Looing Back at Ford

Ford Motors is a publicly traded company and one of the largest automobile manufacturers in the world. However, the company has experienced some recent turmoil due to the overall state of the economy and automobile industry. The board of directors and management have had some recent changes and need some time for some adjustment.

The stock price closed on the first day of class, May 27th: $5.40
The stock price closed on the last day of class, June 26th: $5.53

This price is up from a low in March of 1.70.

I would be hesitant to work for Ford Motors right now just because the overall state of the automobile industry. I predict that Ford will either eventually crumble over the next two years or become the leading market share leader in North America if they survive.

I would not recommend investing in Ford Motors. Even though the stock is still at one of their all time lowest prices, their are too many other markets (New Asia) that offer safer and faster growth investment opportunites.

Three lessons learned from Ford Motors that could be used for future strategic management decisions are:

1- Not seeking goverment bailouts (when everyone else is) can increase investor confidence

2-Liquidity = survival in volatile economic times. Ford has been able to survive by cutting costs and increasing liquidity.

3-Innovation is your company's "life blood". Innovation can quickly seperate you from the competition in touch economic times.