Friday, October 31, 2008

"It's not a new truck; it's a new F-150"

Wall Street Journal, October 31, "Ford Lays Bet On New Truck By Rehiring 1,000 Workers."

In this era of organizational frailty and financial panic, Ford is putting its best foot (er, truck) forward and has made a statement of confidence and strength. Why not?! ?

The American public responds well to statements of confidence and strength. The F-150 has been a solid product for Ford--ranking high in customer satisfaction among truck-buying consumers for years. Falling gas prices will certainly help. The credit markets are loosening. Chrysler and GM seem to be floundering. The timing is perfect.

But, what is so brilliant about this strategy is that its not just a product strategy, it is also a human capital strategy. As Chrysler and GM lay-off their employees and are scrambling to find money in order to stay afloat, Ford is demonstrating confidence in its bestselling truck line and will be rehiring workers--not just a few, but 1,000 workers.

Ford's strategy is what we would expect from an American company. Ford's move is very likely to inspire people to buy American--and to buy Ford.

No comments: