Ford No Longer Making Sedans: A Wise Move?May 29, 2018
Ford recently announced that they are no longer manufacturing sedans. Is this is a wise move for the automotive company or not?
Uproar has been received from traditional car enthusiasts. The Ford announcement was perceived as an expression of how sedans are valued these days. For the rest of the world, we are looking to see how this announcement will affect the automotive industry. How will this tip the car sales of other brands? What about sports cars and SUVs?
Where The Money Is
In terms of sales, every brand in the market is releasing more and more lifted cars, such as the Toyota CHR and Honda HRV. This is where the money is, currently. In the short run, this is a wise move for Ford since they will increase their capacity to manufacture cars that rank better in sales.
SUVs vs. Sedans
One anticipated event is that other manufacturers might follow in Ford’s footsteps and, in the near future, certain designs and car build might become obsolete. Sedans without a 4-inch lift might disappear soon. But is that a real loss?
SUV owners claim that their cars are in fact better than sedans in more ways than one. It’s probably the key reason that more of them are being made, at least in the U.S. SUVs got plus points for passenger and cargo accommodation. In terms of costs, comfort, and efficiency, the gap between sedans and SUVs have almost closed.
Looking at International Markets
On the other side of the world, Asian brands like Toyota, Kia, and Honda might be taking advantage of this announcement from Ford. People looking for traditional cars may turn to these global sellers. Take note that the preference for SUVs is U.S. market-oriented. Foreign brands don’t have much to lose selling cars that might sell very well in the U.S. since they have a wider market.
With several factors considered, discontinuing sedans seems like a wise move for Ford. This would also allow room for other automotive companies to tip their sales and revolutionize sedans for other markets. At a point where traditional cars might reach near extinction, we can anticipate that some of its features might be re-introduced in the future. Designs tend to cycle, and come backs usually happen within two decades.
What’s exciting is to observe the repercussion that will follow in the next few years and in what ways this will translate to our daily experiences.