Alfa Romeo A market analysis on the Italian sports car maker, and the problems with declining sales UK markets
"Founded in the year 1910 in Milan, Italy, Alfa Romeo is an Italian manufacturer of sport cars. The company celebrated its centenary last year. It has set new standards in terms of technology, hi-class engineering and aesthetic designs. The company was named A.L.F.A (Società Anonima Lombarda Fabbrica Automobili) on 24 June 1910. However, in the year 1915 Nicola Romeo, an entrepreneur took over the company and renamed it Alfa Romeo in the year 1920. The first car to be launched with this name was the Torpedo 20-30 HP. Alfa Romeo has been a part of the Fiat Group since 1986. Later again in the year 2007 it became a part of The Fiat Group Automobiles S.p.A. The other successful models created by the company are the GTV6, the MiTo and the 59Ti. Some of the competitors of this company are AUDI AG, Ford Motor Company, Mitsubishi Motors Corporation, Porsche AG, Toyota Motor Corporation and Volkswagen A.G.
However, a great car brand though, but in the recent times Alfa Romeo has lost its claim to fame The company, which one sold 2,100 new cars in Ireland, dropped down to only 124 last year, says the sales report. Falling sales have badly affected Alfa Romeo's business with losses of about 300 million to 500 million Euros a year, in the mid-2000s. This was a 15 - 20% fall in the Alfa's annual revenues. Recent reports say that the company has set a target of selling 170,000 units in 2011 and 500,000 units by 2014, with plans to re-launch its products in US, since its exit in 1993.
With its declining market in the U.S. the company, in order to revive it the company created the 155 and launched it in Europe in 1992 but unfortunately the car was unable to do much business and its export to the United States was stopped. Alfa Romeo's car manufacturing gradually declined about 24% to only 109,598 units mostly sold in Europe. In the year 1998, Alfa Romeo was back with a bang with its new 156 sedan, which won the European Car of the Year award. The car showed good business with orders of about 200,000 cars from over the world. It saw success again with the launch of the 166 sedan. It gave a good competition to the Mercedes E series. However, this come back was not enough with losses of about US$100 million in 1999. In March 2000, the company signed a partnership with General Motors. Fiat further approved of its target to go back to the U.S. market as early as 2004, which was never materialized. Recent reports say that the company is due to launch in U.S. in 2013 with its Alfa Romeo 4C and the Alfa Romeo Giulia sedan, which is intended for mass production."