Pirelli SWOT Analysis, Competitors & USP

SWOT analysis of Pirelli analyses the brand by its strengths, weaknesses, opportunities & threats. In Pirelli 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 Pirelli to benchmark its business & performance as compared to the competitors. Pirelli is one of the leading brands in the automobiles sector.

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

SWOT Analysis of Pirelli

For Pirelli, 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.

Pirelli Strengths

The strengths of Pirelli 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 Pirelli :

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.

Pirelli 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 Pirelli SWOT Analysis:

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

Pirelli 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 Pirelli SWOT Analysis:

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.

Pirelli 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 Pirelli are as mentioned:

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

Pirelli Competitors

There are several brands in the market which are competing for the same set of customers. Below are the top 7 competitors of Pirelli:

1. Goodyear
2. Sumitomo
3.Cooper Tyres

4. Michelin

5. Bridgestone

6. Continental
7. Yokohama

Hence this concludes the Pirelli SWOT analysis.

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About Pirelli

Pirelli Overview
Parent Company	Pirelli Tyres
Category	Tyre Industry
Sector	Automobiles
Tagline/ Slogan	Power is nothing without control. Pirelli. Gripping stuff
USP	Premium quality product with latest hi-tech features
Pirelli STP
Segmentation	High performance and premium category of automobile industry
Target Market	Cars, Trucks, Motorbike manufacturing and service companies.
Positioning	Premium product with latest technology.

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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