It’s hard to believe that a luxury sports car manufacturer like Lamborghini could be flushed down with the tide of the financial crisis. But facts are facts, and more so because of the figures we have received about its losses. Despite setting the record for selling the most cars in 2008, Lamborghini saw its orders trimmed down by a staggering 37.7 percent (2430 units to 1515 units worldwide) in 2009. Conversely, this has caused a steep decline in profits and losses equaling $47.6 million for 2009. The overall performance of the company has been severely affected due to the economic recession that struck Europe and the US, as well as the weakness of the dollar. Lamborghini justifies its microeconomics by claiming that the sudden drop in orders can be attributed to two major causes: The fact that many Lamborghini customers worked in finance due to which they were not in a position to buy luxury cars or that it would be insensitive for customers to show up in a brand new Lamby while their friends and family looked on with disgust and jealousy.
I agree with the first reason, but the second seems a little too bogus. Lamborghini hasn’t bogged down with its losses and has maintained its commitment to future product line which is substantiated by its 32% augment in R&D funds last year. Being a Lamborghini lover, I can only pray that it gets back on its wheels.