‘Mustang Means Freedom’: Why Ford Is Saving an American Icon

[351cid]

Ford has lost me as a customer. In my circle of friends, no one likes the current direction of the company. I sold my stock. Two of my friends have sold theirs as well. I firmly believe that in 10 years Ford will be a has been in the industry. Hackett is focused on short term financial gains, but not long term health of the company. Right now Ford is hurting in the quality department. I think I would just as well buy a Charger as anything else Ford sells. The gamble on quality is the same or favors the Fiat by some.

[fuzzymoomoo]

Ford has lost me as a customer. In my circle of friends, no one likes the current direction of the company. I sold my stock. Two of my friends have sold theirs as well. I firmly believe that in 10 years Ford will be a has been in the industry. Hackett is focused on short term financial gains, but not long term health of the company. Right now Ford is hurting in the quality department. I think I would just as well buy a Charger as anything else Ford sells. The gamble on quality is the same or favors the Fiat by some.

Not many blue collar employees that I know like it either.

[akirby]

Actually Hackett’s vision is long term and the short term cuts are simply allowing more investment to get to the future state sooner. They’re not cutting costs just to boost profits like Fields was doing.

 

Ford is betting on electrification and more utility growth and autonomous cars and a platform for commercial use. It’s a gamble that may or may not pay off. If it does they’ll be ahead of the competition with the best margins in the business. If not they should still be ok until they can readjust. It’s not life or death. Don’t forget the new Focus is ready to go if needed and Fusion is still here another 2-3 years at least.

[danglin]

Right now Ford is hurting in the quality department. I think I would just as well buy a Charger as anything else Ford sells. The gamble on quality is the same or favors the Fiat by some.

 

Exactly what Data do you have that supports this?

[351cid]

Actually Hacketts vision is long term and the short term cuts are simply allowing more investment to get to the future state sooner. Theyre not cutting costs just to boost profits like Fields was doing.

 

Ford is betting on electrification and more utility growth and autonomous cars and a platform for commercial use. Its a gamble that may or may not pay off. If it does theyll be ahead of the competition with the best margins in the business. If not they should still be ok until they can readjust. Its not life or death. Dont forget the new Focus is ready to go if needed and Fusion is still here another 2-3 years at least.

I've not talked to anyone that's excited about a Chinese Focus.

 

I agree that I'm bitter. I've had a 52 year love affair with the Blue Oval. I may get past it, but my history suggests not. I'm not taking this Hackett & crew basically saying "I no longer want your business".

[351cid]

 

Exactly what Data do you have that supports this?

Steering wheels falling off, fuel tank recalls, door latch recall, seatbelt recall. These are just on our Fusion. I didn't mention airbag because that's industry wide. Our Fusion isn't near the quality the Five Hundred was, or the Taurus before it that we had.

[jpd80]

My question is where the Board is in all of this. Historically, the Board has wielded significant power at Ford as the family wants input into the long term success of their fortune.

It's great that Bill thinks Hackett is "da bomb" but where is the rest of the Board and family in keeping this sinking ship afloat?

Remembering that the board went along with Nasser’s plans, then Bill Ford, then Alan Mulally, then Mark aFiels and now Jim Hackett.

They only lose faith if the company is imperiled or seen as drifting away from objectives or established KPIs.

Edited May 28, 2018 by jpd80

[twintornados]

I've not talked to anyone that's excited about a Chinese Focus.

 

I agree that I'm bitter. I've had a 52 year love affair with the Blue Oval. I may get past it, but my history suggests not. I'm not taking this Hackett & crew basically saying "I no longer want your business".

.

To the "average" consumer, they don't give a shit where it is made (Buick Envision is a prime example) and the enthusiast will be buying the RS or ST which is NOT made in China...where it is made is not as important as the market it serves. Let me preface that with, I would RATHER it be made in the USA for the sake of the workers that depend on Ford for a job, however, I don't get to make that choice. I won't be buying a Focus since it isn't what I am shopping for no matter if it was made in Michigan, Chongqing, or Valencia...

Edited May 28, 2018 by twintornados

[akirby]

I didn’t mean they would import Focus from China. I meant that if the market shifted back to cars they could shift NA production back to Focus. They’ll have at least 3 C2 capable plants in NA, maybe 4 depending on what happens with Edge. They could import them in the meantime.

