Ducati Strategic Analysis

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Ducati Strategic Analysis


The economy has changed and we are living in the information era where customers are everyday more and more informed, more sophisticated, and more demanding. Ducati faces a great challenge which is the one to react to fast changes and to select the adequate strategies that will allow it to do so.

Through our project we intend to analyse the current trends of the motorcycle industry, where it is heading and what place Ducati occupies in it. Once we understand the whole picture we will go in depth, analysing it and decomposing it into bits and pieces to better understand why it occupies this place, and what strategies it must take to maintain and improve its position and itself as a whole.


In order to provide a deep and complete analysis of the Motorcycle industry we provide an extended Porter’s five forces framework, because as we know this framework has several flaws and we have reinforced it with the factors we think affect the industry and alter its profitability.


The market can be divided into 2 categories men and women. In the category of men Men: Men under 30 group accounts for 44% of all sales. Therefore, a great opportunity exists here because of the group's size. This group's members buy motorcycles for their transportation and recreation needs. Men in this group buy more of mopeds, scooters and entry level lightweight road bikes. Men between 30 and 50 makes up 45% of buyers. The motorcycles most frequently purchased are the heavyweight tourers and cruisers. Many buyers are married couples looking for an alternative to taking the car out for weekend drives to the country. Men over 50 group accounts for about 11% of motorcycle sales. The heavyweight touring class and the middleweight road bike categories account for most of the sales here. Women group is a segment that is growing at a fast rate, and represents an opportunity area.


Three types of products and services are being offered in the motorcycle industry: motorcycles, accessories, and financing services. But te main products are motorcycles. which includes mopeds or scooters (125cc), accounting for about 17% of total motorcycle sales; lightweight motorcycles road bikes, dirt bikes, dual purpose bikes (1255cc to 499cc), accounting for 51% of sales; sport motorcycles street bikes, and...

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...so they create customer loyalty. Fifth, increase our production efficiency by rationalizing manufacturing processes, reducing complexity and implementing a “platform” approach. Sixth, and most important for the future of Ducati is to develop an internet business by creating an internet site (www.ducati.com) where you can look at the catalogue for motorcycles, spare parts, the latest racing news, a virtual Ducati museum and contacts for local dealerships. the Internet business should be a separate subsidiary focusing on our Internet initiatives and the on-line strategy should aim to leverage the Ducati brand and racing heritage with the goals of increasing sales opportunities, operating efficiencies. information and a community space for Ducati enthusiasts. The E-Commerce should be developed in two main channels : Business-to- and Business-to-Business-to-Consumer


1. www.hoovers.com

2. www.ducati.com

3. Unicredito, Ducati outperformer company update. 2 december 1999.

4. Jelassi, Tawfk. Embarkin on e-business at ducati motorcycles (Italy). June 2001

5. Edge, Dirck. Ducati following Ferrari success strategy? (www.motorcycledaily.com)

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