Recently, on 9th of September, 2021 Ford motors made an official statement to stop manufacturing its vehicles in its leading production plants at Sanand and at Chennai. But the question is how it would impact the current scenarios linked with Ford motors?
On the Point
Well, the factors in my knowledge that are left ignored are: (Comment if there any other point I missed!)
- Effect on consumers.
- Effect on car dealers.
- Effect on the hidden businesses like part suppliers.
- Effect on Jobs.
Talking about these factors in details and starting with the effect on consumers; Consumers will not suffer any major change as directed by the official statement from Ford Motors. According to the manufacturer sales of CBU (Complete Built Up) vehicles such as Mustang will not be affected at all. Moreover, the service and warranty of the existing and the new vehicles will remain the same as previously.
However, the car dealers will not remain the same as before as directed by the official statement the domestic production will be stopped immediately in the 4th quarter of 2021 at the Sanand production plant. Also, this means that sale of current vehicles will be stopped in India once the dealers clear the stock.
There is no significant effect on part suppliers. Now as Ford motors stop its current production, these suppliers will behave as global vendors to supply their goods.
Atlast, the impact on the jobs are in both the directions one in negative and the other one are positive, there are chances that around 4000 employees will be affected by this. This means they can even loose their jobs. However, the Indian business solution team will continue to work as before and even here are chances of expansion.
Well, I don’t wanna target any company but in my opinion and from my experience; It doesn’t matter how many commitments a manufacturer can make at the time of stopping their business, this will always affec5t the consumers the customers which has purchased their vehicles.
Here, Ford motors is claiming to give the aftersales service as before but the reality is that there are less chances of part availability from Ford motors for their vehicles in 4-5 years. Learning from General motors, as they had also claimed that their aftersales service will remain as same as before but now no one can barely see their showrooms and workshops in the market. So where are those commitments gone? Moreover, no one is there to hear the complaints made about their commitments.
To be honest as an Automobile manufacturer if someone is being in loss for 10 years then the only way is to quit in that area. The same is happened with Ford motors. Now, atleast they are ensuring the same service, booking etc to their customers even after stopping their production which is quite good.
Want to know from the beginning that what has happened with Ford motors, then do check out this blog:
Comment me what’s your view regarding this news.
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Credits: All the images have been taken from Ford’s official website and YouTube channel.