May 17, 2012
Ford executives receive admiration from share holders 1
All 63 shareholders and directors held the meeting for a record time of 45 minutes. Following record debts and near bankruptcy towards the global car crisis in 2008, Ford has since made consecutive profits since. Last year’s total hit $8.8 billion which is the company’s best result since 1998. The mood was so positive that there were no complaints that 29 per cent of stock had fallen since May 10th 2011.
Recovery over, time to move forward
The CEO of Ford, Alan Mulally said that the company are no longer turning a new leaf but moving ahead. He also warned that the company’s market share was unlikely to increase this year following the strength of the overall market getting stronger.
Europe a stumbling block
Europe is one region that appears to be dragging the company down at present. Along with all other mass car producers such as Fiat, Peugeot and Vauxhall are all making losses. Demand for cars in the European region is not hitting production capacity figures.
Looking beyond small cars
Sales from the Asian Pacific region have strong in contrast. Rather than focusing on smaller models such as the Ford Fiesta and the Ford Focus, the company have expanded their horizons. They have broadened their appeal by dedicating more focus on the Ford Fusion and the Ford Escape.
Chinese market crucial to plans
In 2010 Ford managed to sell 5.3 million vehicles worldwide. Mr Mulally has targeted total sales of up to 8 million by the year 2015. In order to do so, Ford has placing a heavier emphasis on the Chinese market, the most profitable emerging car market in the world. Currently they are lagging behind rivals but Ford hope that the Ecoboost SUV will change their fortunes around in China.
That $29.5 million pay cheque
Mr Mulally has clearly pleased shareholders, earning a 2011 pay cheque worth $29.5 million. There is still no indication as to when he is planning his retirement. He has confirmed however that his replacement should come from within the company, with the hiring procedure not being rushed. For now though he seems to be doing a very good job. Ford employees and fans wouldn’t him to leave anytime soon.