Published by MBA Skool Team, Last Updated: April 27, 2020
SWOT analysis of Michelin analyses the brand by its strengths, weaknesses, opportunities & threats. In Michelin SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.
SWOT Analysis is a proven management framework which enables a brand like Michelin to benchmark its business & performance as compared to the competitors. Michelin is one of the leading brands in the automobiles sector.
The article below lists the Michelin SWOT (Strengths, Weaknesses, Opportunities, Threats), top Michelin competitors and includes its target market, segmentation, positioning & Unique Selling Proposition (USP).
To contribute to the long term progress in the field of mobility
Automobile industry, Specialty equipments
2-wheeler, passenger, luxury, SUVs. LT, HT, trucks. Bus and specialty equipment manufacturing companies
Safety, reliability, strength, durability, technologically superior and innovation
SWOT Analysis of Michelin
For Michelin, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position. Let us start the Michelin SWOT Analysis:
The strengths of Michelin looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Michelin :
1. One of the largest manufacturers of tyres with manufacturing facility in 18 countries and being sold in over 170 countries across the world. 2. Excellent brand equity with high market share 3. They have global presence with over 110,000 employees 4. Strong and competent R&D with spirit of innovation
5. They have strong financial position.
6. They have diversified portfolio with products in almost all the segments.
7. They offer ‘Maps and Guides’ and have an excellent service ‘Via Michelin’ that helps in planning a trip along with their 24/7 online shopping.
The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Michelin SWOT Analysis:
1. Stiff competition from existing tyre brands 2. Not entered the emerging economies in a big way 3. Over leveraged financial position
The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Michelin SWOT Analysis:
1. Emerging economies as huge potential markets 2. Building awareness about their other services 3. Scope for improvement in logistics and distribution system
The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Michelin are as mentioned:
1. Volatility in raw material prices. 2. Increasing prices of Crude Oil. 3. Stiff competition both from national and international companies.
4. Government Policies w.r.t export duties, import duties, tax levied on automobile industries and economic condition of nation as it determines the sale of automobiles.
5. Introduction of other transport facilities like metro, monorails and local trains keeping pollution hazards caused by combustion of automobile fuels.
6. Fluctuations in exchange rates 7. Cheaper Imports from China
There are several brands in the market which are competing for the same set of customers. Below are the top 7 competitors of Michelin:
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
Similar analysis has also been done for the competitors of the company belonging to the same category, sector or industry. Browse marketing analysis of more brands and companies similar to Michelin. This section covers SWOT Analysis, Competitors, Segmentation, Target Market, Positioning & USP of more than 2500 brands from over 20 industry sectors.
The brand names and other brand information used in the SWOT Analysis section are properties of their respective companies. The companies are not associated with MBA Skool in any way. Edit the brand or add a new one to SWOT Analysis section : Contribute