Ultra luxury car industry
Luxury car industry
There are four different kinds of levels in the luxury car industry. The levels divide the actors of the market into different levels depending on their grade of luxury. We have chosen to focus on the highest level of luxury cars; the ultra luxury cars. The main players of this level are companies such as Ferrari, Mercedes-Benz and Porsche, but the level also includes the not as big companies as Cadillac, Aston Martin and Maserati 1. All these companies have in common is that they are international companies with a two-way communication between the head quarters and the different desks scattered around the world. The head quarters develop and supplies the desks with main car models while the desks receives the customers preferences so they together can produce custom made cars 2.
The companies in the Ultra Luxury Cars industry directs to a narrow group of costumers, which belongs to the upper class or upper middle class all over the world. They are all sharing almost the same main needs, which consists of status, speed and transportation. The customers achieve these needs by buying the ultra luxury cars because they represent a very high level of exclusivity, individuality and craftsmanship 3. Since the customers share the same needs overall, it could be termed as Levitt’s (1983) convergence perspective. Where the needs of customers all over the world are becoming more converged, which is typical for the market of luxury goods. Since the customers in the segment, which the ultra luxury car companies focus on, share overall the same needs and then they are localized all over the world, the industry considers a globalized market. These factors are market drivers, which, according to YIP’s Globalisation Driver framework (2003), indicate a globalization of the industry.
1 = ^ a b c "Ultra-Luxury Cars - MSN Autos". Editorial.autos.msn.com. Retrieved 2010-07-20. 2 =...