APPLYING MARKETING KNOWLEDGE

Ferrari

For the longest time, Ferrari has been busy building a long lasting brand. By having unique cars build with precision after big considerations of the performance, innovations, design, technology and more fundamentally the driving pleasure and experience (Grant, 2016). Branding strategy is recommended as the first step for Ferrari to manage the trading down strategy aimed at amassing the medium priced type customer base within the reach and even spread further. Similarly, the strategy would work as the perfect tool for large scale deed that would set the direction of the Ferrari Company. With thorough branding strategies in terms of sales in which as a matter of fact it is being adopted by other competitors and believe it or not it works wonders. Having such brand name equity, multi-branding ought to be employed as this is seen to fetch totally different market segment (Grant, 2016).

All the same, company has to move in the direction of preceding choices in the sense that only what is viable should be considered. For Ferrari to achieve this narrowing of the target market position would put the company is the good shape as this would mean sales would be deodorized (Grant, 2016). Trading down strategy could strike a very risky move since it could mean losing the profitable, indulgence market base for they known super refined and expensive cars but at the same time raising and familiarizing another base which s good strategy. Additionally, the unfortunate manufacturing new cars would promote company heritage. Dissimilar name reduces the chances of sway and obviously such approach to Ferrari means the spending stretch would go higher in promoting the name. Shifting the markets has some consequences to bear and with good strategy Ferrari, automotive have the potential to succeed.  

 

 

 

 

 

 

 

 

 

 

Reference

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Grant, R. M. (2016). Contemporary strategy analysis: Text and cases.

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