The Ford Motor Company

Paper Summary:

The paper examines the market structure of the automobile market and the impact on Ford of new companies entering the market. The paper examines Ford's expensive vehicles, the company's productivity, the cost structure of the automobile market and the price elasticity of demand. The paper also looks at Ford's competitors, analyzes the supply and demand and explores the impact of government regulations on the demand for cars.

Outline:
Market Structure
Impact of New Companies Entering the Market
Prices
Productivity
Cost Structure
Price Elasticity of Demand
Competitors
Supply and Demand Analysis
Impact of Government Regulations

From the Paper:

"The automobile industry still exists in a state of monopolistic competition. Only a few firms dominate the industry, because of the high barriers of entry to producing automobiles. This is particularly true of the car market for the average consumer, as opposed to the luxury car market, which is more fickle in regards to style. Once upon a time, Ford and GM held the bulk of the American market share because of their inexpensive, high-quality cars. Then, these American behemoths were toppled by Japanese manufacturers like Toyota in the 1980s. "

Sample of Sources Used:

• Lassa, Todd. (2007). "Ford brass unveils rescue plan. But is it enough?" MotorTrend. Retrieved 30 Jun 2007 at http://www.motortrend.com/future/spied_vehicles/112_0604_ford_motor_co
• Webster, Sarah. (29 Jun 2007). "Ford leaders talk global warming, fuel economy inletter." The Detroit Free Press. Retrieved 30 Jun 2007 athttp://www.freep.com/apps/pbcs.dll/article?AID=/20070629/BUSINESS01/70629071/1014/BUSINESS01

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