Because of the recent global recession, consumers are not willing to spend on luxury goods to be saturated as many consumers perceive the product as a premium product; Ferrari can therefore produce the different model of automobile that can suit different set of people and also at various ranges of prices for its to compete like other competitor like Toyota, Honda, Ford etc at the marketplace.
Place.Place can also be referred to as the distribution channel which is used by producer or service provider to reach the indented target market. There is need for producer to make its products available in adequate quantities, in convenient locations and at times when customers want to buy them. It is important that producer need to consider not only the needs of their ultimate customers but also the requirement of channel intermediaries, that is those organizations or agents that facilitate the distribution of product to customers. Establishing an appropriate channel of distribution is critical for marketing success. To achieve a fully effective marketing mix the element of place is to be studied, this element can be referred to as distribution. Distribution channels are the links that connect marketing organizations together and are used to transfer products from distributor to end consumer or final markets.