FordBuyer Posted October 11, 2007 Share Posted October 11, 2007 I've been wondering why Ford does not come out with new products like Chysler has last few years. The only thing I can come up with is that the market is so demanding that you have to keep constantly improving the products you already have to stay in business. It leaves very little time and money for anything else. Ford next year is concentrating on the new F-150 and Fusion and soon after Mustang. Along with that they have two brand new products coming out. Also, with limited capital you cannot take chances like Chrysler has and come out with half baked products that are DOA. Ford simply cannot afford it and Chrysler will be in same boat without sugar daddy Daimler anymore. I support Ford spending most of its time and money on keeping its present products current and maybe a new vehicle every now and then like it has been doing. Edge, Flex, MKS, and Verve are enough for now and put your money into F-150, Fusion, and Mustang. Do you think this is enough or should Ford be scattergunning market with a ton of new product? Quote Link to comment Share on other sites More sharing options...
Michael Reynolds Posted October 11, 2007 Share Posted October 11, 2007 I'd rather see Ford work on more efficent and powerfull engines, new in car technology, refinement/build quality and safety vs. producing crap just to produce it. Take note of all the new product that Chrysler has introduced and what it has done for their overall sales. Quote Link to comment Share on other sites More sharing options...
Pioneer Posted October 11, 2007 Share Posted October 11, 2007 Ford can't afford new products because all of their spare money is tied up in executive pay and benefit packages. Quote Link to comment Share on other sites More sharing options...
NLPRacing Posted October 11, 2007 Share Posted October 11, 2007 They've had some "significantly improved" as well as "all new" products come out recently and some that will be out soon: All New or Significantly Improved in 2007: Sport Trac Edge Expedition All New or Significantly Improved in 2008: Super-Duty Escape Focus Taurus Taurus X E-Series All New or Significantly Improved in 2009: F150 (bigger cabs, 6 speed autos, more HP, etc.) Flex (due out in Summer 2008) Fusion (based on EUCD?) Mustang? Fiesta/Verve? 2010 & Beyond: Diesel & BOSS/Hurricane for the F150 and Expedition Ranger replacment based on T6 CV replacement based on Huntsman All new Explorer based on Huntsman, D3 or EUCD2 F100 Midsize based on T1 B Cars & CUV’s based on global B2 C Cars & CUV’s including an all new Focus based on C2 I think that within the next year or two, we'll see a completey revamped line-up with consumer driven products. It's pretty promising, but too bad it will take so long... Quote Link to comment Share on other sites More sharing options...
Noah Harbinger Posted October 11, 2007 Share Posted October 11, 2007 Ford can't afford new products because all of their spare money is tied up in executive pay and benefit packages. And how much is that, exactly? The board of directors' total compensation (including non-cash) was $64 million -- that's like 1/20th the cost of developing a new car or factory, right? So you could give each worker $266 by completely chopping off the head of the company... which would of course cost you far more than $266. Companies need executives. Many CEOs are overpaid, but if Mulally pulls the company around, he'll be deserving some huge bonuses. Quote Link to comment Share on other sites More sharing options...
xr7g428 Posted October 11, 2007 Share Posted October 11, 2007 The only vehicles that produced enough gross profit per vehicle were SUV's and Trucks. Starting with Nasser, They stopped putting any money into passenger car development. Bill Ford attempted to find a way to cut costs enough to make cars viable, but was not completely successful. Hopefully, the current round of closures and cuts will get Ford back into a position where they can build cars again. Quote Link to comment Share on other sites More sharing options...
Pioneer Posted October 11, 2007 Share Posted October 11, 2007 Companies need executives. Many CEOs are overpaid, but if Mulally pulls the company around, he'll be deserving some huge bonuses. Hire away the CEO of Toyota. He heads a successful auto corporation, and we could probably get him for $2 mill a yer tops. Quote Link to comment Share on other sites More sharing options...
