Ducati’s Decision to Diversify Its Products

Ducati’s decision to diversify its products with the exclusive online sale of new motorcycle models is the penetration of the company to the new information age. It is certainly a starting point of the new strategy. The company should take some specific actions to sustain its lead in e-business and e-commerce:

  • Right goal: Ducati should set goals that best fit the strategy and structure. The main goal may be the return on investments. Profit generates through the creation of value. Value creation refers to the price paid by the customer, which overlaps the cost of production. The other goals may be to remain competitive in the market, have higher customer satisfaction and grab market shares.
  • Value proposition: Ducati should provide a well set of benefits that will be different from the competitors. It should develop well set of values for a specific set of customers.
  • Distinctive value chain: To establish a sustainable competitive advantage, Ducati must do some activities, which are different from their industry rivals, or at least do the same things in different ways.
  • Trade-off: Ducati should include some unique features for their product whereas not for all. It should make a trade-off between the product and the value chain. If Ducati wants to satisfy the entire customer and produce, general product for them, then its competitive advantages result in vague. So, it should integrate some characteristics while forgoing others.
  • Fit together: All the strategic and work elements of Ducati must be fit together to create a whole. By this, the coordination of the elements would ensure.
  • Continuity of directions: The main aim of Ducati is to create a strong value network. Therefore, it directs its activities toward it. The direction should be maintaining continuity for further success.
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