When marketing a product, a situational analysis should be a key priority for any company. Issues in the external environment are very complex at times (Ferrell & Hartline, 2014). The six factors that make up the framework for analyzing the external environment are: Competition, Economic Growth and Stability, Political Trends, Legal and Regulatory Issues, Technological Advancements, and Sociocultural Trends. The product I selected to discuss is the Ford Mustang.
Competition is a factor that is huge in the automobile industry. We see car commercials all the time expressing how their brand and or model is better than another. We are consistently pitched the phrases: Number one ranked pickup, voted safest SUV, and tested to be much roomier. …show more content…
In November 2008, the Big Three automakers asked Congress for $50 billion to avoid bankruptcy and job losses. The economy had collapsed and most auto sales were declining. Ford was the only one of the Big Three to pass up on the bailout money (Ahrens, 2010). Ford is known as the big auto winner of the Great Recession (Ahrens, 2010). During a time when other automakers were struggling to break even, Ford’s sales were actually rising. May 2010’s sales increase was partially due to the Mustang having its best sales month in May (Ahrens, 2010).
The bailout occurred during the time when President Bush was leaving office and President Obama had just been elected into office. The political trends were quite a factor for the auto industry. Although President Bush was a Republican President and President Obama is a Democratic President, they both saw the need to go forth with the auto bailout. This was critical in saving the automobile industry in the United States and saving millions of American jobs.
Ford plans to produce a universal Mustang. Producing a Mustang for the world is more complex than for just your average sedan (Saporito, 2013). Regulations for steering and handling for left-drivers in some foreign nations is quite risky (Saporito,
Competition is a factor that is huge in the automobile industry. We see car commercials all the time expressing how their brand and or model is better than another. We are consistently pitched the phrases: Number one ranked pickup, voted safest SUV, and tested to be much roomier. …show more content…
In November 2008, the Big Three automakers asked Congress for $50 billion to avoid bankruptcy and job losses. The economy had collapsed and most auto sales were declining. Ford was the only one of the Big Three to pass up on the bailout money (Ahrens, 2010). Ford is known as the big auto winner of the Great Recession (Ahrens, 2010). During a time when other automakers were struggling to break even, Ford’s sales were actually rising. May 2010’s sales increase was partially due to the Mustang having its best sales month in May (Ahrens, 2010).
The bailout occurred during the time when President Bush was leaving office and President Obama had just been elected into office. The political trends were quite a factor for the auto industry. Although President Bush was a Republican President and President Obama is a Democratic President, they both saw the need to go forth with the auto bailout. This was critical in saving the automobile industry in the United States and saving millions of American jobs.
Ford plans to produce a universal Mustang. Producing a Mustang for the world is more complex than for just your average sedan (Saporito, 2013). Regulations for steering and handling for left-drivers in some foreign nations is quite risky (Saporito,