Ducati Swot
In this report, I am discussing about SWOT analysis towards Ducati. As we know that Ducati is a motorcycle brand that specialized in the sports and racing motorbikes. Ducati has built a strong brand since 1990 and until today we still can see Ducati’s motorbike at Moto GP Racing and British Superbike Championship. The following SWOT analysis will provide more information towards Ducati’s strengths, weaknesses, opportunities, and threats from the other companies as well.
Strengths
1. Technical Excellence: during this past 5 years, Ducati has invested more for the research and development for better performance for their motorbikes. For example, Ducati latest technology is the L-Twin engine, new Hypermotard bikes, the unique exhaust system sound, and Desmodronic distribution system. 2. Efficient Value Chain ensures Quality: During 2001, Ducati has reduces their suppliers of components by 20%. It means, the company itself has produced their own cylinder heads and crankshafts to improvise their quality. So, Ducati can manage in-house quality control to ensure their consistency of high quality products. 3. Strong Brand: Ducati has a high brand loyalty back in Europe and they appear most of the motorbike racing events. Not only motorbike, Ducati also contradict with fashion product. 4. Location Advantage: high selection for suppliers, lower costs and new developed technologies give access to Ducati a larger area of knowledge. 5. Effective and Flexible Management: Ducati apply a new management that introduced fresh, new, and innovative ideas which helps them to boost up their creative avenues of growth. 6. Strategic Alliances: Ducati shares their best practices to other automotive companies, such as Ferrari and Maseratti.
Weaknesses
1. Narrow Target Audience: Ducati current customers fall into the 18-35 years old age group and they wanted to aim the older age group. The current Ducati Sport Touring model is fit for the people age 18-35 years
Strengths
1. Technical Excellence: during this past 5 years, Ducati has invested more for the research and development for better performance for their motorbikes. For example, Ducati latest technology is the L-Twin engine, new Hypermotard bikes, the unique exhaust system sound, and Desmodronic distribution system. 2. Efficient Value Chain ensures Quality: During 2001, Ducati has reduces their suppliers of components by 20%. It means, the company itself has produced their own cylinder heads and crankshafts to improvise their quality. So, Ducati can manage in-house quality control to ensure their consistency of high quality products. 3. Strong Brand: Ducati has a high brand loyalty back in Europe and they appear most of the motorbike racing events. Not only motorbike, Ducati also contradict with fashion product. 4. Location Advantage: high selection for suppliers, lower costs and new developed technologies give access to Ducati a larger area of knowledge. 5. Effective and Flexible Management: Ducati apply a new management that introduced fresh, new, and innovative ideas which helps them to boost up their creative avenues of growth. 6. Strategic Alliances: Ducati shares their best practices to other automotive companies, such as Ferrari and Maseratti.
Weaknesses
1. Narrow Target Audience: Ducati current customers fall into the 18-35 years old age group and they wanted to aim the older age group. The current Ducati Sport Touring model is fit for the people age 18-35 years
References: Cooney, J. (2005), Freedom Ride. License, vol. 8, Issue 7 (Aug 2005), pp. 20-23. Retrieved from http://www.licensemag.com/licensemag/data/articlestandard/licensemag/332005/174785/article.pdf Gayetti, G. (2004). Case 16: Ducati. In strategy: process, content, context: An International Perspective. London: Thomson.