In 1926 Antonio Cavalieri Ducati and his three sons‚ Adriano‚ Marcello‚ and Bruno Cavalieri Ducati; founded Societa Scientifica Radio Brevetti Ducati in Bologna to produce vacuum tubes‚ condensers and other radio components‚ becoming successful enough by 1935 to construct a new factory in the Borgo Panigale area of the city. Production was maintained during World War II‚ despite the Ducati factory being a repeated target for Allied bombing. Ducati Factory Ducati "Cucciolo"‚ 1950 Meanwhile
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Ducati Ducati is a professional motorcycle manufacturer‚ especially in producing sport motorcycles. Ducati had been transformed from a company on the verge of bankruptcy into one of the most profitable motorcycle manufacturer by Federico Minoli. At the end of April‚ 2001‚ Ducati had gained a market share of 7% in the sport bike segment while Industry analysts agreed the company had an excellent growth potential in the following years. However‚ by ensuring the company’s profitable double-digit growth
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Ducati Q) How did Ducati become a profitable motorcycle maker despite its small scale? Before its takeover by the American private equity firm Texas Pacific Group (TPG)‚ Ducati went from being one of the top manufacturers of the high performance sport motorcycle industry to being on the verge of bankruptcy. TPG identified Ducati as a high end product with enormous potential for growth but realized that serious change was required if Ducati was to ever fulfill this potential. TPG decided to
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Strategic Management Summer 2013 Dr. Daniel Tzabbar Ducati Case Analysis Instructions: 1. Prepare a 20 min presentation discussing: a. Is the motorcycle industry attractive? If so why b. What is Ducati’s current strategy? Be specific and explain your position. c. What characteristics of Ducati’s business influenced its success? (Hint: what is the fundamental economic logic of Minoli’s turnaround? What determines willingness to pay? What determines relative cost position
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1. How did Ducati become the second most profitable motorcycle maker in the world despite its small scale? What is the fundamental logic of Minoli’s turn around? Operational effectiveness is a key to gain profitability. [p 29 What is Strategy?] Constant improvements in the following operational activities resulted in profit maximization of Ducati: Standardization of products using two crank cases and three cylinder heads provided efficiency gains in manufacturing. Moved towards a platform
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Federrico Minoli’s successful turnaround of Ducati was focused on brand creation which was supported by the reconfiguration of a number of activities ranging from increased efficiency in the production process to broadening its customer base. This turnaround can be attributed to two strategic changes that Ducati implemented; firstly Ducati increased its global reach and expanded its offerings within the sport segment and secondly it transformed itself from being a manufacturing company to an entertainment
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International Distribution Contract for Rayannes Design This contract is prepared for Malaysia This contract represents an agreement between Rayannes Design and Roszellane Razali for the period of one year commencing on the 30th of June 2011. Both parties agree to the following terms and conditions: 1. Legal Rights for Trade This contract entitles the assigned distributor for the Rayannes Design Brand the following rights in trade for the duration of the contract 1.1 To trade
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DUCATI CASE 1) How would you characterize Ducati’s strategy in terms of the types of generic strategies described in the first reading above? Marketing made by * specialized magazines‚ perfect to educate buyers about the characteristics of the bikes * non specialized magazines * racing events Technology and R&D: Ducati was innovative thanks to its desmodromic valve system and L-twin engine. It used racing competition to develop technical solution and test materials
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Margaret DeWitt Ducati Turnaround The turnaround success of Ducati was the direct result of Federico Minoli’s implementation of a differentiation strategy. As a company that was heading towards bankruptcy‚ Ducati was saved and revamped by Minoli’s specific vision for the company that were precisely presented in an extremely realistic manner. These goals for the company included double-digit growth for Ducati and equaling Harley-Davidson’s profit level. After reading the success of this turnaround
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David Ferstand 7/29/2009 The History of “Ducati” In the world of motorcycles there is a specific breed of motorcycles known as superbikes. Each breed of superbike has a rich racing history that was influenced by great designers and competition. Despite minor setbacks superbikes have dominated the world of sport bikes and lead to the development of race-inspired motorcycles. Ducati‚ one of the biggest leaders in the world of superbike competition has a very interesting line of history
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