NAME - DARSH JAIN

UID - 7804432
CLASS - XII
SESSION: 2024-2025
SUBJECT -
COMMERCE

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 TOPIC -
SWOT ANALYSIS

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 PREFACE
Welcome to this commerce project! In this project, we will be exploring
something called SWOT analysis. SWOT stands for Strengths, Weaknesses,
Opportunities, and Threats. It's a tool that helps businesses understand
themselves better and plan for the future. Through this project, we will explain
what SWOT analysis is, why it's important for businesses, and how it can be
used effectively. We will look at real-life examples to make things clearer. By
the end of this project, you will have a good grasp of SWOT analysis and how it
can help businesses make smart decisions in a competitive world.

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 ACKNOWLEDGEMENT
"I would like to express my heartfelt gratitude to Mrs. Mahua Mukherjee, our
Commerce Teacher, for their invaluable guidance, support, and
encouragement throughout the duration of this project. I am also thankful to
Sri Sri Academy School, for providing resources and facilities necessary for
the successful completion of this project. Additionally, I extend my
appreciation to my family and friends for their unwavering support and
understanding during this endeavor."

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 INDEX

SL TOPIC PG
NO. NO.
1. Introduction 6-7
2. Need and Importance of SWOT Analysis 8
3. Limitations of SWOT Analysis 9-11
4. Conceptual Framework 12-25
5. Suggestion and Recommendation 26-27
6. Graphical Representation 28-31
7. Bibliography 32

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 INTRODUCTION

SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. A SWOT

analysis is a framework to help assess and understand the internal and
external forces that may create opportunities or risks for an organization.

Strengths and weaknesses are internal factors. They are characteristics of a

business that give it a relative advantage (or disadvantage, respectively) over
its competition.

Opportunities and threats, on the other hand, are external factors.

Opportunities are elements of the external environment that management
can seize upon to improve business performance (like revenue growth or
improved margins).

Threats are elements of the external environment that may endanger a

firm’s competitive advantage(s), or even its ability to operate as a going
concern (think regulatory issues or technological disruption).

Examples

Strengths

Strengths may be any number of areas or characteristics where a company

excels and has a competitive advantage over its peers. Advantages may be
more qualitative in nature and therefore difficult to measure (like a great

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corporate culture, strong brand recognition, proprietary technology, etc.), or
they may be more quantitative (like best-in-class margins, above-average
inventory turnover, category-leading return on equity, etc.).

Weaknesses

Weaknesses are areas or characteristics where a business is at a

competitive disadvantage relative to its peers. Like strengths, these can also
be more qualitative or quantitative. Examples include inexperienced
management, high employee turnover, low (or declining) margins, and high
(or excessive) use of debt as a funding source.

Opportunities

The “Opportunities” section should highlight external factors that represent

potential growth or improvement areas for a business. Consider opportunities
like a growing Total Addressable Market (TAM), technological advancements
that might help improve efficiency, or changes in social norms that are
creating new markets or new sub-segments of existing markets.

Threats

Threats are external forces that represent risks to a business and its ability to
operate. The categories tend to be similar to the “Opportunities” section, but
directionally opposite. Consider examples like an industry in decline (which is
the same as a decreasing TAM), technological innovation that could disrupt
the existing business and its operations, or evolving social norms that make
existing product offerings less attractive to a growing number of consumers.

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 NEED AND IMPORTANCE OF SWOT ANALYSIS
SWOT analysis is an important tool for businesses and organizations for
several reasons:

❖ Strategic planning: SWOT analysis helps businesses and organizations

to develop effective strategies by identifying and understanding their
strengths, weaknesses, opportunities, and threats. This information can
be used to create a roadmap for achieving goals and objectives.
❖ Risk management: SWOT analysis can help businesses and
organizations to identify potential risks and threats, allowing them to
take proactive measures to mitigate them. This can help reduce the
likelihood of negative outcomes and protect the business from potential
harm.
❖ Resource allocation: SWOT analysis can help businesses and
organizations to allocate resources effectively. Businesses can focus on
areas likely to generate the most returns by identifying strengths and
opportunities. At the same time, weaknesses and threats can be
addressed to reduce waste and prevent resource misallocation.
❖ Competitive advantage: SWOT analysis helps businesses and
organizations to identify their unique strengths and capabilities. They
can gain a competitive advantage in the market by leveraging these
strengths and differentiating themselves from competitors.
❖ Continuous improvement: SWOT analysis is an iterative process that
can be used to monitor and evaluate a business or organization’s
performance continually. By regularly reviewing their strengths,
weaknesses, opportunities, and threats, they can identify areas for
improvement and adjust their strategies accordingly.