 

The point was the vehicle itself is redesigned on C2 and ready if needed.

[tbone]

I didnt mean they would import Focus from China. I meant that if the market shifted back to cars they could shift NA production back to Focus. Theyll have at least 3 C2 capable plants in NA, maybe 4 depending on what happens with Edge. They could import them in the meantime.

 

The point was the vehicle itself is redesigned on C2 and ready if needed.

I think this is what makes this decision fairly low risk. They have 2 to 3 years to evaluate whether to add the Fusion back if the Sedan market were suddenly become more viable again. This doesnt mean I like the idea of dropping it, but there is flexibility.

[2b2]

Remembering that the board went along with Nasser’s plans, then Bill Ford, then Alan Mulally, then Mark aFiels and now Jim Hackett.

They only lose faith if the company is imperiled or seen as drifting a at from objectives or established KPIs.

I wonder

-- WHAT the Board members actually do?

-- How much they PAY for the privilege?

yeah right

[jpd80]

I think this is what makes this decision fairly low risk. They have 2 to 3 years to evaluate whether to add the Fusion back if the Sedan market were suddenly become more viable again. This doesnt mean I like the idea of dropping it, but there is flexibility.

Look at what's happening or not for the rest of this year, Focus production has ended and now

Ford works down roughly 60,000 vehicles built to inventory so things continue much as before.

Next year we see Ranger emerge in the USA, Focus is replaced by Focus Active, new Escape

is also there and joined by new RWD Explorer as Taurus bows out. Fusion continues on but at

much lower sales levels.

 

I know that there wil be more product changes but for me, those are the main ones and will

probably mask the the resuction in car sales in 2019 and 2020. that's without considering

any planned product changes at Ford two Mexican production plants. It's business as usual.

Edited May 28, 2018 by jpd80

[itguy09]

Other Ford passenger cars for the most part don't have a good reputation in the U.S. The people who buy those Ford cars only buy for the deal, because the cars themselves are mediocre at best. Smart move for Ford to get away from that kind of money losing business.

 

How so?

The Fusion, while looking a little old still had great handling and good powertrain combinations. About the only negative was that the Ecoboosts are thirsty.

The Focus, as long as you got a 5 or 6 speed was a fun car to drive.

The Taurus, while ancient is at least reliable. I've got a 2010 that has been drop dead reliable and had they kept up with it, I'd not hesitate to buy another. It was easily as good as the Honda or Toyota of 2010.

 

The Mustang along with the F-series is Ford. They would be dumb to discontinue it.

Edited May 29, 2018 by itguy09

[grbeck]

.

To the "average" consumer, they don't give a shit where it is made (Buick Envision is a prime example) and the enthusiast will be buying the RS or ST which is NOT made in China...where it is made is not as important as the market it serves. Let me preface that with, I would RATHER it be made in the USA for the sake of the workers that depend on Ford for a job, however, I don't get to make that choice. I won't be buying a Focus since it isn't what I am shopping for no matter if it was made in Michigan, Chongqing, or Valencia...

 

I thought that the U.S. won't be getting the next-generation Focus RS or ST. For now, the only Focus we are getting is the Active version, which will be made in China.

[rperez817]

How so?

 

Excluding ST, RS, Sport, and Hybrid/Energi versions (maybe SHO also), Ford's passenger cars in the U.S. that aren't named Mustang lack product appeal. They haven't seen major updates for many years and look old, feel old. Ford has been resorting to huge incentives and lots of fleet sales on them. No surprise Ford executives said recently these cars are money losers.

 

The dilemma for Ford now is this. Should it spend the enormous amount of money needed to make its passenger cars competitive? So they can be marketed on product merit rather than on the deal? Or should Ford invest in segments where it is competitive like pickup trucks and pony cars and in things like autonomous cars that represent the future of the industry? I think Ford made the right decision choosing the latter.

 

No way Ford will discontinue Mustang any time in the next decade or even longer. It gets respect not only in the USA, Canada, and Mexico but around the world. And Morgan Stanley estimates that Mustang is modestly profitable for Ford too.

[Fordowner]

Considering Ford continued through with the Mustang through the Oil Crisis while Chrysler and Camaro ditched their competing products, not sticking with it would really be a kick in the gut.

