Ford CEO Alan Mullaly Sees a Future in Smaller Cars

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But don't worry...full-size trucks and SUVs aren't going anywhere anytime soon.

If you haven't noticed, there's been quite a few new small, almost city car-like autos hitting the US market in recent years. That's not a mistake and the trend is likely going to continue. Ford CEO Alan Mulally told a group of industry watchers at Detroit last week that he expects to see an increasing number of small cars go on sale in the US over the next few years. He didn't even rule out the possibility that the US may see Ford's EcoSport subcompact crossover, or something similar, go on sale fairly soon.


So what's the reason behind his predictions? Cars have become increasingly expensive over the past few years, partly because of an increase in technology in them. Because of this, Generation Y may have a hard time affording cars, thereby potentially pushing them out of the market. That's just bad business, and smaller cars may be one possible answer. "We have to find a way," Mulally stated. "All of our data say the economics are very, very important."

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