Ford suprises everyone by posting a big profit for the 3rd quarter
Jennifer McClelland | RSS | 1 Comment
Ford posted a third quarter profit of $997 million which equals out to 29 cents per share. Just a year earlier, the car maker posted a loss of $129 million.
Ford said that it attributed the success it saw in the third quarter to the Cash for Clunkers program.
I am personally glad to see that Ford saw a good quarter. As the only United States auto manufacturer that did not take any money from the government, I believe that a lot of people are preferring it to other US automakers. However, thanks to the Cash for Clunkers program, a lot of the automakers had pretty good third quarters. It is likely that the fourth quarter won’t be as nice to the auto industry.
Right now, Ford is really trying to promote all the features of its cars. This is compared to how GM is promoting how its improved quality in its cars. I believe that Ford has always had better quality cars when compared to General Motors anyway. While Ford has been talking about Sync features and awards, GM is left to compare its cars to Hondas and Toyotas. It is a difficult race that GM is competing in and I believe that it might be the wrong battle for the company. I just don’t see the people who are brand loyal to Toyota or Honda switching to a GM car.
I haven’t personally seen too many Chrysler ads. I have seen a lot of ads for Jeep, but none for actual Chrysler branded cars.
Once Cash for Clunkers was finished, September auto sales plummeted.
Tags: suprises, auto manufacturer, quality cars
Eric from Locksmith Servcies | Tue, Dec 01 2009
It is good that ford is picking up, but this may not be a long term run as I think it is driven by the economic recession and as things start getting normal, we can expect a good change in loyalty towards the car and as far as GM are concerned, GM does not stand a chance to beat either of Honda or Toyota.