Is Ford India All Set to Close Independent Ops ? A JV with M&M Again ?

09 Apr 2019 5 Comments Author: Motor Uncle



When the going gets tough, the tough get going for JV ?

As per most reliable sources at Reuters,  Ford India is all set to end its independent Operations. 





The first Product to roll out was The Built like a Tank Ford Escort. It didnt do well until the arrival of the Josh Machine, the Ford Ikon came round the block

Ford had ended the JV with M&M and started independent ops. 


 A Tough Market called India 


India is surely the fastest growing Automotive market in the World. However the Passenger vehicle segment hasnt shown much movement last 6 months now. Dealers are carrying stocks in excess of 100 days. Shared Mobility, Demonetisation, GST , you take the pick for the sluggish PV demand. The consumers are in no tearing hurry to replace their wheels.

Since its entry in 1995, Ford invested more than US$ 2 Billion in India. They also  have their BIG Global Business Services facility at Chennai. 


Life Comes Full Circle : A New JV with M&M


A Big Pile of money spent, dealers appointed , customers won, Ford India seems to be hanging its boots but surely not the GM India way! If Reuters reports are to be believed, they would be present in India through a JV with M&M. They shall also get an emolument for their assets, which Ford India can use to set off their accumulated Losses from Operations. 

So much so for Another great Classic American Brand all set to bid adieu ! So the tables have surely turned! Its the East rising!

In Oct 2017, The investment at Detroit by M&M in the form of Mahindra Automotive North America was the first investment in 25 years in a Manufacturing facility. 

Anuj Guglani, CEO, World Auto Forum said, "India is an interesting Market. Its fast growing yet it takes time to win Consumers trust. Its one nation, yet every state has unique consumer behaviour. Its one currency, yet businesses and ways of doing business vary. The consumer is hard to win, but once convinced, makes you achieve "Ghar Ghar Maruti"

We are sure Ford India has taken lessons from GM India and shall manage the situation with great alacrity and responsiveness. The First challenge shall be how to control Overnight Crash of Resale Value and convincing the customer of continuity of Service Operations. 

We need to appreciate, consumers in India,  when they would have bought a Ford product, they would have gone against popular Public opinion available in Abundance with their Friends and relatives and social circles. The Ford Consumers can simply become a laughing stock in their social circles, being told a thousand times, "See, I Told you!"

That consumer frustration gets vented to the Company and their dealers. 

At the same Ford Products are most sturdy & amongst the safest ones. Last 3 years, Ford India  had seen a happy turnaround in their after Sales Operations and Consumer Satisfaction levels.

As they say, it boils down to numbers! Indian PV Market is more like a duopoly. With 70% Market controlled by two players, the meagre 3 % market share of Ford India was at times lesser than the delta shown by the two Mega Players in the Indian PV Market!

 Well So Long Ford India! till we meet again in the New Avtar. All the very best for managing the Transition and your existing consumers! And Yes We hope this is a Big rumour! But coming from Reuters, we need to believe it! 

We shall share Ford Service Complaints as we recieve them on our website  at the Service Complaints Section





CarPlus Project Remember when Ford stole the show from Acura with the F-150 Raptor, Mustang Shelby GT350, and GT? The latter made the most jaws drop at the Detroit Auto Show a few years ago, but as opposed to the first generation of the mid-engine supercar, the... there are many more news to know about Ford just have a look on -
Motor Uncle Ford Motor Co, posted on our FB page, that this is a rumour and they are at India for Good! and thats too good!!
Ketika ranjan The only reason to love ford is Mustang GT500. The car is a real beast and it the car that I always wish to buy one day.

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