ZanatWork Posted October 11, 2007 Share Posted October 11, 2007 I've been wondering why Ford does not come out with new products like Chysler has last few years. The only thing I can come up with is that the market is so demanding that you have to keep constantly improving the products you already have to stay in business. It leaves very little time and money for anything else. Ford next year is concentrating on the new F-150 and Fusion and soon after Mustang. Along with that they have two brand new products coming out. Also, with limited capital you cannot take chances like Chrysler has and come out with half baked products that are DOA. Ford simply cannot afford it and Chrysler will be in same boat without sugar daddy Daimler anymore. I support Ford spending most of its time and money on keeping its present products current and maybe a new vehicle every now and then like it has been doing. Edge, Flex, MKS, and Verve are enough for now and put your money into F-150, Fusion, and Mustang. Do you think this is enough or should Ford be scattergunning market with a ton of new product? Chrysler's new products? Big Deal. The Caliber (and its Jeep siblings) haven't exactly set the world afire. The refreshed Liberty is more half-hearted than most of Ford's worst refreshes. The Aspen is a Durango without a Dodge grille. The Avenger/Sebring debuted as "born to be rental cars". The Nitro...if I didn't remember the commercials, I'd have no visual proof that they exist. NONE to speak of sell in my town. Chrysler has introduced more mediocrity than vehicles the last couple of years. Quote Link to comment Share on other sites More sharing options...
ZanatWork Posted October 11, 2007 Share Posted October 11, 2007 Ford can't afford new products because all of their spare money is tied up in executive pay and benefit packages. And, of course, bazillions in free kleenex for sobbing union whiners.... Quote Link to comment Share on other sites More sharing options...
grbeck Posted October 11, 2007 Share Posted October 11, 2007 (edited) Looking at duds like the Sebring, Compass and Avenger, I wonder why Chrysler bothered. New product isn't enough anymore. It has to be great product. Edited October 11, 2007 by grbeck Quote Link to comment Share on other sites More sharing options...
jasonj80 Posted October 11, 2007 Share Posted October 11, 2007 Looking at duds like the Sebring, Compass and Avenger, I wonder why Chrysler bothered. New product isn't enough anymore. It has to be great product. you forgot the Patriot, Commander, and Nitro. Quote Link to comment Share on other sites More sharing options...
Pioneer Posted October 11, 2007 Share Posted October 11, 2007 And, of course, bazillions in free kleenex for sobbing union whiners.... Company doesn't provide Kleenex. We provide our own. Quote Link to comment Share on other sites More sharing options...
Michael Reynolds Posted October 11, 2007 Share Posted October 11, 2007 Company doesn't provide Kleenex. We provide our own. What about tampons? Sorry, I couldn't help it Quote Link to comment Share on other sites More sharing options...
FordBuyer Posted October 11, 2007 Author Share Posted October 11, 2007 And how much is that, exactly? The board of directors' total compensation (including non-cash) was $64 million -- that's like 1/20th the cost of developing a new car or factory, right? So you could give each worker $266 by completely chopping off the head of the company... which would of course cost you far more than $266. Companies need executives. Many CEOs are overpaid, but if Mulally pulls the company around, he'll be deserving some huge bonuses. I personally would like to see executive bonuses tied with stock price, profit, dividend payout, and profit margin. The better they are, the more the executives get paid. Same goes for salaried and hourly employes. A nice formula so that if company does well, everyone shares the pie. Keeps morale and motivation up. Quote Link to comment Share on other sites More sharing options...
grbeck Posted October 11, 2007 Share Posted October 11, 2007 you forgot the Patriot, Commander, and Nitro. You're right...and I also forgot the Aspen. Quote Link to comment Share on other sites More sharing options...
J-150 Posted October 11, 2007 Share Posted October 11, 2007 You're right...and I also forgot the Aspen. basically, anything that isn't a Ram or Minivan. Quote Link to comment Share on other sites More sharing options...
Deanh Posted October 11, 2007 Share Posted October 11, 2007 Chrysler's new products? Big Deal. The Caliber (and its Jeep siblings) haven't exactly set the world afire. The refreshed Liberty is more half-hearted than most of Ford's worst refreshes. The Aspen is a Durango without a Dodge grille. The Avenger/Sebring debuted as "born to be rental cars". The Nitro...if I didn't remember the commercials, I'd have no visual proof that they exist. NONE to speak of sell in my town. Chrysler has introduced more mediocrity than vehicles the last couple of years. my thoughts exactly....and when Chrysler was bringing out what initially everyone thought were GREAT styled vehicles, they SURE got long in thye tooth and DATED REALLY fast......... Quote Link to comment Share on other sites More sharing options...
