Why Ferrari Is Recession-Proof
Ferrari (NYSE: RACE) has crafted a story of prestige, wealth, and exclusivity around its iconic brand. As most consumers know, Ferraris are expensive-with an estimated average selling price of just over $324,000 in 2019, the cars certainly aren't cheap. But Ferrari isn't your typical car company, and it's built its business model for success in any market conditions.
The Ferrari Tributo F8. Image source: Ferrari.
Even someone with enough money to buy a new Ferrari likely wouldn't be able to. Becoming a new Ferrari owner is difficult and almost always requires proof of prior ownership. In order to buy a new Ferrari, customers must demonstrate that they have owned at least one used Ferrari in the past. This makes the cars' collectability quite appealing -- and their secondary markets considerably lucrative.
Source Fool.com
