Published by MBA Skool Team, Last Updated: April 12, 2020
SWOT analysis of Rexel analyses the brand by its strengths, weaknesses, opportunities & threats. In Rexel 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 Rexel to benchmark its business & performance as compared to the competitors. Rexel is one of the leading brands in the IT & Technology sector.
The table below lists the Rexel SWOT (Strengths, Weaknesses, Opportunities, Threats), top Rexel competitors and includes its target market, segmentation, positioning & Unique Selling Proposition (USP).
‘Energy in motion’ – bringing about dynamism in the market
SWOT Analysis of Rexel
Below are the Strengths in the SWOT Analysis of Rexel:
1. Strong product portfolio - Rexel offers a broad range of products and services that aim to respond to all of the needs of contractors, as well as those of industrial and commercial customers 2. Strong service network for customers across all the product families 3. Strong global presence - The company operates in 35+ countries across North America, Europe, Asia-Pacific and Latin American regions, with 2,300 branches 4. Revenue structure is globally diversified which shows global penetration
5. Over 28000 employees are a part of the organisation
Here are the weaknesses in the Rexel SWOT Analysis:
1. involvement in a large number of legal litigations negatively impacts the company’s brand image 2. Rexel is highly indebted and Low availability of funds for growth opportunity due to high debt-servicing costs
Following are the Opportunities in Rexel SWOT Analysis:
1. Growth opportunities through mergers and acquisition, Rexel acquired Munro Distributing Company, an innovative electrical products and services distributor specializing in energy efficiency solutions in the Eastern US and California 2. Expansion of equipment market - the global electrical components and equipment market is expected to grow 3. Rising focus on global sustainable energy to benefit Rexel as it manufactures low and ultra-low voltage electrical products
The threats in the SWOT Analysis of Rexel are as mentioned:
1. Intense competition, based primarily on breadth of products, quality, services, price and geographic proximity 2. Fluctuation in global copper prices is a threat as most of the company’s raw material is composed of copper 3.High dependence on few suppliers for raw materials – 25 of top suppliers provide 50% of its raw material; any impact on these suppliers would directly affect the company
Below are the top 6 competitors of Rexel:
1. Consolidated Electrical Distributors, Inc.
2. Graybar Electric Company, Inc.
3. W.W. Grainger, Inc.
5. Sonepar SA
6. WESCO International, Inc.
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