Ford Motor Company Essay, Research Paper

Ford Motor Company is the world’s largest producer of trucks, and the second largest producer of cars and trucks combined. Ford has manufacturing, assembly or sales affiliates in 34 countries and Ford companies employed 337,800 people world-wide in 1996.

Ford has manufacturing facilities in 22 countries on 5 continents, with 87 plants in North America and 41 in Europe. In Europe, in 1995, Ford’s combined vehicle market share, at 12.2%, was the highest for eleven years, with three of the eight best-selling cars. In 1995, in the United States, five of the ten top-selling vehicles were Ford, including the best-selling car (Ford Taurus) and best-selling truck (F-series).

On January 1, 1995, Ford merged its North American Automotive Operations and its European Automotive Operations into a single organization, Ford Automotive Operations. Instead of being organized by geographic regions, the Company is now realigned by product line, with five Vehicle Centers, each responsible for one group of products worldwide. At the same time, Ford is reducing the time taken to develop a new vehicle from 48 to 24 months and reducing engines, transmissions, and basic vehicle platforms by 30% worldwide. Ford hopes that by pooling global skills and resources will result in more variations on each vehicle platform, increasing the number of vehicles introduced over the next five years by 50%.

One of the key strategies behind the realignment has been growth. Ford has launched a variety of new initiatives throughout the world, with joint ventures for the assembly of vehicles in countries as diverse as China, India, Thailand and Vietnam. In China, Ford expects to begin production of light trucks with a company named Jiangling Motors in the near future. In India, Mahindra Ford India Ltd. will begin manufacture and distribution of Ford products, beginning with the Ford Escort, in mid-1996 and Fiesta in 1998. In Thailand, Ford has a joint venture to produce pick-up trucks and in Vietnam, Ford plans to build a vehicle assembly plant at Hanoi, together with partners Song Cong Diesel. In Poland, the Plonsk plant has begun to build Escorts and Transits.

Joint ventures are establishing a presence for Ford all over the globe. Ford is working with two companies in Korea, one to supply automotive air conditioning units and the second as a new joint venture to produce electronic components later this year. In addition to the 20% of Jiangling Motors, China, acquired by Ford in 1995, four further manufacturing joint ventures in China have been set up to produce radiators, glass, plastic and electronic components. Ford has also acquired a 45% equity in South African company, Samcor, for the assembly of Ford vehicles.

The sale of Ford vehicles in markets all over the world carries the Ford badge into more places than ever before. The European Mondeo is currently on sale in 52 countries, with sister cars, the US Ford Contour and Mercury Mystique, bringing the total up to 78. (Ford Fiesta is currently on sale in 42 world markets)

Ford Motor Company was founded in 1903 and within ten years had vehicles on sale throughout Europe, South America and Asia. The Company’s first European sales branch was opened in France in 1908 and the first regional company and assembly plant outside North America were established in Britain in 1911. Ford of Europe Incorporated was established in 1967, bringing together the various nations within Europe as one organization – an important step towards the single worldwide organization that Ford will

have become by the turn of the century.

The Ford Taurus has proven to be one of Ford?s most successful models. It has been the car of choice for those who want functional, affordable and stylish transportation. The Taurus SHO also offers performance for those who seek extra driving excitement from their sedan. The Taurus has a heritage of staying at the sales forefront by meeting the needs of family-oriented customers.

Advertisement #1

This advertisement was found in Smart Money magazine. Smart Money is “The Wall Street Journal of Personal Business”. It is targeted at individuals who seek financial security and/or financial independence. Many of the articles in this magazine are on the subject of money management (i.e., car buying/leasing tips) and investment opportunities. The average reader of this magazine pays close attention to their monetary affairs and look for good buys and quality products. Ford used this article to appeal to these readers emotional and rational buying habits.

This Ford advertisement message is “Quality Service” which is designed to appeal to the readers rational buying behaviors. Consumers not only want a quality vehicles, but need to be assured they can receive quality care and service for their car. Ford is saying once you?ve purchase a Ford vehicle, you can be assured of receiving the best service from highly trained technicians who use high-tech equipment for the modern electronics in today?s cars.

