Published on September 12th, 2014 | by Daniel Sherman Fernandez0
Ferrari To Increase Production
Ferrari will build more cars than previously planned after Sergio Marchionne, CEO of parent Fiat Chrysler Automobiles, takes the top job at the supercar maker next month. The plan contrasts with the strategy of Luca Cordero di Montezemolo, who resigned as Ferrari chairman on Wednesday after 23 years following a clash with Marchionne. Montezemolo wanted to limit the company’s volumes to 7,000 cars a year to safeguard its exclusivity. Marchionne indicated in May that the brand had the potential to sell about 10,000 vehicles annually.
Marchionne, who will become Ferrari chairman on Oct. 13, said he plans to gradually increase production of vehicles like the $1.3 Million LaFerrari to keep pace with growing numbers of ultra-wealthy consumers. “If that class increases, we should be able to follow them,” Marchionne said today at an event in Balocco, Italy. Otherwise, “the waiting list will become too long, and people get tired.”
Ferrari, based in Maranello, Italy, is 90% owned by Fiat and a key component of Marchionne’s plans to expand in luxury cars following the merger to create Fiat Chrysler Automobiles. Montezemolo, who took charge of the unit in 1991, wanted to maintain Ferrari’s autonomous status and not become a subsidiary like Volkswagen Group’s Lamborghini.
“People should not underestimate the importance of Ferrari for the group,” said Marchionne. “Structurally, in terms who we are as carmaker, they have and will continue to define us.”