javascript hit counter Garam Masala: Ford going back to basics

Garam Masala

Monday, April 12, 2010

Ford going back to basics

Ford Motors started its journey with 1 model.. the much famous Model T over the 100 years ago, and Henry Ford prided over the operational efficiency achieved to produce that one model. At one time Henry ford called CEO of Chrysler (Walter Chrysler) (one of the 2 competitors at that time) a fool for having so many models as he could never achieve efficiency.

Now, over the years, Ford did the exact same thing as the GM and Chrysler. They acquired any brand that was for sale and released new models every so often. And in the course Ford moved from one model to a range of models and brands.

It took a recession and an almost bankruptcy for them to realize that the smaller portfolio of cars and brands is the best way they can run the company. In turn, they now realize (again) that Henry Ford was a smart man to have just one model. :) And that is why you see them selling the JLR to Tata and Volvo to Geely. Good luck to Ford...

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