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Ford’s ‘Radical’ Move to Split the Company Won’t Come Easy

March 2, 2022 – 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.

Michael Ramsey, VP of automotive at Gartner, noted that Ford risks creating an internal imbalance, in which the Ford Blue employees are forced to watch as the profits from their work are plowed into the less profitable, more cost-intensive Ford Model E side of the business.

Ford sees the split as a more efficient way to address its dealer problem. EV sales are surging, but dealers have been slow to embrace the shift. By cleaving its business in two to better prepare for the turbulent times to come, the company is hoping to be seen as setting the right kind of example.

via The Verge

Mar 7, 2022connieshedron
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