Analysis of Michelin's Business Activities

Absence in the two and three wheeler tire segments is one of the weaknesses of Apollo as it will affect the company competitiveness. (Market line, 2015) Unfortunately, rivals of the company which included CEAT and MRF are providing tires for customers in two wheeler product segment. (Market line, 2015) An intense development recently has been observed in the Indian two wheeler market. (Market line, 2015) Based on industry forecast, in the year of 2016 and 2017, around 22-23 million units of two wheelers will be sold. (Market line, 2015) Therefore, Apollo should combat this weakness by treating this as an opportunity for company to increase competencies

Michelin Group, the French tyre manufacturer, is the second largest tyre manufacturer in the world, which through classifying product lines rely on its own area activities to fulfill the demands of customers and optimize its market (Michelin.co.uk, 2017). Michelin owns over 69 manufacturing factories in at least 18 countries around the world, with annual productivity of 180 million tires, 10 million copies of the map, and guides.

CarMax has a mission statement that says “To provide our customers great quality cars at a great prices with exceptional customer service.” The major goals of the company are to offer tens of thousands of used cars across the country, sell every car with a lo, no-haggle price, provide only vehicles of superior quality that meet their high standards, buy cars from customers, whether they buy from them or not and deliver friendly, on-of-a-kind customer service. CarMax does seem to live up to these standards based on all the awards the company has received such as the Gallup Great Workplace Award, 2008, 2009, 2014 and 2015, American Business “Stevie” Award, 2007, Best Overall Company, Best Place to Buy a Used Car –Charleston City Paper, Charleston,

2) Goodyear’s Tires brand image maybe hurt. Due to the fact that Sears sells mostly tires that are not premium quality, consumers may start to think Goodyear as a moderate brand and not as a high-quality product as it has been positioned. 3) Consumers of tires are becoming more price conscious and less brand loyal, thus they easily proceed into brand switching and erode the importance of securing replacement sales through original equipment sales to vehicle manufactures. 4) Dealer-sponsored private-label tires accounted for 15% to 20% of total replacement tire sales in the US in 1991.Many dealers are able to influence choices and push their private-label tires to obtain higher margins.

Being the headquarters of the Michelin tire company, this major export have profoundly shaped their economic stance. Contradicting the presence of a small market, Auvergne has shown to thrive by developing other companies such as the Volvic Mineral Water, Limigrain, Centre France-La Montagne, and more. The contribution of these companies have exported more than 75% of their

TOM Tyres’ corporate tax rate is 40 percent. Annual inflation is expected to remain constant at 3.25 percent. Automotive industry analysts expect automobile manufacturers to produce 2 million new cars this year and production to grow at 2.5% per year thereafter. Each new car needs four tyres (the spare tyres are undersized and are in a different category). TOM Tyres expects the SuperTread to capture 11 percent of the OEM market.

Jimmy Choo is a global accessories brand producing mainly shoes. The main focus on their products are glamour, style, craftsmanship, luxury positioning and it is a distinctive iconic brand . It is born in 1996 from an entrepreneurial start up partnership together with Mr. Jimmy Choo, OBE and Tamara Mellon. Jimmy Choo’s headquarters is located in London. In 1998, Jimmy Choo became an innovator in Hollywood, being the first accessory brand to offer award nominees and presenters customized shoes for their red carpet appearances. This helped the brand’s presence on the red carpet making it one of the most favored brands among the celebrities. Jimmy Choo was acquired by JAB luxury in 2011. They

Quartet Enterprises is a business primarily set up to import confectionary and whole sale product to large and small chain stores and super markets around Australia. It consists of four partners with equal equity commitments and entitlements. Our first product released in the market will be Stride chewing gum a proven success in the United States of America.

First, The Goodyear Tire and Rubber Company is a major competitor of Bridgestone Americas, Inc. The company Chief Executive Officer and President is Rich Kramer. Goodyear is often recognized as a top tire company. The company operates on the premise of quality and integrity drives the innovation embedded in their products. In addition, Goodyear has been in existence over 116 years. The company provided products to consumers under several brands. The brands are Goodyear, Fulda, Dunlop Tire, Sava, Kelly

Target Corp. began in 1881 as Dayton Dry Goods Company in Minneapolis by George Draper Dayton. Mr. Dayton heralded his company as having “dependable merchandise, fair business practice, and a generous spirit of giving.” The company continued to thrive and in 1902, became the 4th largest department store in Minneapolis when it partnered with Goodfellow’s Dry Goods Company. In 1911, after becoming a sole owner, Mr. Dayton renamed the company to Dayton Company. In 1920, Dayton Company revolutionized the way merchandise was transported across the United States when they started using airplanes when a freight-handlers strike occurred, stopping ground transportation. We can see the effects of this today.

The smart tire has great potential to develop. Our biggest competitor is a spare tire. We are planning to differentiate ourselves by providing high quality and reliable product that allows the drivers to drive reassuring from getting a flat tire. Currently, Smart Tire has no developed plans. As profits come in and our business base grows Smart Tire developing will be done.

Quality: The Discount Tire stock is enough in all the major models to meet the demand of many consumers. The Michelin Company has manufacturing plants in Europe and North America. For that reason they can provide a large of variety of tires, for example 56 versions for the MICHELIN® Defender.

“We happen to be a marketing company that sells beer.”- William Hickman, Vice President and CIO of Anhesuer-Busch (Field, 2000)

Continuing on from my week 4 assignment as a continuation of our capstone project, I will be conducting a strategic audit analysis of my chosen company Subaru. In this strategic audit analysis I will discuss the following criteria:

1. Yes, joint venture benefited Renault and DINA and it is the best option for both companies. Renault is a multi-national company that get cooperation of a local non-competing company in Mexico, Diesel Nacional (DINA). These companies created an International expansion joint venture named Renault Mexicana. They originated from two different countries, France and Mexico. Renault has developed a product that it seeks to market in Mexico, and DINA has the privilege to be situated in that country. Renault formed a joint venture with DINA to enter the Mexican market.