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.
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.