English 235, Winter 2020: Ford vs. Chevrolet Recommendation Report

This recommendation report, prepared for English 235 in Winter 2020, presents a comparative analysis of Ford and Chevrolet private cars. The report begins with an introduction to the U.S. car market, highlighting its size and the increasing number of private car owners. The central research question is which brand, Ford or Chevrolet, offers a better value. The report employs secondary market research, analyzing market reports, journals, and scholarly papers. Findings reveal that Chevrolet, part of General Motors, holds a stronger position in the stock market and offers a wider range of options. The report examines stock performance, pricing strategies, market diversity, recent performance, and brand management. Chevrolet demonstrates better stock performance and a greater market diversity, especially in emerging economies, while Ford's brand management strategy focuses on a smaller number of brands. The report concludes with a recommendation based on the comparative data, offering insights into the market positions and strengths of both companies.

Running head: RECOMMENDATION REPORT
Transmittal Letter:
To: Me
From: Elvis Kibuchi
Dear Professor,
In the following a detailed analysis and a comparative report is been presented upon the market
demand for private cars. The comparison has been done upon the Ford and Chevrolet.
Private cars are the most important ones for the purposes of domestic usage. Considering the
current social situation every other person of the country owns a car, and it has become our
social status. Therefore, in the present report I have tried to provide a brief idea of the market
demand by comparing between ford and Chevrolet and therefore, have tried to evaluate and
recommend, which one will be a wise buy. I have followed the learning outcomes that had been
provided to us in the class. I have included certain grounds or factors upon which the buying
decision will be analyzed. Similar factors have been documented and data have been gathered
upon the same, in order to evaluate between the products of the two companies. Therefore, the
present letter will include a comparative analysis between Ford and Chevrolet and which will be
the better buy will be evaluated.
I hope that you find this report helpful.
Sincerely,
Elvis Kibuchi

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Audience Analysis:
The audience of the report will include my instructor and all my fellow classmates. The
assignment is been given to all of us, and each of us had to choose different comparative
analysis, and thus gaining an understanding of the market. Therefore, I have chosen a
comparison between the private cars of Ford and Chevrolet. After talking to my classmates I
have understood that it is a general concern among all of them, which is which car is to be
chosen for a private transportation, and since we are student therefore, none of us is aiming for
luxury cars. Therefore, I wish to present a comparative analysis between the private cars of Ford
and Chevrolet.

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Recommendation Report on the
Purchase of verse Ford and Chevrolet
Name of the Student:
English 235, Winter 2020
Instructor: Kevin LeMoine
March 13, 2020

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Table of Contents
Introduction and Background:.........................................................................................................4
Research Question:......................................................................................................................4
Proposed Solution:.......................................................................................................................5
Solution to the Needs:......................................................................................................................5
Research Method:............................................................................................................................5
Findings:..........................................................................................................................................5
Stock Performance:......................................................................................................................6
Pricing Strategy:..........................................................................................................................7
Market Diversity:.........................................................................................................................8
Recent Performances:..................................................................................................................9
Brand Management:...................................................................................................................10
Recommendations and Conclusions:.............................................................................................13
Appendix:......................................................................................................................................14
References:....................................................................................................................................17

