Understand the Concepts of Porter’s Model

Marketing

MARKETING 1
The main objective of this paper is to understand the concepts of porter’s model that has
been designed by Michael Porter. Michael Porter frames the two frameworks such as porter’s
five forces and porter’s generic strategies (Viltard, 2017). In this paper, porters five forces
framework and porters generic strategies will be discussed. Ford Motors have been taken into
consideration to examine the environment of the market and its strategies.
Task A
Company Introduction
Ford Motor is a multinational automaker firm that manufactures automobiles and
commercial vehicles under the Ford brand. It also manufactures the luxury cars at the
international level. The firm was established in the year 1925 by the Henry Ford. It operates in
automotive industry which is specific in terms of operation (Ford, 2020a).
The product and services provided by the company are automobiles, current marques,
trucks, buses, tractors, former marques and luxurious cars. Ford provides the automobile product
under Ford Marque worldwide and also the range of luxury automobiles under the Lincoln
marque. In Automobile, the company provides current and former marques. In Current marques,
Ford, Lincoln and Troller are the models and in former marques, edsel, jaguar, continental,
mercury, Volvo, merkur, Land Rover, Aston martin, FPV, and Mazda are the models. Apart
from it, trucks, buses, tractors are also provided by the company as product. It also starts
providing the sports cars such as motorsports with the various models (Ford, 2020a).
It has been found that the goods provided by the company satisfy the demand of
consumers in terms of transport services. The main aim of the company is to make the travelling

MARKETING 2
easy for the people. The key function of product that provided by Ford Motors is to satisfy the
demand of transportation so that they can transfer from one place to another place (Ford, 2020b).
Functionality of the product defines its purpose, strong or hard the product,
manufacturing process and the others. The purpose of product that offers by the company is to
delivers the transportation services. It uses the different parts of automobile product from the
different companies. The key components of the company are its four wheelers as these are
popular in the market and the function of these components is to deliver the needs and wants of
consumers (Ford, 2020b).
Task B
Market Analysis
It has been seen that Ford Motors Company adding 13 new organizations to its Aligned
Business Framework (ABF) (Reliable Plant, 2019). These companies bring 90 key components
and service suppliers those are selected for long term relationship and closer collaboration. ABF
is the main supplier of the company as this group supplies the services.
The other suppliers of the company are Autoliv, while Warn Industries supplies axle
assemblies and Ontario supplies door hinges, Flex-N-Gate Seeburn and arms. Indirect suppliers
of the companies are FedEx, Union Pacific, and Rous. The services provided by the suppliers are
rubbers, glasses, aluminum and many others. These raw materials have high value of goods due
to which the threat of suppliers has been decreases. The company has good relation with their
suppliers as the company provides the various facilities (Ford, 2020d).

MARKETING 3
Toyota, General Motors, Volkswagen and Daimler are the top main competitors of the
company that delivers the similar services to customers in order to satisfy their needs and wants.
These competitors also offer the three or four wheelers to consumers which are provided by the
company (Craft, 2019). The brand images of the companies are also high due to which the
competition among the companies has been increases. Toyota delivers the car to consumers
which is also similar services as the Ford motors also provide Cars as product.
Train, Buses and ships are the vehicles that offer the similar services to consumers. These
vehicles satisfy the need s and wants of consumers. Ford Motors offers the transportation
services to consumers such as three or four wheeler vehicles (Thrope, 2015). The consumers
those are not able to afford the products of the company can shift with these transportation
companies in order to travel from one place to another. But these transportation vehicles does not
buy by the consumers, the consumers pays the rent in order to travel with these transportation
services.
It has been found that the consumers of Ford Motors have the opportunity to purchase the
goods from any automobile companies. The consumers can buy the goods from the competitors
as they offers the goods with the different features and different price sets. Buying the product
from the company or buying the product from the competitors satisfies the demand of consumers
with the different features and different price sets (Cleverism, 2019).
The government relation team at Ford Motors firm that works to shape policy and
legislation at all levels of government. The government assists the firm’s auto and mobility
business. The government always supports the automobile industry by financing the domestic
financial producers and also international producers that helps to promote the services of