Analysis of Ford Motors in the UK Automobile Industry

Economic1
Economics
By
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<Lecturer’s Name and Course Number>

Economic2
Executive Summary
The company selected for analysis in this report is Ford Motors. The company is one of the main
leaders in the automobiles industry in the United Kingdom and the work at large. Its operations
are under the automobile industry, and which is one of the main GDP contributors to the
economy of United Kingdom. The company mainly markets its products through a retail
structure and supplied to governments and other main dealers. The main determinants of the
demand and supply for the products are quality and prices of the cars and spare parts. It also
clear that the products are elastic and the main contributing factor is the presence of vast
competitors. With regulation on fossil fuel, the company will need to resort to producing more
electric cars, which affects the sales and productivity of the company products.

Economic3
Table of contents
Contents
Executive Summary.......................................................................................................... 2
Table of contents............................................................................................................. 3
Introduction.................................................................................................................... 4
Overview of the company and industry.................................................................................. 4
Company.................................................................................................................... 4
Industry..................................................................................................................... 5
An analysis of the market structure....................................................................................... 6
Type of market structure................................................................................................. 6
Market leaders............................................................................................................. 7
Determinants of Demand................................................................................................... 9
Determinants of Supply..................................................................................................... 9
Demand elasticity for Ford Cars......................................................................................... 10
Factors that affect the elasticity of demand for Ford cars..........................................................10
Brief description of the event........................................................................................... 11
Impact of the event to market demand and supply................................................................12
Effect of the event on the market price and quantity.............................................................14

Economic4
Introduction
In this paper, an overview of the Ford Motors and the industry in which it operates in the
United kingdom will be presented. Over the years, the company has been excellently operating in
the economy under the most vibrant automobile industry. The entire automotive industry
contributes more than 15.19 billion pounds through the different products. Ford is one of the
formidable companies, which will be explored(Ford, General Motors, 2014). The current
industrial trends, supply and demand factors of the company products along with the market
structure will be presented. Moreover, a current event that is most likely to affect the operations
will be researched and presented.
Overview of the company and industry
Company
Ford motors as a company was incorporated in the year 1919 as a global mobility and
automobile company. The main business of the company include marketing, manufacturing,
designing along with servicing of the vehicles it produces like SUVs, trucks among others. The
company's operations are in mainly four segments of Financial services, automotive, Treasury
operations and Smart mobility. The headquarters are situated in Dearborn Michigan, which is
often referred to the Glass House. The main brands of the company are Lincoln and Ford, and its
products are sold in terms as retails along with the different fleet of customers around the world
and governments. Moreover, the company also engages in the sale of parts along with
accessories mainly to its dealers and authorised dealers around the world. Ford's main
competitors are General Motors, Honda Motor, Suzuki Motor company, Toyota among others
Volkswagen group(Ford, General Motors, 2019). As of 2019, the company's market share stands
at $48,892.30 million with outstanding shares current shares are $3,971.75 million and with a