Ford CEO Jim Farley expressed concern on Wednesday over recent price cuts in the electric vehicle market; a trend that pushed the Michigan-based auto manufacturer to decrease the price of its Mustang Mach-E in response.
After cutting the Mach-E price by 8%, Farley expressed an unwillingness to carry out a price-cutting strategy in the same way that company founder Henry Ford did with the Model T starting in 1913.
“You do not want to commoditize the product,” Farley told the Wall Street Journal, adding that he believed the founder’s strategy to be harmful. The resale value for people who bought at higher prices is awful. They never forget. There’s a limit to how far we’ll go.”
In addition to the company’s recent price cut, Farley also spoke of new developments regarding the manufacturing of Ford vehicles. While the likes of General Motors have committed to phasing out features such as Apple CarPlay, Ford has no intention of doing so, with Farley explaining that the company has no choice in the matter due to 70% of its customers in the U.S. being Apple device users.