Sumitomo Electric SWOT Analysis, Competitors & USP

Posted in Automobiles, Total Reads: 1602

SWOT Analysis of Sumitomo Electric with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis

Sumitomo Electric

Parent Company

Sumitomo Electric Industries Ltd.


Automobile Parts, Electronics



Tagline/ Slogan

Ingenious Dynamics


Cutting edge products with a high focus on quality

Sumitomo Electric STP


Automobile assembly parts

Target Group

Automobile manufacturers looking to outsource high quality auto parts.


Supplier of finely engineered automobile parts

Sumitomo Electric SWOT Analysis


Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of Sumitomo Electric. Strengths are:

1. Impressive global presence with 350 subsidiaries in 30 countries
2. Stable and highly diversified since it serves many business areas apart from automobiles – Electronics, Information & Communications, Environment and Industrial materials.
3. Second-largest market share in the world for automotive wiring harness business.   
4. Separate, aggressive R&D division with an intensive focus on new products.

5. Strong brand reputation and reliability leading to several project awards from governments and business customers

6. Company has 60+ years of expertise in the automotive supplies industry.

7. The company has over 200,000 employees in the workforce


Here are the weaknesses of Sumitomo Electric :

1. Raw material and labor cost high in Japan, where its manufacturing division is located.
2. Negligible promotional campaigns and alleged price-fixing scandal has done some damage to brand image.


Following are the Opportunities of Sumitomo Electric :

1. Weaker Yen in led to a surge in profits and the trend can be expected to continue
2. Recent Business acquisitions in Brazil and Germany are expected to contribute substantially to revenues.
3. Increase in Automobile production in USA and Asia ensuring increase in demand for auto parts.

4. Process of offloading manufacturing to Thailand to take advantage of cheaper labor.


The threats of Sumitomo Electric are as mentioned :

1. Unpredictable fluctuations in the Yen could hurt profits in the long run
2. Stiff competition among auto parts suppliers to grab contracts
3. Japan trade relations not cordial with a lot of countries, impacting smooth export of auto products.

Sumitomo Electric Competition


Below are the 3 main Sumitomo Electric competitors :

1. Delphi Automotive Systems LLC
2. Fujikura Ltd.
3. Valeo

The brandguide table above concludes the Sumitomo Electric SWOT analysis along with its marketing and brand parameters. Similar analysis has also been done for the competitors of the company belonging to the same category, sector or industry.


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