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#4738755 - 04/25/18 06:41 PM Ford Eliminating Car Models
RazorsEdge Offline


Registered: 05/28/14
Posts: 462
Loc: USA
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#4738765 - 04/25/18 06:49 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
zfasts03 Offline


Registered: 07/21/08
Posts: 262
Loc: Bucks, PA
DUMB MOVE! Once gas prices go back up and people are tired of paying big $$$ for gas with their clumsy SUV and pickups, people will be ready to go back to a car. AND FORD WILL NOT BE IN POSITION TO SELL ANY!
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#4738772 - 04/25/18 06:59 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
FermeLaPorte Offline


Registered: 07/25/17
Posts: 534
Loc: Texas (south)
I don't buy Fords, but they could at least keep the Fusion/Mondeo.
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#4738773 - 04/25/18 06:59 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
Leo99 Offline


Registered: 03/30/14
Posts: 3158
Loc: NJ
I can't believe they'd only sell 2 cars and the rest all SUVs/Trucks. Time will tell if they follow through with this.
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#4738774 - 04/25/18 07:00 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
PimTac Offline


Registered: 03/04/17
Posts: 4950
Loc: Soviet State of Washington
If I didnít know any better, this sounds like an act of desperation from a company that is in deep trouble.

I hope Iím wrong.
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#4738776 - 04/25/18 07:01 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
zfasts03 Offline


Registered: 07/21/08
Posts: 262
Loc: Bucks, PA
When I was in high school 30 years ago, all my friends who had cars wanted trucks and all my friends who had trucks wanted cars. The market switches as the fence always looks greener on the other side. Right now the market is SUV and pickup heavy, but it will change back. Especially when gas hits $4+ a gallon.
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#4738777 - 04/25/18 07:01 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
Imp4 Offline


Registered: 04/06/18
Posts: 337
Loc: Somewhere in time
Originally Posted By: zfasts03
DUMB MOVE! Once gas prices go back up and people are tired of paying big $$$ for gas with their clumsy SUV and pickups, people will be ready to go back to a car.

Um.....No.

What you are failing to acknowledge is that oil prices aren't going to go back to $100/bbl.

The fundamental change in the oil & gas industry is that fracking is now profitable in the mid $55/bbl and producer costs are coming down every day.

When producers can be profitable at low production costs, supply will flood the market and prices will fall.

There is so much supply that the US is now an O&G exporter.

Also acknowledge that WTI is currently at $68/bbl. I would be pleasantly surprised if prices trend appreciably higher over the next 12 months. (O&G worker here)
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#4738781 - 04/25/18 07:05 PM Re: Ford Eliminating Car Models [Re: Imp4]
NewEnglander Offline


Registered: 01/14/15
Posts: 80
Loc: Boston, MA
Originally Posted By: Imp4
Originally Posted By: zfasts03
DUMB MOVE! Once gas prices go back up and people are tired of paying big $$$ for gas with their clumsy SUV and pickups, people will be ready to go back to a car.

Um.....No.

What you are failing to acknowledge is that oil prices aren't going to go back to $100/bbl.

The fundamental change in the oil & gas industry is that fracking is now profitable in the mid $55/bbl and producer costs are coming down every day.

When producers can be profitable at low production costs, supply will flood the market and prices will fall.

There is so much supply that the US is now an O&G exporter.

Also acknowledge that WTI is currently at $68/bbl. I would be pleasantly surprised if prices trend appreciably higher over the next 12 months. (O&G worker here)

You're not wrong, but this is not the only factor shaping energy prices, and that can change in the blink of an eye.

If they were eliminating the subcompact entirely around the world I'd say bad move, but they can always revamp it for the US market again. It's gutsy and not sure I would recommend it, but time will tell.
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#4738782 - 04/25/18 07:06 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
Imp4 Offline


Registered: 04/06/18
Posts: 337
Loc: Somewhere in time
Originally Posted By: PimTac
this sounds like an act of desperation from a company that is in deep trouble

Or a company taking a calculated risk that their low volume, unprofitable models aren't worth losing more money on. Especially when the outlook is for additional declining sales within the market segment.
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#4738784 - 04/25/18 07:07 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
itguy08 Offline


Registered: 09/15/11
Posts: 3292
Loc: Somewhere
I don't like it but it kind of makes sense. The new CUV's are basically cars, get car-like MPG, and are what people want today. Americans have always liked "big" stuff, be it houses, cars, open space, etc. So now that they can get 25-30+ MPG in the CUV many are going that way vs cars.

