Ford Vs Chevy Case
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Ford vs Chevrolet
Ford and Chevrolet (Chevy) are in the automotive industry and have been in completion for many years start back in 1908, both companies started in the state of Michigan and have been battling it out for profits, market share and hometown bragging rights. Ford was founded in the suburb of Dearborn, Michigan and Chevy was founded in Flint, Michigan.
Ford and Chevy both are good-producing sectors, they both manufacture automobiles that are similar but different.
They each have a mission statement, Fords mission statement “One Team, One Plan, One Goal.” Fords mission statement is defined to each part of the statement, One Team meaning people working together as a lean, global enterprise. One Plan meaning aggressively restructure to operate profitably at the current demand and changing model mix, developing new products our customers want and value, finance our plan and improve our balance sheet, and work together as one team. One Goal meaning an exciting viable Ford delivering profitable growth for all. Chevys mission statement is an unofficial statement “We win when the customer says we win.” Chevy has an unofficial mission statement but uses more of Five Principles to guide its business, Safety and Quality First, create long-life customers, innovate, deliver long-term investment value and make a positive difference.
Both Ford and Chevy are oligopoly competition, being that both companies supplies a large portion of the automotive industry. Being in the oligopolistic market these two companies compete with each other on styles of cars and trucks based on factors like price, mileage, and safety factors. Consumers research these factors to find the best fit for them.
In the automotive industry, brand loyalty means more than with most retail products. As long as I can remember its a “Ford vs Chevy” world, youre on one side or the other and most often stay true to the brand. Ford has dominated in brand loyalty, bring back more consumers for their F-series trucks.
Ford F-150 and Chevy Silverado have about the same marketing strategy, they both are trying to appeal to the working class man that needs a durable truck. They both offer sales promotions when purchasing their truck. They offer incentives of rebates, 0% financing, and cash back. Ford and Chevy do a lot of advertising for all their vehicles, these advertise on television, internet, newspaper, and magazines. When it comes to the truck series they focus on how tough their trucks are for construction workers, hauling heavy items and pulling large trailers. Fords F-150 slogan is “Built Ford Tough” and Chevy Silverado slogan is “Like a Rock,” giving you the impression that they have the best truck for your needs.
The Ford trademark has changed over the years, the current logo was updated in 2003 for the 100th anniversary. The trademark for Chevy have been the same since it as introduced in 1913. Each logo is easy to spot wherever you travel.
Both Ford and Chevrolet/GM have a Board of Directors that are dedicated to serving the interests of the shareholders. Board of directors are elected by the shareholders. Ford stock closed at 15.78 on April 25, 2014 which is a 3.30% decrease. Chevy stock closed at 33.72, which also was a decrease of .45%. These stocks have ups and downs, when to two companies were in financial trouble, Chevy stocks were potentially worthless, Fords stock dropped by about .50 but still held some value.
In 2013 SWOT analysis Ford and Chevy both had some strengths and weaknesses. They both have different strengths but common weaknesses.
Ford Strengths
Ford Weaknesses
Strong position in US market
Poor environmental record
ECOnetic initiative
High cost structure
Sound financial performance
Unprofitable Europe operations
“One Ford” approach
Significant growth in China
Chevy Strengths
Chevy Weaknesses
Global presence
High cost structure
New vision and strategy
Brand dilution
Strong brand portfolio
Bureaucratic culture
Knowledge of home market
Car recalls
4 well performing brands
Socio-cultural Factors
Ford in recent months has increased their advertising to help consumers understand that Ford is an innovative and exciting company with new and pertinent vehicles that are sleek in design and capability. Ford has increased their advertising to new drivers or parents of new drivers explaining why their new models are some of the best cars available for new drivers to use.
Chevy
Todays society judges people on the type of car you drive. Society does not like to admit to this but it is very true. Manufactures know this happens and targets their markets by these thoughts. Anyone who drives a nice vehicle is thought to be wealthy. No one wants to be seen driving an unattractive piece