Consider the case of Ford Motor Company. Analyze Ford's cost structure and discuss how it has evolved over the past decade. Identify any significant cost drivers affecting Ford's operations. Evaluate Ford's cost management strategies and their effectiveness in controlling costs and improving profitability. Recommend potential cost reduction initiatives for Ford to enhance its competitive position in the automotive industry.
Values:
•Cost of Goods Sold: $20,000,000
•Selling and Administrative Expenses: $10,000,000
•Research and Development Expenses: $5,000,000
•Tax Rate: 25%