Lexus SWOT Analysis, Competitors & USP

Published by MBA Skool Team, Last Updated: April 27, 2020

Lexus SWOT analysis evaluates the brand by its strengths, weaknesses, opportunities & threats. In SWOT Analysis of Lexus, 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 Lexus to benchmark its business & performance as compared to the competitors, and make strategic improvements. Lexus is one of the leading brands in the automobiles sector.

The article below lists the Lexus SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Lexus SWOT Analysis:

SWOT Analysis of Lexus

For Lexus, 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.

Lexus Strengths

The strengths of Lexus 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 Lexus :

1. Lexus is extremely prestigious in the luxury segment

2. Stylish and dynamic design which reduces aerodynamic drag providing swift drive

3. Motto of Lexus cars is continuous innovation to achieve maximum power from minimum fuel consumption

4. Wide range of diversified product portfolio

5. Strong presence of Lexus in racing events which builds good customer connect

6. Already forayed into hybrid & concept cars which hold tremendous potential

Lexus Weaknesses

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 Lexus SWOT Analysis:

1. Limited product portfolio of Lexus cars in growing markets

2. Tough competition means limited market share

3. Limited distribution & service network and spare part availability

Lexus Opportunities

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 Lexus SWOT Analysis:

1. Accommodating & expanding automobile market can be tapped by Lexus globally

2. Leverage the early movers advantage in hybrid & concept car segments

3. Acquire newer customers by increasing market penetration

4. More inclination of affluent customers to purchase international brand can boost Lexus sales

Lexus Threats

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 Lexus are as mentioned:

1. Perceived as a very costly brand which can lead to limited exposure to potential customers

2. Competition from other big automobile giants can affect Lexus' business

3. Product innovations and frugal engineering by competitors

Lexus Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 10 competitors of Lexus:

1. BMW

2. Audi

3. Mercedes Benz

4. Ferrari

5. Jaguar

6. Aston Martin

7. Bentley

8. Lamborghini

9. Porsche

10. Maserati

Hence this concludes the Lexus SWOT analysis.

Continue reading more about the brand/company.

About Lexus

Lexus Overview
Parent Company



Sports Car, SUV, Sedan, convertibles



Tagline/ Slogan

Engineering the impossible; Pursuit of perfection


A dedicated luxury vehicle division by Toyota, Lexus has been manufacturing luxurious and most efficient cars delivering maximum power from minimum fuel usage

Lexus STP

Luxury cars for Elite class

Target Market

Targeted towards extremely affluent customers seeking ultimate luxury


Lexus is positioned as a company continuously seeking perfection through adoption of latest and most innovative technologies

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.

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