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Ford who seems to have a good read in the economy are adjusting ahead of a downturn.
There been a number of companies who have even under growth have been making adjustments.
When companies like Ford, Harley-Davidson, Carrier, Dow Chemical and others are making cuts an moving factories could be a sign of slowing growth.
Much of this according to the media is President Trump's trade war but I think differently. Companies use business models an historical data to determine where the economy is heading.
They no doubt make adjustments to their business to head off a much larger problem.
Ford as of late especially been making adjustments not unlike 2007 ahead of the 2008 recession.
They made cuts an borrowed money ahead of the banking breakdown. Of course people will say this is what companies do from time to time to eliminate deadwood.
This is true but Ford been signalling far deeper cuts ahead for the company. They plan on eliminating most of their car business an focus on truck sales and moving factory production to Mexico.
At the time 2006-2007 Ford was making these adjustments the economy seemed pretty stable but fuel costs are similar to today.
Usually fuel costs can factor in these issues but we are not there yet. I look at companies adjusting businesses as a sign of their feelings towards future growth.
At least this is my take on recent announcement by Ford on job cuts.
https://www.google.com/amp/s/articl...ex.ssf/2018/10/ford_layoffs_trump_tariffs.amp
There been a number of companies who have even under growth have been making adjustments.
When companies like Ford, Harley-Davidson, Carrier, Dow Chemical and others are making cuts an moving factories could be a sign of slowing growth.
Much of this according to the media is President Trump's trade war but I think differently. Companies use business models an historical data to determine where the economy is heading.
They no doubt make adjustments to their business to head off a much larger problem.
Ford as of late especially been making adjustments not unlike 2007 ahead of the 2008 recession.
They made cuts an borrowed money ahead of the banking breakdown. Of course people will say this is what companies do from time to time to eliminate deadwood.
This is true but Ford been signalling far deeper cuts ahead for the company. They plan on eliminating most of their car business an focus on truck sales and moving factory production to Mexico.
At the time 2006-2007 Ford was making these adjustments the economy seemed pretty stable but fuel costs are similar to today.
Usually fuel costs can factor in these issues but we are not there yet. I look at companies adjusting businesses as a sign of their feelings towards future growth.
At least this is my take on recent announcement by Ford on job cuts.
https://www.google.com/amp/s/articl...ex.ssf/2018/10/ford_layoffs_trump_tariffs.amp