Published in IT & Technology category by MBA Skool Team
Arrow Electronics is one of the leading brands in the IT & Technology sector. Arrow Electronics SWOT analysis evaluates the brand by its strengths & weaknesses which are the internal factors along with opportunities & threats which are the external factors. Let us start the SWOT Analysis of Arrow Electronics:
Huge product portfolio – one of the broadest in its segment
High global presence – in about 80 countries and territories
Strong employee base, of about 16,000 employees worldwide
Customer base is huge– caters to over 1,00,000 customers across the globe
It is one of the most reputed electronics companies in the US
Above are the strengths in the SWOT Analysis of Arrow Electronics. The strengths of Arrow Electronics looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.
Arrow Electronics Weaknesses
Arrow largely relies on the demand of its products and services originating from the semiconductor
The sale of its major products are cylical this means marked periods of boom and slump
Declining financial performance – with net profits dropping is a concern
These were the weaknesses in the Arrow Electronics SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.
Arrow Electronics Opportunities
High focus on inorganic growth – through mergers and acquisitions enables the company to leverage on the strengths of the companies it acquires, some of which are – Redemtech and Global Link Technology
New distribution tie-ups, helping to increase penetration in newer areas – in August 2013, it tied up with Emerson Network Power’s Liebert infrastructure support products
Arrow signed a distribution agreement with KORE Telematics, a wireless services provider specializing in the machine-to-machine (M2M) communications market
Above we covered the opportunities in Arrow Electronics SWOT Analysis. The opportunities for any brand can include prospects of future growth.
Arrow Electronics Threats
Intense competition, particularly with respect to prices,franchises, and product availability
Stringent laws that need to be complied with among them - EU Restriction of the Use of Certain Hazardous Substances and Waste Electrical and Electronic Equipment Directives, the EU REACH (chemical registration) Directive, the China law on Management Methods for Controlling Pollution by Electronic Information Products, and various other laws
Major revenues are generated from international businesses, this poses a threat as global fluctuations will greatly impact the company
The threats in the SWOT Analysis of Arrow Electronics are as mentioned above. The threats for any business can be external factors which can negatively impact its business.
Hence this concludes the Arrow Electronics SWOT analysis.
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About Arrow Electronics
The table below gives the brand overview along with its target market, segmentation, positioning & USP
Specialised services and expertise across the product lifecycle
Arrow Electronics STP
Electronic components and enterprise computing solutions
Corporates, electronics manufacturers, SMEs
Connecting customers to the right technology at the right place at the right time and at the right price.
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