Analysis of Formula One Business
Filed under: Business
In the gate of split of between FIA, the real formula one authority and the FOTA, eight automotive factory companies in the same consortium we need to make analysis about which one would win the battle. As we know, the FOTA team wasn’t agree with the decision made by FIA about budget cap in the limit of 40 million per year. This is very low for eight of them because they seemed that amount of money didn’t enough to develop high quality formula one car. FOTA insisted FIA to change the policy and if not FOTA will create another formula one series as the competitor of the original one. This is not a good idea for both of them because fighting and splitting of is not a way out. If they choose to split both will suffer of loss in money. Formula one business is depending on both of them so we expect both of them will raise white flag of peace.
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