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Essay / F1 Team Case Study - 1625
For example, there are only 11 teams in the F1 championship. Some of them are pure racing teams. From the budget table, we can see that some of them are tiny. Adapting to these changes could be a big challenge for them. Even if one of the objectives of these changes was to eliminate certain teams. However, if the challenge is too difficult, only three or four teams survive after these changes. The F1 Championship will increase in value, and decreasing competition will slow the improvement of these surviving teams. Things will go in another direction if they start aligning with other teams. Lotus F1 may align with Red Bull and other teams. They may share some fundamental developments for these disruptive changes. Thanks to this, on the one hand, each team can save money on product development and adaptation of new rules. On the other hand, they can maintain the development advantage, which is the key to winning the