Piaggio (B)

Case Analysis

Piaggio, maker of the Vespa motor scooter must decide whether to outsource the production of a new engine. The decision will be surrounded by uncertainty about the achievable sales volume for the engine, especially as competitors’ new and less expensive products are becoming increasingly popular. Case A (UV1607) provides an overview of the competitive style of each of the major manufacturers and offers a discussion of their core competencies. B The case describes what happens in the market and Pia … Read more »

Piaggio, maker of the Vespa motor scooter must decide whether to outsource the production of a new engine. The decision will be surrounded by uncertainty about the achievable sales volume for the engine, especially as competitors’ new and less expensive products are becoming increasingly popular. Case A (UV1607) provides an overview of the competitive style of each of the major manufacturers and offers a discussion of their core competencies. B The case describes what happens in the market and Piaggio, after the company has built the engine.
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from
Jeanne M. Liedtka,
Pablo Ciano
Emily Jean Gibbons
Source: Darden School of Business
6 pages.
Publication Date: Aug 17, 2000. Prod #: UV1609-PDF-ENG
Piaggio (B) HBR case solution