Wednesday, November 5, 2014

Lamborghini competitive advantage





 Lamborghini competitive advantage



Before I justify my topic why Lamborghini unique competitive advantage made it stand out from the automobile giants, I like to tell you a short the history Lamborghini. Ferruccio Lamborghini, founder of Lamborghini, before starting Automobile Lamborghini S.p.A, his company manufactured farm tractors. As he grew successful, he bought a brand new Ferrari. After driving a car for a week, he was not happy with the gear change, and took it to the factory for tuning. After making some adjustment, the car was sent to him. But he was not satisfy and complain that the problem wasn’t solved to his satisfaction.
Lamborghini knew how to build a gearbox that will smoothen the performance. Ferrari workers disassemble the gearbox, and put it back but to Lamborghini there were no change in the performance. He went to Enzo Ferrari who told him, “Signore Lamborghini, we’ve looked at your car, we tested the gearbox, and we’ve done everything we could. We believe that the problem is not with the gearbox, the problem is with the driver.”


Lamborghini was furious and decided to build his own car and thus the Legendary Automobile Lamborghini was created. Everybody thought that he was mad to build such a car that will compete Ferrari. But to Lamborghini the idea was clear and build 350 Gt which was a masterpiece.
                                                                               


Competitive Advantage:

The story of Lamborghini is reminder of how to create a unique and significant competitive advantage by applying simple principles:

The unique design of Lamborghini made it stand out from the automobile industry. The design of Lamborghini cars interpreting the values of timeless innovation, intrinsic with the Italian artistic culture. The unique design, instantly recognizable style has achieved in pleasing the taste and demands of markets all over the world.

Many people don’t care about car’s engine sound but for a sports car enthusiast sound does matter and the brutal sound of Lamborghini V12, V10 is music to ears. It make one of the most spectacular sound ever. Many people buy Lamborghini for the distinctive sound it makes.
 
For Lamborghini power and speed are everything. To boost up the speed and power they tune the car to its limit and beyond. The recent Lamborghini sesto elemento proves their passion and innovation for achieving extreme power and speed. sesto elemento has no dashboard, no seats, the made foam pads and stuck then in the body. The whole body of sesto element is made of complete new material, bland of carbon and plastic. This is to lighten the car so that it can achieve extreme speed and speed and that what it gets. With its amazing output of 570 horse power, sensational power-to-weight ratio of only 1.75 kilograms per hp and 0 to 100 km/h (0-62 mph) acceleration of only 2.5 seconds. The obsession of Lamborghini for power and speed is one of the most important competitive advantage.

Moreover, Lamborghini also make exclusive cars for the niche target market. This cars are limited addition cars and made only for some special customers. Like, 



Reventón (2008-2010) made just 20 coupe and 15 roadster which sold at 1 million euro each (tax free).  Its V12 produce 640 horsepower and can accelerate from 0-60 mph in 3.4 second and achieve speeds of 211 mph(339km/h).








 Sesto Elemento(2012) only made 20 with extreme lightweight construction thanks to advance carbon fiber technology, its weight only 999kg and its V10 produce 570hp, giving it power to go 0-60mps only 2.5 seconds which is bugatti Veyron territory.







Veneno will be made just 9 of them. The power of Veneno provided by 6.2 litter V12 producing more than 750hp and. Its futuristic design and extreme power make it one of the most expensive car in the world starting price $4.5 million.









 
Egoista(2013) only 1 piece was made. On the 50th anniversary of Lamborghini debut an extraordinary and ultimate supercar Egoista. It borrowed a lot of design from Veneno with f1 style nose and angular body.









This cars are very rare and build for exclusive customers only. Perfection and innovation are main reason why this company is dominating the market. The are taking the super car to a whole new level and building cars that are only seeing on drawing book or poster.






Reference:

http://www.lamborghini.com/en/history/1963-1964/ 

http://auto.howstuffworks.com/lamborghini-reventon1.htm 

http://www.lamborghini.com/en/masterpieces/sesto-elemento/overview/