Ford must invest in new, company changing technology to prepare for the future. What concepts can be regarded useful for helping them think about emerging technology?
The automotive industry is shifting its focus towards enhanced cars with technological advancements. The most important thing Ford may need to consider for future is to figure out what is threatening Ford now and in future and it will need to determine what to do. When Ford invest in new, company changing technology to prepare for the future, several areas may need to be considered as below.
Firstly, it needs to conduct a good research on what the current and upcoming automotive trends are and what Ford could do with the trends. The current trends include car ownership change, autonomous car making, electric car developing, eco-friendly car making, assistant driving and so on. The feasibility, desirability and profitability will need to be assessed.
Secondly, Ford also need to study whether customers are ready and willing to switch from the current vehicle to the new vehicle that it is intended to offer. Sometimes it is not the best technology for the company to succeed in the market. Sometimes, the timing really matters. Some companies experience unexpected market failure due to the wrong timing despite its great advanced technology. So, timing of the launch of a new product after good study on whether the customers are ready to take the new product, must be checked carefully before it is launched.
Thirdly, when Ford develops new automobiles and plans to make inroads into global markets, it needs to have professional studies on local government regulations and local preferences. Moreover, they also need to know what aspects local customers prefer and what aspects they avoid. Each country may have different preference and picky choices. For instance, in some emerging countries like Vietnam, we often find alternative vehicles like bicycles so popular. Some countries like the UK, the US, and other European countries, car sharing is so popular than others. And ‘Uber’ so popularly in the US, the UK and others but not yet in Korea for social and political reasons. The future trend may differ from today but what we need to know is that social, economic, cultural and political matters of each country would need to be considered when it enters the local market.
Lastly, Ford would need to pay good attention to big players. Google entered the automobile business and Apple plans to develop electric cars. Furthermore, some Asian players like Chinese car makers are surprisingly growing fast in the auto industry with much investment in eco-friendly cars and electric cars. So, what big players are doing must be well watched.
When Ford invest in new, company changing technology, the above aspects are expected to help Ford prepare more strategically for its future.