[MKX1960]

Considering Ford continued through with the Mustang through the Oil Crisis while Chrysler and Camaro ditched their competing products, not sticking with it would really be a kick in the gut.

Getting rid of the Mustang would drive away most under 25 male customers. That's what they want and when the wife comes along and says we need an Escape now, that business is gone as well.

[silvrsvt]

Getting rid of the Mustang would drive away most under 25 male customers. That's what they want and when the wife comes along and says we need an Escape now, that business is gone as well.

 

 

Actually the average age of a Mustang buyer is 49 years old. Not many kids can afford a Mustang's insurance before 25-I was paying alot for my 1998 Mustang GT at the time-and I got quotes of $7K a year for insurance with a perfect record.

 

Insurance rates on Mustangs have gone down-when I got my 2006 Mustang GT-it was actually cheaper to insure then my 2002 SVT Focus and I was 30 at time.

[Fordowner]

 

 

Actually the average age of a Mustang buyer is 49 years old. Not many kids can afford a Mustang's insurance before 25-I was paying alot for my 1998 Mustang GT at the time-and I got quotes of $7K a year for insurance with a perfect record.

 

 

 

I wonder what the used Mustang sales look like - I still remember talking my Dad into buying a Mustang instead of a Maverick years before I turned 16 knowing that one day I would get use of the Car.

Edited May 29, 2018 by Fordowner

[akirby]

 

 

Actually the average age of a Mustang buyer is 49 years old. Not many kids can afford a Mustang's insurance before 25-I was paying alot for my 1998 Mustang GT at the time-and I got quotes of $7K a year for insurance with a perfect record.

 

Insurance rates on Mustangs have gone down-when I got my 2006 Mustang GT-it was actually cheaper to insure then my 2002 SVT Focus and I was 30 at time.

 

Around here the only under 25 new mustangs I see are driven by girls, probably a present from mommy and daddy. Guys under 25 seem to be driving older/used mustangs.

 

Today's 18-25 yr olds just aren't as interested in owning cars as in the past. I saw an article from 2013 that said car ownership in that age range had dropped from 92% back in the 90s to around 75%. I'm sure it's even less today.

[snooter]

If they dump the stang there will never be another ford product in my garage..if hatchett could rid ford of the stang i think he would...

[jpd80]

Excluding ST, RS, Sport, and Hybrid/Energi versions (maybe SHO also), Ford's passenger cars in the U.S. that aren't named Mustang lack product appeal. They haven't seen major updates for many years and look old, feel old. Ford has been resorting to huge incentives and lots of fleet sales on them. No surprise Ford executives said recently these cars are money losers.

 

The dilemma for Ford now is this. Should it spend the enormous amount of money needed to make its passenger cars competitive? So they can be marketed on product merit rather than on the deal? Or should Ford invest in segments where it is competitive like pickup trucks and pony cars and in things like autonomous cars that represent the future of the industry? I think Ford made the right decision choosing the latter.

 

No way Ford will discontinue Mustang any time in the next decade or even longer. It gets respect not only in the USA, Canada, and Mexico but around the world. And Morgan Stanley estimates that Mustang is modestly profitable for Ford too.

Fair comment sir,

The other side of the refresh argument is GMs renewal of Cruze and Malibu which saw an increase before declining in similar fashion as Focus and Fusion. Ford is probably making the right calls but its a very sobering reality for a lot of Carolyn buyers who still havent switched to Crossovers and aSUVs.

Edited May 29, 2018 by jpd80

[akirby]

If they dump the stang there will never be another ford product in my garage..if hatchett could rid ford of the stang i think he would...

 

So do you actually plan to buy a mustang at some point? If not why do you care?

 

That's like saying I'm not going to buy hamburgers at Five Guys any more if they stop selling hot dogs.

[fordmantpw]

 

So do you actually plan to buy a mustang at some point? If not why do you care?

 

That's like saying I'm not going to buy hamburgers at Five Guys any more if they stop selling hot dogs.

 

Great, now I'm hungry for a Five Guys burger. Thanks.

[akirby]

 

Great, now I'm hungry for a Five Guys burger. Thanks.

 

Don't forget the little fries with the cajun seasoning.