The ad also is designed to appeal to our more irrational buying behaviors. In the center of the ad is a reflection of a mother and daughter peering through the rear view mirror of a Ford vehicle. Smart Money?s primary reading audience is men and this ad attempts to strike at the male reader?s concern for their families safety. If your wife drives around in a Ford Taurus with the children in the back seat, don?t you want to be assured the car is cared for and maintained to ensure their safety? At the top of the ad is a picture of a home, with the words “Come Home” in bold letters. Ford is conveying the message that you can belong to the “Ford family” and be assured of Quality Care for any type of maintenance or repair. It?s like having a mechanic in the family!

Ford not only has the most highly trained technicians, but these technicians are equipped with “high-tech equipment” (and we know how much men love their high-tech equipment!) needed to maintain the modern electronics found in cars today. In other words, if you buy a Ford, not only can you be assured of quality service, but your also buying a car that?s technologically advanced.

In the upper-right hand corner of the ad, Ford has placed a picture of the reader on the gas pump with the words “Happy?” on the display. Ford is saying that their quality standards were developed to ensure you, as the customer, will be happy when you pick up your car after of day of being serviced by their service technicians?because you deserve it.

In the lower right hand corner, the ad is demonstrating their personalized service. You?ll be greeted by a Service Advisor. The title alone makes you feel that he or she will be someone who will be knowledgeable and assures you that your car will be in good hands. The lower left hand of the ad shows a wrench wrapped around a computer chip. Ford is effective is showing that todays cars have changed. They are built with modern electronics, and therefore, require high skilled technicians and tools to service them.

The overall layout of the ad centers around the rear view mirror. When you first look at the ad, you are drawn to the rear view mirror. It is the largest picture in the ad and it is centered on the page with the text “Look at you car in a whole new way” just below it in large bold lettering. With this layout, Ford is first appealing to the readers irrational buying habits. Ford is saying don?t just look us as a car manufacturer who provides a means of transportation for your family. Our “Quality Care Standards” provided by our service department make sure your car is safe and reliable for your family.

Advertisement #2

This advertisement was found in Car and Driver magazine. Car and Driver?s primary reading audience is male. The ad was a two page ad which was placed one page past the table of contents in the magazine and is an advertisement for Ford?s new anti-theft device. Ford is appealing to the readers rational buyer habits by directing the ad at safety and security. There is a picture of a Ford vehicle surrounded by Doberman Pinschers standing at attention. Doberman Pinschers are loyal, dependable and intelligent protectors. They serve as watch dogs and protectors of homes and are often trained by the police and military as guard dogs and war dogs. Ford?s message is that by owning a ford vehicle with their new anti-theft key, it is just like having a pack of Dobermans surrounding your car for protection. Ford is clever in their use of these dogs. The dogs are not simply sitting or lying around the car, they are all standing attentively and waiting for someone to approach.

At the top of the ad Ford has included the following text in large bold text: “A simple yet accurate demonstration of how our anit-theft key works.” The words “simple”, “accurate” and “anti-theft key” appear in a font larger than the rest of the text in order to make them stand out. Ford wants the consumer to know that their anti-theft device is not complicated. It is easy to use, but it is also very accurate. When you look at the add the phrase “simple, accurate anti-theft key” jumps out at you even though what the sentence is really saying is “here?s a demonstration of how the device works”. The reader receives two messages from the same sentence.

At the bottom of the advertisement there is additional text in a much smaller font. In the first sentence: “Finally, there?s a car protection device whose bite is worse than its bark.”, Ford is telling the consumer that their anti-theft device is effective. It?s not just a deterrent, it is true protection for your car. In the next couple of sentences, Ford mentions the “remarkable computer chip” that is at the heart of their anti-theft device. It conveys the message that Ford is a technologically advanced manufacturer who is concerned with providing the best quality products for their consumers. And finally, in the last two sentences the ad says: “Because we believe your car should always be there for you. Like a best friend.” Here Ford is saying?just like the Dobermans who represent man?s best friend, our new anti-theft device will also be there for you protecting your car.

