Economic theory in the perspective of during recession for Ford Company

Term Paper , 2012 , 12 Pages , Grade: A

Economics - Economic Cycle and Growth

This paper presents and discusses the Ford scenario in recession in the perspective of business economic theory. Economic theory is a broad concept for the explanation of the movement of goods in a market. Theoretical economic concepts have scientific backing or studies to prove or disprove a stated speculation. National governments also have an interest in theories of economics. Politicians swear on studies of government spending, money supply, tax collections, and consumer spending data to make laws or set policy. Dissimilar economic theories exist that focus on different aspects of government policy perspective economics. (Salvadori 2003)
Ford Motor Company was shaped on superior products and that exists today. They have an exceptional line of trucks and cars which ranges from the Model-T to today’s Ford Focus and F-Series, the excellent selling car and truck in the world. Their current product line is the strongest in their history and is getting stronger yet. (Collins 2007) This year they added the new Ford Explorer, Expedition and Thunderbird in North America, the new Lincoln Blackwood, Ford Fiesta in Europe and Navigator, Land Rover Freelander and Range Rover, Aston Martin Vanquish, Jaguar X-Type, Mercury Mountaineer, and the Mazda Sport Wagon. These vehicles will help to separate them from their competition. (Rosenberg 2012)

Inhaltsverzeichnis

• Economic theory in the perspective of during recession for Ford Company
• Moving from Micro to Macro
• Good or services in concern with price and income elasticity
• Market structure and possible strategy
• Conclusion
• Literaturverzeichnis

Zielsetzung und Themenschwerpunkte

This paper aims to analyze the Ford Motor Company's situation during a recession through the lens of business economic theory. It explores the application of microeconomic and macroeconomic principles to understand the company's operations and challenges in a recessionary environment.

• Microeconomic and macroeconomic principles in the context of Ford Motor Company
• Supply and demand dynamics in the automotive industry
• Price and income elasticity of demand for Ford vehicles
• Market structure and competitive strategies employed by Ford
• The impact of recession on Ford's operations and financial performance

Zusammenfassung der Kapitel

The first chapter introduces the concept of economic theory and its relevance to business operations, particularly in the context of a recession. It highlights the importance of understanding economic principles for businesses like Ford Motor Company.

The second chapter delves into the distinction between microeconomics and macroeconomics, explaining their respective focuses and how they relate to the automotive industry. It provides a basic understanding of supply and demand dynamics and their impact on pricing and production decisions.

The third chapter examines the concept of price and income elasticity of demand, explaining how these factors influence consumer behavior and purchasing decisions. It explores the specific case of Ford vehicles and how their demand is affected by price changes and consumer income levels.

The fourth chapter discusses market structure and competitive strategies, focusing on Ford's position within the automotive industry. It analyzes the company's competitive landscape and the strategies it employs to maintain its market share.

Schlüsselwörter

The key terms and focus themes of this text include economic theory, recession, Ford Motor Company, microeconomics, macroeconomics, supply and demand, price elasticity, income elasticity, market structure, competitive strategy, and automotive industry.

• College: Stanford University
• Grade: A
• Author: Francis Marete (Author)
• Publication Year: 2012
• Pages: 12
• Catalog Number: V278576
• ISBN (eBook): 9783656718871
• ISBN (Book): 9783656718819
• Language: English
• Tags: economic, ford, company