Ford Shows Resilience under Pressure

by Christopher Green, Daniel Morgan, and Bikash Pandey
Finance
Faculty advisor: Dr. Lei Wen

This research focuses on a complete business analysis for Ford Motor Company, the only U.S. automobile manufacturer to refuse the government bail-out money.  We use the fundamental and financial statements analysis to examine why Ford Motor Company was in trouble in the middle of 2000s. The key parts, such as macroeconomic and political environment in the U.S. automobile market, firm’s products and services, global strategies, corporate governance and financial ratios are analyzed. We use Ford’s accounting and financial information from 2006-2008 (and some of the information from 2009), to compare with those from other competitors. In addition to it, this research also reviews how Ford did turn around its business step-by-step and continue to strive for growth in current difficult economic times.  The paper also provides some possible recommendations to help Ford continue to expand its customer base and improve its operating performance in the long run.