Boston, MA 10/16/2013 (wallstreetpr) – Japanese auto makers have been giving American auto makers a run for their money for several years. Their cars scored over the US counterparts in design, safety, and fuel efficiency. They introduced compact, fuel efficient cars, while American auto makers were still building big and fuel guzzling cars. It even appeared that they had beaten American auto makers in their own turf. It took some time for American auto makers to learn. Some like Ford Motor Company (NYSE:F) are now fighting the Japanese on their own terms. Ford’s CEO, Alan Mulally, is giving a big push to the strategy of developing smaller, more fuel efficient cars with advanced safety features. The company has managed to take Toyota Motor Corporation (NYSE:TM) head on. Battle lines are now being drawn over advanced safety technology.
Ford is betting on two innovative safety technologies: a Self Parking System and an Obstacle Avoidance System. The Self Parking System takes control of the vehicle while parking, allowing the car to be parked into tight spaces and eliminating most cases of fender damages. Driver stress is reduced considerably. The second system, Obstacle Avoidance System, alerts drivers to threats of collisions from pedestrians and other vehicles if it feels that the driver is not aware of the danger. In extreme cases, it takes control of the vehicle to avoid such collisions. Both the systems are being extensively tested before their release. Toyota has also been developing its own safety-assist technologies. Both the companies feel that these features will be as prized in the future as performance and efficiency are today.
Ford is relying on driving sales from emerging economies by designing and developing cars aimed at those markets. The company has announced the launch of a new SUV in Russia apart from new releases in other markets. The effect of the partial government shutdown and the imminent fiscal default will weigh heavily when Ford declares its 3Q13 earnings on October 24. Analysts are expecting the company to declare a profit of $0.36 per share.
