HI5014 T2 2019: Ford Motors Company International Business Analysis

This report provides a comprehensive analysis of Ford Motor Company's international business operations. It begins with an overview of the company and its global presence. The report then delves into Ford's foreign market entry strategies, detailing how the company expands into international markets, including the use of direct investment and the establishment of plants in regions like South America and China. It also examines the competitive dynamics Ford faces, highlighting key competitors such as Toyota, Honda, and General Motors, and discusses the strategies Ford employs to maintain its market share, including increasing global market share and decentralizing policy implementation. The organizational structure of Ford is also outlined, along with the company's approach to knowledge management, and the various innovations Ford has implemented, such as the moving assembly line and the development of digital electric vehicle technology. The report concludes by summarizing the key findings regarding Ford's international expansion, strategies, competitive environment, and innovations.

Analysis of Ford motors company

 The ford motors is the company which is carrying the
business across borders.
 The evaluation of the strategy used for foreign entry
will be made.
 The competition dynamics will be understood in
effective manner.
 The organizational structure of the company will be
discussed.
 Innovations which are taking place will be identified.
Introduction

 Ford is a multinational automobile company of
America.
 It has been founded in 1903 by Henry ford.
 The most luxurious brands are carried by the company.
 The production is carried as per the requirements of
the consumers for their satisfaction.
Company overview

 Global market development strategy is used by the company
for the expansion in foreign markets.
 Direct investment is made under this strategy to set up a
plant.
 In South America and China the plants have been
established by the company.
 There is the high cost and risk which is involved.
Foreign entry strategy

 The controlling system has been made strong to control
the total cost.
 The further expansion is proposed in Asia which will be
providing good market.
 Certain issues are faced due to the legal policies and
changing climatic conditions.
 Evaluation is made in advance to deal with barriers.
Foreign entry strategy

Competitive dynamics
• High level of competition is faced by Ford and main
competitors are Toyota, Honda, Hyundai, general motors
and Nissan.
• This is due to the common products and factors which are
involved.
• Various strategies will be adopted to deal with the arising
competition in market.

 Global market share will be increased which will help in
increasing the demand.
 Decentralization of the policy implementation has also
been undertaken.
 Centralized leadership is adopted by which decisions will
be made by top management.
 Low cost leadership approach has also been adopted.
Strategies to deal with competition

The company is to follow a proper structure to manage the operations and
that is identified as organizational structure.
Organizational structure

There are various features which are involved in the
structure of the company and they are as follows:
 Regional geographic divisions
 Corporate hierarchy
 Global functional groups
Features of organizational structure

 It is the system by which the enhancement in the
knowledge is made which is used to attain best results.
 By the help of this employees will be working with full
potential.
 They will be learning from the various experiences
which are made and will implement them in business
for better results.
Knowledge management

 Ford motors has used this technique in product
verification process.
 Product development department will also be using to
reduce the overall cost.
 Previous experiences will be used to develop the further
actions by which the effectiveness can be increased.
Knowledge management

Ford motors has made various innovations to deal with the
competition and they are as follows:
 Moving assembly line
 Development of iconic cars
 New-generation electric vehicle
 Digital technology is used
Innovation