MERGER BETWEEN AUDI & DUCATI

Presented By: Ashwini Praveen

Introduction to AUDI
German Based Company

Founded by August Horch in 1885

Subsidy Of Volkswagen since 1966 Revenue 2011: Exceeds $500 Million worldwide

Introduction to DUCATI
In 1926, three brothers, Adriano, Marcello and Bruno Ducati founded Ducati

Italy Based Company

Revenue 2011 : $ 209.1 Million

Market Share Data

Market share Data of 2011

Market Share Data

The Merger/Acquisition Summary

Style: Friendly Rename: No . Same Brand Names continued Purpose: Increase Sales Strategic Mode: Development

 The Deal: Audi Purchased Ducati $1.12 Billion

Market Share of Audi: 9%.

Combined market share: 10% (Approx).

Audi & Ducati Key Features

2012 , Audi acquired Ducati To increase market share & Sales. Technology is Unique in both companies. Investment-$1.12 Billion , Ducati had liabilities of just $200 thousand.

Features Continued
Audi Has greater sales to BMW & Mercedes Both Have Sports version customized for customers needs Audi is famous brand in Luxury compartment & Ducati is famous for its sports bike

Audi & Ducati - Merger Advantage

The Brand image of both the companies is boosted. Increase in Sales. Increase in market share.

Can offer more Customized Service to customers from Volkswagen

Audi and Ducati - Synergies

Operational Synergies Technology Synergy Investment synergy

Are these Automobiles Mergers working?

Subjectivity: The customers cant resist such a customised service offer & brand names.

Objectivity: Increase Sales