Hopefully the new platforms are easily switchable if cars come back in style.

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#4738785 - 04/25/18 07:07 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
Panzerman Offline


Registered: 12/16/06
Posts: 4217
Loc: Port Orange, Florida
OMG. How could we have a Glut of Oil?
What about Peak oil? What about running out of oil?
Always a farce. Oil is infinite and that was the best kept secret and lie of the twenith Century.
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#4738786 - 04/25/18 07:07 PM Re: Ford Eliminating Car Models [Re: Imp4]
SirTanon Offline


Registered: 06/23/14
Posts: 2346
Loc: Phoenix, Arizona - USA
Originally Posted By: Imp4
Originally Posted By: zfasts03
DUMB MOVE! Once gas prices go back up and people are tired of paying big $$$ for gas with their clumsy SUV and pickups, people will be ready to go back to a car.

Um.....No.

What you are failing to acknowledge is that oil prices aren't going to go back to $100/bbl.

The fundamental change in the oil & gas industry is that fracking is now profitable in the mid $55/bbl and producer costs are coming down every day.

When producers can be profitable at low production costs, supply will flood the market and prices will fall.

There is so much supply that the US is now an O&G exporter.

Also acknowledge that WTI is currently at $68/bbl. I would be pleasantly surprised if prices trend appreciably higher over the next 12 months. (O&G worker here)


I'm sure you'll still be willing to back that statement up in another year, after prices have exceeded $100/bbl.. right?

Article 1

Article 2


... having said that, I also agree that Ford is making a monumentally bad decision axing these three sedans. If they do, then they will be 100% losing my business in the future.
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#4738793 - 04/25/18 07:14 PM Ford will only sell Mustang, Focus Active in N.A.
wemay Offline


Registered: 04/04/12
Posts: 9155
Loc: Miami Florida
https://techcrunch.com/2018/04/25/ford-t...d-focus-active/

Quote:
Ford sees 90 percent of its North America portfolio in trucks, utilities and commercial vehicles. Citing a reduction in consumer demand and product profitability, Ford is in turn not investing in the next generation of sedans.
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#4738794 - 04/25/18 07:14 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
MrHorspwer Offline


Registered: 12/18/06
Posts: 1435
Loc: Michigan
From a NY Times article yesterday:

Quote:
They said a key goal would be lifting North Americaís profit margin to near 10 percent by 2019 or 2020. Last year, Ford North Americaís margin was 8 percent, well short of the 10.7 percent that General Motors achieved.


That really tells a big chunk of the story. GM was able to claw it's way back to >10% margins by doing business better. Ford is attempting to do it, in large part, by cutting it's low (or negative) margin products.

GM still sells the Spark, Sonic, Cruze, and Malibu in the States. They didn't need to dump all their car lines to get back to double digit margins.

Fundamentally, whatever GM (and Toyota and Honda) is doing, they're doing it better than Ford. This "fix" doesn't solve that fundamental issue for Ford.

https://www.nytimes.com/2018/04/24/business/ford-hackett.html

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#4738795 - 04/25/18 07:15 PM Re: Ford Eliminating Car Models [Re: RazorsEdge]
Vern_in_IL Offline


Registered: 06/25/14
Posts: 1955
Loc: IL
I agree with Ford.

When I think of a Ford car, I think of a [censored] Escort from years past....

There is nothing special about a "Ford" car, Lincoln has the cars I want, so buy a Lincoln, and save that Ford badge for the Trucks and towing vehicles.

Honda and Toyota have the sedans cornered. The Mustang is like way overproduced....


Edited by Vern_in_IL (04/25/18 07:17 PM)
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