If you stand back and look at the block of text at the bottom of the page, the words “CAR PROTECTION”, “ANTI-THEFT”, “ELECTRONIC SIGNAL”, “FORD MOTOR COMPANY”, “WORLD”, “CUSTOMERS” are in all capital letters to make them stand out. Ford wants the consumer to focus on what they feel is important. The WORLD-wide FORD MOTOR COMPANY provides their CUSTOMERS CAR PROTECTION with their new ANTI-THEFT device which uses a distinct ELECTRONIC SIGNAL.

Although this ad was not for a specific Ford car model, it portrayed Ford as a manufacturer of quality cars with luxury. The car portrayed in the ad had stylish wheels and was painted a pleasing golden metallic color. The car was then displayed on a white carpet. Also, the font used for the text appeared to be a Times New Roman which has a more elegant appearance than a block text font. The bottom right hand corner displayed Ford?s quality logo in large bold lettering: “QUALITY IS JOB 1″ to further emphasize Ford?s commitment to quality.

Advertisement #3

This advertisement was found in Cosmopolitan magazine. Cosmopolitan is primarily read by woman between the ages of 18 and 35. The two-page Ford advertisement in this issue of Cosmo was placed several pages past the table of contents and was for their Escort model. Overall, the ad was very unstructured and portrayed the Escort as a “fun” car. The car is portrayed as “fun” through the use of bright colors in the ad. Some of the text appears in red, some in blue, some in grean and finally some in black. There are many different fonts used in the add as well. Each word or phrase appears in a different color, size and font. The word “NEW” appears with a green background and white lettering and an a green arrow leads you to the word “STYLE” which appears in blue Times New Roman font. From this the consumer is given the message “new style” even though this doesn?t appear as one phrase in the ad.

This ad was designed specifically to appeal to Cosmo?s reading audience. This is demonstrated by the fact they use a young woman to represent the Escort car owner. This young woman appears wearing a graduation cap sitting on top of her Ford Escort. The new car appears to have been her graduation gift. On the left hand page of the ad, the young woman is shown again. This time, however, she appears with her hand on her face with an expression of awe or amazement as she looks at the “new AM/FM stereo with premium speakers” in the new Escort. The color, green, Ford chose for the Escort in this ad is also significant. Ford had consulted with a psychologist who bases his product color advice on the theory that certain colors and shades appeal to woman more than men. This psychologist concluded that woman prefer cooler colors shades and Ford has used the recommendations provided by this consultant.

On the top right-hand page of the ad there is a picture of the upper body of a muscular man holding himself in a handstand on top of the “T” in the word “BUILT”. This portrays the image of Escort as a well built vehicle, thereby appealing to the buyers rational buying behaviors.

On each page of the add there appears a phrase that is written in rolling letters which further portrays the image of the Escort as a young, fun car. The message in these phrases appeal to both the buyers rational and emotional buying behaviors. The first phrase reads: “It?s new and it?s smart with a story to tell.” and the second phrase reads: “It?s priced really nice and it?s built oh-so well.”. The first phrase appeals to consumers emotional buying behaviors by portraying the Escort as a stylish, fun car. The second phrase appeals to the buyers rational buying behaviors. It portrays the Escort an affordable, durable, quality vehicle.

The add continues to target the buyers rational buying by listing features of the product such as “Improved safety cell construction” and “Standard dual air bags”. Ford also hangs a price tag of $11,430 from the Escort name associating Escort with a reasonable price. Also, in the left hand lower corner of the ad, the ?Ford Credit? logo is displayed. Ford included it here because their target audience in this magazine is younger and recognize they are likely to need financial assistance in their purchase.

Advertisement #4

This advertisement for the Ford Taurus SHO was found in Smart Money magazine. This ad appeals primarily to the buyers emotional buying behaviors. The top of the add has the following text: “High-Performance Praise. Full-Throttle Accolades.” These two phrases are intended to appeal to a drivers desire for a high performance vehicle. Just below the text there is a picture of a red SHO with bright alloy wheels rounding a corner. The SHO is given the appearance of going at a very high speed because the car is somewhat blurred and the background is also blurred. Ford has targeted this advertisement at Smart Money?s male readers who may have a family, but also have a love for fast cars. Ford has used a hot, red, sporty looking Taurus SHO. Ford uses bright red sporty vehicles when targeting male consumers.