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Introduction and Background:
The United States is the largest private car making company, positing itself right after
china. According to a study, there is approximately 270 million private cars in the country. The
researchers are of the opinion that the number of private cars is been rising since 1960s, and with
increasing population the number of cars is also increasing (Firnkorn, and Martin). According to
the data shared by the United States Department of Transportation's Federal Highway
Administration and the data shared by National Automobile Dealers Association, it is observed
that approximately 73% of the population of the country possess private cars, and this number is
one the rise since 1970s.
Studies have also shown that the pricing of the cars have been decreasing vigorously over
the time. In a report, it was shown that the average sticker price of a domestic or private car is
$29,746 (Paltsev et al.). However, the country gives considerable discounts on the prices of the
car. The car companies consider up to 21% discount on the private or the domestic cars upon the
printed or the stickered prices. Even on the imported cars, Japan or Korea, the country considers
considerable discounts, for up to 13% (Paltsev et al.). More importantly, the researchers have
shown that while, some of the car companies had been introducing the cars at a higher prices, the
markets demands and the competition existing in the market has been pushing down the prices of
the products or the cars to a certain extent.
Therefore, in the following report the market demand for the private cars produced by Ford and
Chevrolet will be compared.
Research Question:
Which of the brands, Ford or Chevrolet, will be a better buy for my audience and why?
Proposed Solution:
Chevrolet has a better market position, and the demand of private cars in the UD market
is tilted towards Chevrolet cars.
Solution to the Needs:
The aim of the research is to develop a background information of the criteria of the
report. The research will include a detailed understanding of the research methods that have been
used and therefore, it will provide a comparative understanding of the private vehicles produced
by the two considered organizations. It is tried to make the assignment completely based on a
comparative analysis between the private cars made by Ford and Chevrolet. The report will also
include certain graphs and charts and statistical analysis which will help the students to gain a
complete understanding of the market demand for the cars. It is hopeful that the audience will get
a complete idea of which of the products or which of the companies must be chosen for private
cars.
Research Method:
The considered research essentially includes secondary market research. The proposed
report or discussion, has included a text analysis and all the data that have been mentioned in the
following report, includes a market insight. The data of the report is taken from the market report
analysis of Ford and Chevrolet, and General Motors. At the same time, the data is included from

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the journals and scholarly papers. This has, both, validated the data that have been used and has
contributed in the richness of the report.
Findings:
Both Ford and Chevrolet which is owned by General Motors are the most popular two
companies and are included in the big three car making companies of United States. According
to the researchers, both the organizations have a huge market demand and are two of the largest
automobile brands of the country.
Both the organizations have kept a similar pricing strategy which is extremely attractive.
Therefore, in the following the comparison between the products of the two companies will be
done including certain factors.
Stock Performance:
According to the stock market Chevrolet shares a better position than Ford. According to
the recent stock report, Chevrolet has been up till 17% in the stock market, while ford has
become down trill 14.4% in the share market. Therefore, it clearly shows that Chevrolet from
General Motors has a higher market demand than Ford. However, irrespective of having a better
position in the stock market, in aces of share prices, Ford is slightly more pricy than Chevrolet.
On the other hand, the prices of Chevrolet is way lesser than Ford (Fettermann, and Fabio).
Therefore, considering the prices of the products and the position in the stock market it will be
beneficial to get a private car for domestic purposes from Chevrolet.
Pricing Strategy:
Now, considering the diversity aspects or considering the car models, gain it can be said
that Chevrolet provides more numbers of options. Chevrolet offers more numbers of shape and
style options than Ford. According to the marketers, Ford has certain classic cars, there are no
modifications in the structures or in the colors and the shapes and modelling are classic, but not
modern (Pacey). More importantly, the company has stopped producing modified car versions,
or modified private cars for the domestic use, rather they are focusing more on the muscle cars.

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Market Diversity:
Another important aspect is the market diversity. The global market of the car making
company is extremely competitive. With the rise of the globalization it has become quote easier
to expand and extend the business. Now considering the market diversity for these products of
the two organizations it is observed that Chevrolet has a greater market diversity than Ford. More
importantly, the company is aiming towards the emerging economies rather than the stable
markets (Frederick). As they believe that the key of success is to gain positions in the emerging
economies, and hence Chevrolet has a greater market diversity than Ford, and it has aimed to
China, India, Brazil, and the like, places where the population is considerable higher.
Recent Performances:
Chevrolet has a greater market share as it is a part of the General Motors, which also has
a greater market share. The former has a greater market share of $150 billion, which is 1.5%
higher than the previous year, while on the other hand, the recent total revenue drawn by Ford is
$160 billion, which is an increase of 2.3% than the previous year. Birth of the organizations have
achieved great success in the past year, with significant growth in the revenue, and both the
organization is observing a steady and continuous growth in the revenue. However considering
the revenue structure of Ford it can be stated that the organization has failed to achieve or
observe or return to its previous position, considering the total revenue generation (Heejung,
Rebecca, and Michael). While on the other hand, the revenue of Chevrolet has been increased
since its former positions.
Both the organization had been observed with insolvency and crisis situation in the past
but while Chevrolet had been able to steer out of the position, Ford is yet to observe successful
results. Chevrolet is making strategic investments to observe more and rapid growth, however,
considering the position of the Ford it can be said that the organization is yet to consider strategic

