Professor Ferdinand Dudenhoeffer, managing director of Bochum, Germany based automotive analysts B&D Forecast, reckons the Fiesta will succeed in its demanding and crucial role, and says Ford Europe can be the lead dog for Ford's recovery plan. 'The Fiesta is more than a new car for Ford. It is a philosophy for a new period for Ford. Ford can come back in the States within the next two years by implementing the strategy of Ford of Europe, i.e. the strategy of its first real world car, the Fiesta,' Dudenhoeffer said. Dudenhoeffer points out though that this isn't the first time that Ford has attempted a world car strategy. 'This is Ford's second approach to the world car. The first one failed during (former Ford CEO) Alex Trotman's time (during the 1990s),' he said. Will it hit the spot this time?Ford Europe tried to sell its Mondeo family car in the U.S. as a Ford Contour and Mercury Mystique, but this wasn't a success because the European car was said to be too small. In the 1980s a plan to sell the smaller Escort in the U.S. also stumbled. Ford hopes that because of higher gas prices and changing customer demands, European vehicles will hit the spot this time. One thing is for sure. The quality and drivability of Ford's European cars has zoomed ahead since the 1990s. Ford of Europe has transformed itself from being a maker of cars which seemed to be designed by accountants, to one with a reputation for making cars fit for enthusiasts. Dudenhoeffer also points out that Ford of Europe is leading the way in manufacturing quality and efficiency. 'Ford of Europe is today the benchmark in production systems and methods in Europe. They are really lean. There is no carmaker which can manage to produce small cars profitably in Germany, except Ford. In Cologne they need some 13 hours to assemble a car. That shows their efficiency. They trained the work force step by step. They run at full capacity,' he said. Model T comparisonFord has been talking up the importance of the Fiesta by comparing it to the iconic Model T. 'The new Fiesta is a landmark moment for Ford. It is our most significant global vehicle product since the Model T and heralds the future for Ford product development,' Ford said. In Europe, the Fiesta will be built in Cologne, Germany and Valencia, Spain, and will have various diesel and petrol engines from 1.2 litres to 1.6 litres. The cheapest, 1.2 litre version's price will start at $16,500 after taxes, in Germany. The U.S. versions will have a trunk, because of Americans' apparent aversion to hatchbacks. No decisions have been announced yet about U.S. engines and transmissions. Beauty is in the eye of the beholder, but most seem to agree that the Fiesta is exceptionally pretty. On the highways and hill roads around this medieval city, the Fiesta was terrific to drive with accurate steering that was almost BMW-like. The ride was comfortable and quiet, even at European highway speeds. The interior quality was first rate. One version you won't be seeing in the U.S. is the ultra-green Fiesta ECOnetic, which has a 1.6 litre 89 bhp diesel engine (it's too dirty to pass U.S. regulations) returning an average 63.5 miles per U.S. gallon. The ECOnetic has improved aerodynamics, low rolling resistance tires and enhanced lubrication, helping to wring the longest possible distance out of the fuel tank. Markets weakeningGlobal Insight analyst Colin Couchman worries that although the Fiesta seems very competitive as a design and right for the current market, it is making its debut at an unfortunate time, as the European markets begin weakening badly. But he sees Fiesta sales in Western Europe hitting 400,000 a year by 2009, and staying there until beginning to slip in 2011. In 2007, Ford Europe sold about 350,000 old Fiestas and should sell about 330,000 old and new ones this year. Couchman said GM Europe, with its Opel, Vauxhall and Saab brands, is also using European designs to sell globally as well as in America, including an Opel model for Saturn. 'We think Ford is doing something similar. It will take a European design and develop this for other markets. For instance, adding two seats to the 5-seat (Focus-derived) C-Max and adding a sliding door. The Kuga too (a Toyota Rav4-sized SUV) might be a bit small for the U.S., but it does have a quite funky design,' said Couchman. Walt Madeira, Manager, European Sales Analysis for CSM Worldwide, also sees great success for the Fiesta, while Ford should at least keep its market share steady in Europe. 'I think it's a great car for Ford of Europe and hopefully the success will be global. It's a couple of notches above the predecessor, and should work well in all markets -- Ford has done its homework,' Madeira said. Madeira expects Ford's medium term market share in Western Europe to hold between eight and 8-1/2 percent. This year's market share is expected to hit 8.4 percent, after about 8.2 percent last year. Market share steadyIn the first 7 months of 2008, Ford Europe's Western Europe market share held steady at 8.4 percent compared with the same period of last year, according to Automotive Industry Data. Madeira sees Fiesta sales in Europe, including Russia, to hit 400,000 next year, and 450,000 by 2010 before slipping back to 375,000 by 2012. Global Insight's Couchman believes Ford Europe is doing most things right. 'It's definitely on the right track. It makes cars now that do really well in magazine tests, the motoring testers like Ford. It's used lots of time and money modernizing the range with the kinetic design and modern gadgets,' he said. There is one area which still refuses to be reformed; the lack of brand power. Ford is still unable to demand premium pricing, with its public perception as being only the equal of other mass market brands in Europe. 'That will take time (transforming a weak brand). It's a function of all of the above,' said Couchman. Neil Winton, European columnist for Autos Insider, is based in Sussex, England. E-mail him at [email protected]