as electricians, plumbers, etc. I feel Ford is covering multiple markets.  Lastly, Ford is investing time and money on electric vehicle battery research to pilot new techniques that will allow them to scale breakthrough battery cell designs.