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Competitive Analysis Microeconomic 365

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Current Market Conditions Competitive Analysis
Abelardo Garcia, Alexander Gamez, Andrew Sullivan, Doye Barksdale, Edward Tyson
ECO/365
July 31, 2014
Mr. Jerry Peck

Current Market Conditions Competitive Analysis
The thesis of this paper is that the current market conditions are very competitive for every type of field industry in cooperate America today. In this paper, I will discuss Ford’s new product called Siesta. Our team will help Ford Auto Maker to determine the release of the new electric two door car by analyzing Ford’s primary competitor the Smart Car, and with strategic planning surrounding pricing, innovation, labor and cost structure. Siesta will be a successful innovation product for Ford Auto Maker, considering the type of market conditions today.
Organization History and New Product Ford Motor Company is an American automaker by Henry Ford, and was one of the largest automaker in America based in the state of Detroit. Ford was the leading worldwide vehicle sales for the majority 1900’s and most profitable auto company in the world. But with oversea car companies entering the States such as Honda, Hyundai and Toyota, Ford sales have been trending below average due to gas prices, unemployment rate, and low competitive price points. People are looking for alternatives, which will save money in long term.
Ford has produced a new product that will align with their consumers’ needs. The new product is a two door electric car, only costing under $10,000 called Siesta. Siesta is a Latin word meaning resting or taking a break. The ideal of the name of the product is allowing consumers to take a break of gas prices and the high competitive car prices in the market. Chevy, another American car maker, has come with a new electric car product called the Volt. The problem with the Volt, it has a high price tag of $28,000. The Smart Car is our primary

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