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Ford Pulls Out of NASCAR: What Caused the Exit Despite Racing Success

Exploring the Business Move Behind the Decision

By Pinesthi Mukti Rizky WibowoPublished 9 months ago 3 min read
Ford Pulls Out of NASCAR: What Caused the Exit Despite Racing Success
Photo by Oleksandr Baiev on Unsplash

A quick Google search says Ford’s decision to stop building NASCAR vehicles was a mix of things—mainly a shift in focus toward trucks, SUVs, and electric vehicles, plus a general sense that the market is changing. The move was meant to set Ford up for future success by leaning into areas with more growth potential and staying in step with what buyers actually want. Basically, Ford doesn’t think racing is their strong suit anymore, and they’re slowly running out of money to keep doing it anyway. Racing’s always been expensive, and that’s not changing.

Let’s be real—racing doesn’t pull people in like it used to, especially when it comes to NASCAR. That old saying, “Win on Sunday, sell on Monday,” is kind of fading away these days. Sure, racing still has a cool factor, but that vibe mostly sticks with high-end brands like Ferrari. As for Ford, it seems like they just don’t see the point in chasing racing prestige anymore. It’s probably just not worth it for them, and it feels like they’re gradually letting NASCAR go.

Ford might also feel like winning just isn’t worth it. There's no guarantee a team will make big money from races, and in most cases, they probably have to cover a lot of the costs themselves. In the end, Ford might’ve just decided it’s not worth the hassle. Business decisions usually have to make financial sense, and maybe Ford doesn’t see NASCAR as a smart investment anymore. They might feel like it's a waste of money, especially in times like these when they’d rather put that cash toward something else.

From what I know, a NASCAR team that wins can earn somewhere between 8 and 15 million USD per race. That sounds like a lot at first, but when you factor in how expensive it is just to prep for a race, it might not actually be that profitable. The costs can be huge, and if the return isn’t great, it makes sense why Ford might want to step away—especially with the current economy. They probably didn’t make this decision overnight either; it was likely something they’d been thinking about for a while.

Let’s say a team as big as Ford spends around $50 million per season—over 3 years, that’s $150 million, and that probably doesn’t even include research and all the other stuff. The thing is, Ford isn’t the giant it used to be, and it seems like they’ve realized they can’t just throw money at racing like they did back in the day. They’ve got to start thinking about saving cash if they want to survive—especially now. Eventually, they decided to stop making NASCAR race cars.

It also seems like Ford’s not really into developing racing engines anymore. They’re probably more focused on EVs and hybrids, since that’s where the future is heading—and they likely want to put their money there instead. It’s kind of like when you’re saving up to buy something important. Right now, racing just feels like a money pit to them, so they’re slowly stepping away. Plus, the prize money probably isn’t that great, so they don’t see the point in sticking with it. If they thought racing was worth it, they’d still be all over it.

Basically, it’s a shift in priorities. Ford doesn’t see racing as exciting or profitable anymore, so they bailed. They need the money for other things, and since they’re not dominating the market like they used to, they’ve got to be smart with their spending. It’s pretty simple—if racing made them money, they’d still be doing it.

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About the Creator

Pinesthi Mukti Rizky Wibowo

Hi, my name is Eky and here I will write about automotive and other things, most of the writing will be taken from my personal Quora or Medium account. Most of my writing is curated from my Quora account which I have more than 4,000 answers

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