Ford Electric Vehicles: Traversing the Product Life Cycle

Authors
Steven Cox, Bradley Brooks, Cara Peters
Region
North America
Topic
Marketing & Sales
Length
3 pages
Keywords
Product Life Cycle
Roger’s Diffusion of Innovation
Innovation-Adoption Curve
Technology Acceptance Model
Copyright Holder
Society for Case Research
Student Price
$4.00
Target Audience
Graduate Students
Undergraduate Students

Jim Farley, Ford CEO, saw a difference in electric vehicle (EV) customers as the industry moved from early adopters to early majority. In late 2023, Ford had lost a stunning $1.3 billion on EVs during the prior 12 months, so it was now postponing investments in EV factories and cutting its EV production. With the EV marketplace apparently facing the proverbial chasm of transitioning from early adopters to the early majority, this critical incident illustrates the difficulties of moving through the Product Life Cycle, the Innovation-Adoption Curve, and the Technology Acceptance Model.  

Learning Outcomes

In analyzing this critical incident, students should be able to: 

1. Analyze how customer benefits improve as a product proceeds through its life cycle 

2. Recognize Product Life Cycle (PLC) stages within an industry 

3. Interpret the factors that may influence the growth of a technology-based industry 

4. Apply concepts about the chasm to the consumer adoption patterns of a technology-based industry 

5. Recommend a strategy for moving a product through the Product Life Cycle