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Ford's e-Business Strategy

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Case Details:


Case Code : ITSY002 For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Shipping & Handling Charges extra


Case Length : 09 Pages
Period : 1999-2002
Pub Date : 2002
Teaching Note : Available
Organization : Ford
Industry : Automobiles
Countries : USA


The case looks at the issues relating to Ford's e-business strategy. It talks about how Ford sought to transform itself from an 'old economy' firm to a 'new economy' firm using the Internet to further its objectives. During 1999, Ford discovered the potential of web technologies and sought to leverage its competencies using the Internet. As a part of the strategy, it partnered with few other automakers to form 'Covisint' - an online market place that linked its members to more than 30000 suppliers of components. In addition to this it also took special initiatives to build excellent relationships with customers, dealers and suppliers as this held the key to survival. It floated an e-CRM company, and gave its employees a PC and other hardware for a nominal cost, which were all part of its e-business initiatives.

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  The rationale and benefits associated with e-commerce initiatives for a large MNC and their long-term implications.


  Page No.
Introduction 1
Background Note 1
Improving Supply Chain Efficiency 2
Focussing on the Demand Chain 4
The Future 5
Exhibits 7


Ford, e-business, strategy, old economy, new economy, Internet, 1999, web technologies, leverage, automakers, Covisint, online market, 30000, components, excellent relationships, customers, dealers, suppliers, e-CRM, PC, nominal cost.

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