2 Ways Ford Will Get Squeezed in 2014
Every new year presents challenges for any company. Ford is no exception. The Blue Oval had a solid year in 2013. Sales and profits rose at home, and Ford made good progress in both Europe and Asia.
But Ford will come under fire at home in 2014. Already, the company has warned that its profit margins in North America -- among the best in the business last year -- are likely to get squeezed by a couple of different factors. Several critical new products, including the all-new F-150 pickup, will come to market in 2014. Those launches are just part of doing business, but they will increase Ford's costs -- and hurt its profits -- in several different ways. Meanwhile, competitive pressures will limit Ford's pricing power.
What can we expect from Ford in 2014, and how will those factors affect its profits? In this video, Fool contributor John Rosevear looks at the key factors that could squeeze Ford's profits this year -- and at how Ford investors are likely to be affected.
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The article 2 Ways Ford Will Get Squeezed in 2014 originally appeared on Fool.com.Fool contributor John Rosevear owns shares of Ford. You can connect with him on Twitter at @jrosevear . The Motley Fool recommends and owns shares of Ford. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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