Ford Axing all cars except Mustang and Focus Active Crossover in North America

God, where's Alan Mullally when you need him???

I don't like this idea at all.

I'm not a fan of sedans, but I am also not a fan of SUV's (except when you need their capability). I really like hot hatches, wagons, and sports cars of course. Vans, too.

I feel like Ford is going to be giving away customers to other brands, possibly never to get them back.

If they are already making a Focus for other markets, it seems like they should just sell it here as well. The Focus RS was very highly regarded, as was the Fiesta ST (and the Focus ST). They can definitely make competitive cars when the care to.

At a minimum it seems like they should keep the Fusion in the US.

Maybe this will work out for Ford, but my gut is telling me that cutting out this much product can't be a good idea.

-T

For anyone really interested I would suggest skipping all the articles on the net and go to the source documents on the Ford Media site.

I think this is a bad short term move..but what the hell do I know....but in reading the Ford docs they go over budget items....Hackett is changing earlier posted budgets aka pulling billions of dollars from upcoming development budgets. Thus the car model cut back...kill the Taurus (pick your own model) and you get to pull back all those future development costs that were previously budgeted for- instant cost reductions....greatly helps improve profit/cost ratios...

Nameless said:

Yes I did and that's why I know what's happening hahahah, there was confirmation that Ford won't be using the "Mach 1" nameplate, apparently it was only for the teaser.

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Interesting, I hadn't heard that, and have seen fairly recent references to an SUV called Mach 1. Can you share where you heard that info?

Mustang1260 said:

For anyone really interested I would suggest skipping all the articles on the net and go to the source documents on the Ford Media site.

I think this is a bad short term move..but what the hell do I know....but in reading the Ford docs they go over budget items....Hackett is changing earlier posted budgets aka pulling billions of dollars from upcoming development budgets. Thus the car model cut back...kill the Taurus (pick your own model) and you get to pull back all those future development costs that were previously budgeted for- instant cost reductions....greatly helps improve profit/cost ratios...

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You also have to factor in all those lost sales and hoping that SUV sales continue to rise.

I find it funny that people get an SUV to "be up higher" yet when EVERYONE has an SUV and is as high or higher than you how does that help you at all?

Very piss poor knee jerk reaction from Ford.
All they need to do is kill off the Focus that in some ways competes with the Fusion.
Kill off the Taurus because it really is out dated and competes with the Fusion. The Fusion is the better of the two.
This would leave the Fiesta and the Fusion. There is enough separation of these two models to coexist.
The Focus and Taurus are the only two that need to be axed.

Mustang1260 said:

For anyone really interested I would suggest skipping all the articles on the net and go to the source documents on the Ford Media site.

I think this is a bad short term move..but what the hell do I know....but in reading the Ford docs they go over budget items....Hackett is changing earlier posted budgets aka pulling billions of dollars from upcoming development budgets. Thus the car model cut back...kill the Taurus (pick your own model) and you get to pull back all those future development costs that were previously budgeted for- instant cost reductions....greatly helps improve profit/cost ratios...

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Instant money.....ONCE. I'm sure the quarterly balance sheet will look great. 10 years from now? Maybe not so great.

It’s called pruning. Sad. But smart.

A 5 year plan most likely.

But the only way to make this work is to be agile enough to adapt to other markets changes after the steam runs out on what’s popular now.

Ford is forecasting and they are pretty decent at it, so I am not concerned. But this should indicate that there is a new infrastructure underway.

Mustang1260 said:

For anyone really interested I would suggest skipping all the articles on the net and go to the source documents on the Ford Media site.

I think this is a bad short term move..but what the hell do I know....but in reading the Ford docs they go over budget items....Hackett is changing earlier posted budgets aka pulling billions of dollars from upcoming development budgets. Thus the car model cut back...kill the Taurus (pick your own model) and you get to pull back all those future development costs that were previously budgeted for- instant cost reductions....greatly helps improve profit/cost ratios...

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for the short term. Growth requires investment... do not like this plan.

The truth is that sedans have low margins as everybody and their brother is making them. Ford, GM and Fiat/Chrysler have really struggled in the earnings area for years and years. Stock prices have been fairly stagnant. The company is owned by the stockholders and stock prices go up when earnings and dividends go up. The CEO on down to the assembly worker has one charge: to make a profit so shareholders can be rewarded for the risk of their capital.
Competition is very fierce. Very capital intensive. It takes many hundreds of millions of $ to make a new model. Then there is nearly suffocating regulation, testing, litigation, recalls and, most importantly, sales.
As a financial advisor I would do classes at the local library and ask folks how many PUBLICLY traded (on the NYSE) car companies there were in 1920. No one ever came close. There were 421 listed on the NYSE. Only one really left, the last company to go public in 1956: Ford Motor Company.
They have a very hard road to hoe. And with the ramp up in technology, it's questionable if any of the US companies will be around in 20 years.

I think it's a smart business decision. It's kind of obvious that people who buy cars (basic non muscle car cars) are buying Toyotas, Hondas, Kias, Hyundais, etc.

Well, apparently the "entry level-car" from Ford will be the Ecosport, followed by the Focus Active, then the Escape and the upcoming "off road crossover"









That would be ok I guess but my Escape AWD gets better gas mileage than the Ecosport

One other reason I'm not that hot on getting a Bullitt just yet is to replace my Explorer with a newer designed type of Ford SUV like the new frame Explorer, Ranger or Bronco.

Ford sedans were doomed when they didnt design a new affordable police interceptor after the vic production ended. Now dodge owns the segment and sedan market with police. Which in turn increased the civilian model. Just imagine a redesigned crown vic with a coyote for 30k. Will never happen but would have saved the market.

EcoVert said:

Well, apparently the "entry level-car" from Ford will be the Ecosport, followed by the Focus Active, then the Escape and the upcoming "off road crossover"

That would be ok I guess but my Escape AWD gets better gas mileage than the Ecosport

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This is hideous.