Situation Analysis: Ford Mustang

Prepared for:
Dr. Alan Wunsch, Vice President of Sales and Marketing
Ford Motors Corporation

Prepared by:

President and Owner of TDI Consulting

November 8, 1998


The automotive industry started in 1893 when Charles and Frank Duryea
designed and built the first gasoline-engine-propelled motor vehicle. This
invention opened the doors to the automotive industry. During the next 30
years, many people tried to enter the industry, but only a few were

The Early Years

During the early years, every car was built entirely by hand. This process
was not only very slow, but it was very ...

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afford and get one. Ford's Model
T soon became the most popular car of the time (Chandler 15).

The Great Depression

In October of 1929, America experienced a crash in the stock market that
left the thriving country poor and desperate. With the decline in both
disposable and discrete income, the demand for new automobiles almost
stopped. This huge decrease in demand forced major cutbacks in spending,
factories were closed, employees were laid off, and production was almost
halted. Many of the smaller plants couldn't afford to stay in business.
The United States time of prosperity had ended.


During the early 1940s, the United States as Hitler rose to power in
Germany, and our relationship with Japan grew more and more tense. When
Hitler invaded France and started the war, the United States was quick to
respond. The United States started producing many different pieces of war
equipment. The auto industry was the first to respond by reopening many of
there shut down ...

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of the consumer, and product
lines changed almost every year. The cars kept getting bigger and faster.
This was an era of good times and fast cars.

The 1970s and 1980s

In the early 1970s, the United States felt a huge increase in the price of
gas. This marked the end of the muscle car era and the beginning of the
compact and sub-compact car era. While the big three were hurrying to
release a car with better gas mileage, Honda introduced the first compact
car in the United States. In the early 1970s, Ford introduced the Pinto.
In hurrying to get a compact car on the market, the quality people had come
to expect had been jeopardized. The Pinto was one of the most unsafe cars
ever ...

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Situation Analysis: Ford Mustang. (2004, February 15). Retrieved February 24, 2019, from
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"Situation Analysis: Ford Mustang." February 15, 2004. Accessed February 24, 2019.
"Situation Analysis: Ford Mustang." February 15, 2004. Accessed February 24, 2019.
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Added: 2/15/2004 03:26:52 AM
Category: Economics
Type: Premium Paper
Words: 4737
Pages: 18

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