Re: Focus Active Cancelled!
Well this was expected, since the only reason Ford was to offer the 'Active' was to increase the price of a Focus and sell it in the US at a higher margin, but the 25% tax took that away and more...so it was a no go from that point.
Now I will repeat what I have said before. Sedans, hatch backs, 5-doors are not unprofitable, it is just Ford's design and limited production that has made it so for Ford. Other automakers are more successful and more profitable with a focus on shared platforms, higher low/mid price volume, and frequent new models. But Ford tried lower volume(even closing production capacity), attempting to move up market with higher pricing/trim levels and running older models too long, and getting their customer feedback from Europe or China.
Ford's better option would have been to create that 'team' that actually talked to American consumers and make BETTER sedans/hatch models, improve production capacity to costs down and volume up, margins up, with a renew schedule to match the competition.
Even though automakers are now launching more crossovers and SUVs, the tide is already turning with consumers, who are rediscovering the drive-ability and cost(purchase price/maintenance/fuel/insurance) savings of switching back to a sedan since they never needed the 'hauling' capacity of a suv in the first place. SUV/crossover sales will still outpace cars in some segments, but the transition back to sedans is also accelerating, with consumers not buying 'another' big midsize/large SUV expensive when they don't need it. The luxury car automakers understand this, and is why we are getting a several new small/midsize luxury performance sedans, that are near the price point of the consumer brand mid/large suv pricing, but luxury performance and much more fun to drive.
Ford is getting so many warning signs that their current 'plan' is not going to work out well, that a reverse of course as it relates to sedans should be coming any day now. And they may use the cancellation of the 'Active' as a broad excuse to continue sedans in the US.
Ford still has an opportunity to change course. They have done it last minute over and again, just as they are doing now with the 'Active'. Local production is necessary, and just maybe they need to focus more on building automobile manufacturing facilities, instead of more old buildings for office space, for employees they may not need if they keep down the current path.
Just looking at the rest of the automobile industry leaders, and the paths they are choosing with their products and are doing well sales and profit wise, it makes one wonder why Ford thinks they need to try and change the momentum of the entire industry and customer preferences at a time when they need to benefit from that same momentum.