Business Logic of Ford

The American industrialist and founder of Ford Motor Company, Henry never wanted to make Ford go public but eventually had to do it. To increase expansion, he retained profits and slashed dividend payments of the shareholders. This lead to a fierce battle between him and the shareholders. To eliminate the shareholders, he transferred the ownership rights to his son Edsel and started a new company ‘Henry Ford and Son’ . He pretended that he would take all the best employees in his new firm which created a panic among then investors who sold off their shares to Henry. Eventually he bought back all the shares and again became the sole owner of Ford.

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