Below the picture of the SHO are quotes from various reviews that have been done on the car. Obviously, all of the reviews were positive and Ford uses them to convey the message that the SHO is not only a fast sports car, but is also reasonably priced, and a great family car too.

The first quote is from Automobile Magazine. Their quote starts out by talking about how fast the car is and how well it handles. They then go on to say: “And it sure doesn?t cost much, does it?” Through this one quote, the SHO is portrayed as a reasonably priced, fast car which is both sporty and luxurious. Road and Track go on to tout the SHO?s fast engine quoting engine specifications which are intended to appeal to the consumers rational buying behaviors as well as their emotional buying behaviors. It?s a quality engine that “makes 235 BHP with little strain”.

The Car and Driver quote concentrates on the fact that the SHO is not only a sports car, but it is also a refined luxury car at a fair price. AutoWeek, on the other hand, is appealing the consumer?s concern for safety as well as their love for speed. “Back-road passing is never a concern, and escaping the truck races on the interstate takes just a touch of the toe”. In other words, you NEED to have the power of an SHO to allow you to pass safely on the back roads and to stay away from the truck races on the highway?with just a touch of the toe.

And finally, USA Today?s quote appeals to the family man who loves a sporty, fast car, but wants a vehicle large enough to cart around the whole family.

Advertisement #5

This advertisement was found in Cooking Light magazine on the inside of the front cover. This magazine?s reading audience is primarily females and this ad is directed at them. The advertisement is for the Ford Taurus Wagon and consists of a two page picture of the wagon in a light blue color. This cool blue color was chosen to appeal to the female reader audience that Cooking Light attracts.

Through this advertisement, Ford tries to leverage the reputation of their “best selling sedan” to promote their Taurus Wagon. At the top of the advertisement Ford included the following phrase: “Everything you like about Taurus Sedan. And then some.” In other words, the Wagon has all the features you loved about our best selling sedan, but it offers more room for your whole family and all the things they can?t leave home without. The photo of the Taurus wagon is taken from behind, but at an angle. This allows the consumer to see that it is in fact a station wagon, but it shares many of the same lines and features of the Taurus Sedan.

At the bottom of the advertisement, Ford includes a couple of paragraphs of text. The message Ford is conveying appeals to the readers rational buying behaviors by pointing out the Wagon?s safety and security features. Most of the buyers of these vehicles are families and Ford recognizes their concern for the safety of themselves and their children. They have intentionally capitalized the phrase “A SENSE OF SECURITY” and “FORD ROADSIZE ASSISTANCE”. As a Ford car owner, you can feel safe with its dual air bags, anti-lock brakes and remote keyless entry. Also, if you happen to be on the road and run into car trouble, Ford?s roadside assistance is simply a phone call away. Also embedded in the text of the ad, Ford mentions the Wagon?s handling abilities, sleek lines and curved angles?just like the Ford Taurus. By comparing the handling and looks of this car, Ford is appealing to the consumer?s love for a car that?s not only appealing to look at, but also fun to drive.

Conclusion

The underlying theme or message carried throughout all of Ford?s ad has been Quality and Safety. Ford, as a company, has devoted a significant amount of time and money in improving quality within their operations as well as their products. They recognized the foreign car makers were perceived to be much more technologically advanced and had achieved a level of quality that American car makers had not. Ford also realized they were unable to keep up with the quickly changing technologies and unable to meet the demand for new and innovative car designs. By focusing on Quality, Ford is now able to react more quickly to consumer demands because they can produce their product more efficiently without sacrificing product standards.

Ford is very effective at targeting their advertisements for their viewing audience. When developing advertisements for the Ford Probe, Ford consulted with a psychologist who bases product color advice on the theory that certain colors and shades appeal to woman more than men. Based on the recommendations offered by the psychologist, Ford ran advertisements with hot red colored cars for men and cooler colored cars for woman.

Through their advertisements, Ford is announcing that they have achieved a high level of quality and their products are technologically advanced. They are running advertisements which don?t necessary focus on a specific make or model of a Ford vehicle. They are running ads which tout their quality service and high-tech anti-theft devices. Many of the advertisements which are run by Ford are focused on promoting Ford as a company. When they do run ads to promote a specific model, they still carry through each and every ad the common thread of “Quality is Job 1″.