------------------------------------------------- Subject: Ducati This memo will serve to identify the resources‚ capabilities and activities that are central to the competitive advantage of Ducati. Also included is an attempt to summarize the strategy essence of the firm as well as to suggest a thesis statement for Ducati. Ducati’s best resources center on their brand name (dating back to 1926)‚ their signature Desmodromic valve distribution system‚ and their collection of top-notch engineers
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In the summer of 1996 Frederico Minoli was appointed as the CEO of Ducati in order to lead the company into a new era of profitability and to establish Ducati as a brand to contend in the sports motorcycle segment. Minoli was faced with a company which‚ despite having a team of top engineers‚ had gained a reputation for average quality as a result of inefficient production and poor management. It was Minoli whom later described Ducati’s top management as operating in “a structured chaos”‚ as he believed
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Introduction Ducati nearly faced on bankruptcy 1996 though it has good reputation on the famous mechanical system and its unique extreme performance. In the fierce competition with the domination by Japanese companies with high technology‚ it is difficult to survive or even recover from bankruptcy. Fortunately‚ the explosive growth and profitability occurred from 1997 led by the CEO‚ Federico Minoli. This document is the case study of Ducati recovering to a position owing a certain amount of market
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differences between the VRIO-framework and the SWOT-model. Before I will explain this‚ I will first give you an insight in the meaning of these two models. SWOT-model: [pic] A SWOT Analysis is a strategic planning tool used to evaluate the Strengths‚ Weaknesses‚ Opportunities‚ and Threats involved in a project or in a business venture. Strengths and weaknesses are internal to an organization. Opportunities and threats originate from outside the organization. A SWOT analysis‚ usually performed early
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following assignment questions in my International Business 305 class regarding Cameron International Corporation: 1. Determine which institutional and risk factors must be considered and whether they support entry or not. 2. Conduct a VRIO analysis to determine whether entry is supported. 3. Assess existing cultural issues to determine how they should be addressed should the company enter the market. 4. Determine if the company should pursue FDI with potentially more risk and higher
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manufacturing industry so attractive? Ducati has found major success in the motorcycle industry with its stylish and performance driven vehicles. Although several competitors have decided to leave the industry‚ Ducati believes the industry to be attractive for several reasons. The fact that a Ducati product is a niche product works towards the company’s favor. As any niche product‚ the consumer’s are very particular about purchasing the Ducati brand and the Ducati brand only. This creates a set of consumers
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1Barney and Hesterly (2006)‚ describe the VRIO framework as a good tool to examine the internal environment of a firm. They state that VRIO “stands for four questions one must ask about a resource or capability to determine its competitive potential: 1. The Question of Value: Does a resource enable a firm to exploit an environmental opportunity‚ and/or neutralize an environmental threat? 2. The Question of Rarity: Is a resource currently controlled by only a small number of competing firms
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Apple Inc. Case Study # 1 iPhone [pic] Professor Chug-Shing Lee BUSA 499 Capstone October 1‚ 2008 Analysis Conducted By Apex [pic] Ryan Boykin Ashley Fiorini Lance Tanaka Matt Webb Executive Summary Apple has demonstrated that innovation can lead to market dominance with products like the iPod. With products such as this‚ Apple has developed a brand that has built a customer base with astonishing loyalty. According to Business week‚ Apple was thirty third for top
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Barney and Hesterly (2006)‚ describe the VRIO framework as a good tool to examine the internal environment of a firm. They state that VRIO “stands for four questions one must ask about a resource or capability to determine its competitive potential: 1. The Question of Value: Does a resource enable a firm to exploit an environmental opportunity‚ and/or neutralize an environmental threat? 2. The Question of Rarity: Is a resource currently controlled by only a small number of competing
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Analysis of External Environment of Ducati (Answer of Q. 2) In classical strategy literature‚ competitive advantage of a company is generally attributed to the management’s ability to position the company’s assets against some external context (Mintzberg et al‚ 2005 & Juga‚ 1999). This external context is referred (Porter‚ 2004) as external environment for a particular company. According to Johnson et al (2008:54)‚ the environment is what gives organisations their means of survival.” So‚ it
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