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management or does not possess a strategic management system which can better its position on
the market (Omer, and Omer). In this notion it is important to mention, that both the organization
share a critical position in profit generation though the vehicle financing.
Brand Management:
The prime difference between the two companies lie in their brand strategy. Both the
company is in the business for a long time, however while ford is an organization itself,
Chevrolet is a part of the market giant General Motors. Therefore, the market diversity or the
brand management or the product lining for the General Motors automatically influences the
market position of Chevrolet.
The brand strategy of Ford is its One Ford plan. The organization does not believe in
developing more brand identities. The organization beliefs that the creating diversified brand
identities will increase conflicting situations. Small number of brands help in consolidating the
identity of the brand (Venkatesan, and Jenny). The organization has two significant brands,
Lincoln and Ford, and all the previous brands that the organization had included previously, are
Aston Martin, Jaguar, Land Rover, Volvo, Mazda, and Mercury, and all have been sold at one
point time or the other.
On the other hand, since Chevrolet is itself a brand product of General Motors, therefore, the
comparison here should be made with General Motors, and it is observed that the organization
believes in increased brand identity. The organization believes that different brands will help in
serving different market needs and different market set ups. Since the organization has a huge
global presence therefore, the organization is exposed to more numbers of market needs ad more
numbers of market set ups, and hence it believes that diversity in the brand image and in the
product lining will help the organization to thrive and succeed (Farris, Eric and Jordan).
Lastly to include and understand about the specs the following picture will provide a
complete and detailed understanding.

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At the same time the following chart will help in gaining a better idea of the entire market
scenario and will help in understating the demand of the market.
Recommendations and Conclusions:
The above discussion and comparison between the two organizations develop a complete
understanding of the market position of the companies. Comparing the data that have been
collected and have been gathered it is observed, that the stock performance of Chevrolet is
comparatively better than Ford. Though the later has higher revenue generation than the former,
however, compared to its previous market positions and compared to the investment it makes for
each and every one of its car it can be said that in the Chevrolet is at a better position.

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Secondly, Chevy has a higher market diversity and an effective pricing strategy, both of
which is lacking in Ford. Ford lacks a market diversity and hence it is less appealing fie the new
generation and for the same features and perks Chevrolet costs less than Ford. The picture of the
pricing breakdown provides a clear idea of the same.
Thirdly, considering the recent performances of both the organizations, it can be stated
that Chevrolet has a better market performance than Ford. Figure 1 and figure 2 and 3 in the
appendix will provide a complete understanding of the recent performances of the two
organizations. The figures and the statistics clearly shows that Chevy enjoys and holds a better
position at the market.
Lastly, considering the aspect of brand management, it can be clearly observed that
Chevrolet is better at the management of the brand than Ford. While Ford focuses more on the
requirements of the employees, Chevy focuses more on the needs of the customers. At the same
time, Chevy has a number of products catering to the needs of the customers and being a apart if
the General motors, it is observed that all these diversified product items are well managed and
marketed.
Therefore, the above discussion suggests that since Chevrolet has a better market
position, therefore, it will be wise to go for private cars of Chevrolet. The car has diverse product
line, a cheap price, a better position in the stock market. Now, since my audience is looking for
an effective car at a cheaper rate, therefore, Chevrolet will be a better option than Ford.

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Appendix:
Fig: 1
Ford- Performance Analysis
Fig: 2
Chevrolet Performance Analysis

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Fig: 3
Chevrolet Performance Analysis
References:
Farris, Paul, Eric Kang, and Jordan Mitchell. "Product-Line Strategy at Porsche: The Effect of
New Models on the Porsche Brand and the 911."
Fettermann, Diego C., and Fabio C. Freitas. "Automobile variety in emerging countries: A
comparative study between Brazil and USA." Engineering Journal 21.4 (2017): 325-338.