Pirelli SWOT Analysis

Pirelli Strengths

1. It has a global reach with 19 Tyre industrial plants spread across 4 continents and products being sold in over 160 countries
2. It was established in 1872 and over the decades its Brand strength and equity has increased many folds.
3. Company has been known for its product quality and ability to innovate
4. Its main market share is in South America and Europe and sales composition comprises of Car segment and Truck segment
5. Branding through sponsorships of race events, teams and the popular ‘Pirelli calender’
6. Company has best possible certifications and accreditations in Quality, Health & Safety, Environment and Social Responsibility.

Above are the strengths in the SWOT Analysis of Pirelli. The strengths of Pirelli looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Pirelli Weaknesses

1. Less market share in emerging economies like Middle East & Africa and Asia
2. Less market share in motorbike segment

These were the weaknesses in the Pirelli SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Pirelli Opportunities

1. They have growth opportunity in emerging economies like India, china, brazil etc.
2. Their strong brand equity, excellent product quality and positioning as socially responsible may take them a long way.
3. Opportunity to diversify more strategically to mitigate the risk of putting all the eggs in one basket and advertising that also.
4. Opportunity to improve its market share in motorbike category.

Above we covered the opportunities in Pirelli SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Pirelli Threats

1. There is Stiff Competition from national and international brands.
2. European economy is not growing and has reached a maturity phase but it has its max sales in European
3. 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.
4. Introduction of other transport facilities like metro, monorails and local trains keeping pollution hazards caused by combustion of automobile fuels.
5. Volatility of raw material prices
6. Fluctuation of exchange rate

The threats in the SWOT Analysis of Pirelli are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Pirelli SWOT analysis.

About Pirelli

The table below gives the brand overview along with its target market, segmentation, positioning & USP

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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