Deanh Posted October 11, 2007 Share Posted October 11, 2007 You're right...and I also forgot the Aspen. they all suck......... Quote Link to comment Share on other sites More sharing options...
focus05 Posted October 11, 2007 Share Posted October 11, 2007 Hire away the CEO of Toyota. He heads a successful auto corporation, and we could probably get him for $2 mill a yer tops. Mulally's salary is, in fact, $2 million per year. He gets bonuses based on performance and stock price as determined by the Board. He will be making somewhere around $6-8 million this year including bonus, is my guess, unless Ford miraculously posts a profit for FY2007. It's time to quit complaining about exec compensation. We would not have gotten Farley from Lexus if we couldn't offer him more money. That's the reality of exec compensation. The market demands it for talent. Quote Link to comment Share on other sites More sharing options...
focus05 Posted October 11, 2007 Share Posted October 11, 2007 I personally would like to see executive bonuses tied with stock price, profit, dividend payout, and profit margin. The better they are, the more the executives get paid. Same goes for salaried and hourly employes. A nice formula so that if company does well, everyone shares the pie. Keeps morale and motivation up. That's exactly how Mulally's compensation is decided. He has a base of $2 million and bonuses beyond that based on his performance, company performance, stock price changes, etc. Quote Link to comment Share on other sites More sharing options...
NickF1011 Posted October 11, 2007 Share Posted October 11, 2007 Main reason for the lack of new products? Between Mark Fields and Alan Mullaly, half the products that were supposed to be out in the last year or two were sent back to the drawing board for being too dull or were completely scrapped altogether. I think it was a good move on both of their parts. Would you rather have a lineup with a few less vehicles but is better overall, or a larger lineup full of (pcsario's favorite word) mediocre products? I'd rather the products be delayed until they can launch something worth launching in the first place. Quote Link to comment Share on other sites More sharing options...
Ford Jellymoulds Posted October 11, 2007 Share Posted October 11, 2007 Main reason for the lack of new products? Between Mark Fields and Alan Mullaly, half the products that were supposed to be out in the last year or two were sent back to the drawing board for being too dull or were completely scrapped altogether. I think it was a good move on both of their parts. Would you rather have a lineup with a few less vehicles but is better overall, or a larger lineup full of (pcsario's favorite word) mediocre products? I'd rather the products be delayed until they can launch something worth launching in the first place. Thanks for that Nick, l was not aware what was going on behind the scenes, good to see they are working so hard to get things right. The biggest critics of Alan Mulally at Boeing said that he was slow in releasing new products & a bit heavy handed with cutting costs, but what did come out in the end was very good aircraft like the triple seven, so good things come those that wait hopefully. Quote Link to comment Share on other sites More sharing options...
wildosvt Posted October 11, 2007 Share Posted October 11, 2007 Mulally's salary is, in fact, $2 million per year. He gets bonuses based on performance and stock price as determined by the Board. He will be making somewhere around $6-8 million this year including bonus, is my guess, unless Ford miraculously posts a profit for FY2007. It's time to quit complaining about exec compensation. We would not have gotten Farley from Lexus if we couldn't offer him more money. That's the reality of exec compensation. The market demands it for talent. But aren't those bonuses and stock op's still considered INCOME..... Would you to lead us into believing that "Well, Anything ABOVE 2 MILL he gets free and clear!" RRRRRrrrrrrrighT! Quote Link to comment Share on other sites More sharing options...
UltimateX Posted October 11, 2007 Share Posted October 11, 2007 But aren't those bonuses and stock op's still considered INCOME..... Would you to lead us into believing that "Well, Anything ABOVE 2 MILL he gets free and clear!" RRRRRrrrrrrrighT! Bonus's are performance driven, as are stock options. A stock option is just a right to purchase the stock in future at the current price. If Allan were to get a stock option today to buy 100,000 shares at the current price of $8.69. If the company does poorly, they are worthless, and if Ford is trading at $10 the value of the options is $10 minus $8.69 or $2.31 a share. Generally there are terms to the options, like you can't exercise the option for 2 years. Quote Link to comment Share on other sites More sharing options...
jpd80 Posted October 11, 2007 Share Posted October 11, 2007 But aren't those bonuses and stock op's still considered INCOME..... Would you to lead us into believing that "Well, Anything ABOVE 2 MILL he gets free and clear!" RRRRRrrrrrrrighT! The man was on $11 million salary at Boeing and his salary at Ford is now $2 million. I wonder how many would trade a $110K/year salary for a $20K salary without compensation. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.