Ford is looking to create two nearly separate ‘businesses’ under one Ford label that would each focus on one type of automobile propulsion, gas turbine or electric. The biggest friction in the move could come from dealers, who might find their lives more complicated dealing with two separate ‘businesses,’ and might find themselves choosing between Ford Electric and Ford Gas.
Ford’s ‘radical’ move to split the company won’t come easy
From www.theverge.com
2022-03-02 21:17:01
Andrew J. Hawkins
Excerpt:
Ford’s decision to divide its business into two separate entities — one focused on electric vehicles and the other on gas-powered ones — may complicate the automaker’s efforts to recruit top-tier talent and could risk upsetting dealers already chafing under the shift to electrification, auto analysts and experts said Wednesday.
Ford also isn’t going so far as to spin off its EV divisions entirely as a separate business, as some major Wall Street banks advised. The automaker’s share price could suffer as a result. By keeping both divisions within the same company, Ford is entwining their fates. Ford Model E won’t succeed without the profits and efficiencies created under Ford Blue.
On Wednesday, Ford announced the creation of two separate entities: Ford Model E, focused on electric vehicles and advanced software projects; and Ford Blue, dedicated to the automaker’s much larger and profitable internal combustion engine vehicles. It’s a bold move — one analyst…
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