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 LIMITATIONS OF THE STUDY

❖ It can be somewhat preoccupied with strengths/opportunities over

weaknesses/threats
Although a SWOT analysis is meant to offer a balanced evaluation of a
business, many users tend to focus on the strengths/opportunities
offered by your business model over the weaknesses/ threats. Well, this
may allow them to capitalize on these beneficial factors. Still, it leaves
them vulnerable to a range of potential dangers and therefore defeats
the purpose of using this analytical framework.

❖ Users may over-leverage the strengths/ opportunities outlined by

the model
For example, a business that lists one of its strengths as low-cost
manufacturing may decide to extend this advantage to the point where
the quality of the products it produces may drop. At this point, our
previous strength has now been overextended to the point of being
detrimental to the success of the business.

❖ The technique does not outline what to do after crafting the SWOT
analysis
One of the issues with SWOT analysis is that it fails to guide users on the
necessary steps after the framework has been designed. Due to this,
there is a tendency to abandon the technique after the initial stages of
strategic planning and thereby reducing the usefulness of the
technique.
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❖ There may be a failure to deeply examine inputs from all the
relevant sources
One of the key strengths of a SWOT analysis is the fact that it uses
contributions from different sources. If, for any reason, there is
information suppression, then this may lead to the creation of an
incomplete SWOT framework and, therefore, the failure of the entire
project.

❖ Each point may not be of equal relevance or prioritized according to

the importance
Even though it’s a useful idea to list the various points under each
section of a SWOT analysis according to their relative importance to the
business model, at times, it is hard to carry this out since there is no well-
defined metric for this action. Therefore, a subjective approach is
typically used to determine which points are more important than
others, and this, of course, is prone to error.

❖ A SWOT analysis can be deceptively simple

One of the purposes of a SWOT analysis is to simplify complex ideas into
easily understandable schematics. However, this has the unfortunate
disadvantage of creating the impression that the various divisions,
interactions, and functions which are carried out within the business
organization can be easily classified into deceptively basic forms. Most
of the ideas outlined by a SWOT analysis are a refinement of extremely
complex interactions and serve mainly as a guide instead of actionable
information.

❖ The technique does not offer solutions

One of the key shortcomings of the SWOT analysis technique is that it
does not offer solutions to the weaknesses or threats identified by the
strategy. In some sense, identifying an issue without proffering a
solution makes the entire process futile.

❖ The entire process can be quite subjective

Various efforts are made to introduce as much objectivity to the SWOT
analysis process as possible, such as using reliable factual information
in order to make evidence-based decisions as well as obtaining
information from a wide array of sources in an attempt to obtain a

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 holistic picture without bias. Despite this, there is a great degree of
subjectivity within the process of creating a SWOT analysis.

❖ The process can be overwhelming if not well-refined

Though it is important to list the key points when crafting a SWOT
analysis, one must also keep in mind that overcrowding the framework
may lead to decision paralysis and greater confusion. Therefore, the
best idea is to only include the most relevant points as well as merge as
many factors as possible. Remember, a SWOT analysis is not a detailed
report upon which definitive strategies are built, but rather a guide that
can be used as a quick reference for further stages of strategic planning.

❖ It may be deficient in certain areas

Despite your best efforts, some vital points may be skipped or omitted
from the SWOT analysis due to human error. That is why many of the
techniques mentioned above have been adopted to reduce the
opportunity of this occurring as much as possible.

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 CONCEPTUAL FRAMEWORK

Mercedes-Benz is a renowned German automobile manufacturer, known for

luxury vehicles, buses, coaches, and trucks. Founded in 1926, it is a division of
Daimler AG. Mercedes-Benz is famous for its innovation, safety features, and
engineering excellence, with a wide range of models catering to different
market segments globally. They're also investing heavily in electric and
autonomous vehicle technologies.

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HISTORY
➢ Early Years: The company traces its origins to Karl Benz's creation of the
first petrol-powered car in 1886 and Gottlieb Daimler's invention of the
first gas-powered engine around the same time. These innovations laid
the groundwork for what would become Mercedes-Benz.
➢ Merger: In 1926, Benz & Cie. and Daimler-Motoren-Gesellschaft merged
to form the Mercedes-Benz brand we know today.
➢ Pre-war Era: During the 1930s, Mercedes-Benz gained prominence in
motorsports, particularly in Grand Prix racing, where it achieved
numerous victories, including the famous Silver Arrows.
➢ Post-war Reconstruction: After World War II, Mercedes-Benz focused
on rebuilding its manufacturing capabilities and expanding its product
line. It introduced iconic models like the 300SL "Gullwing" in the 1950s.
➢ Innovation and Expansion: Over the decades, Mercedes-Benz
continued to innovate, introducing technologies such as crumple zones,
anti-lock brakes, and airbags. It also expanded its product range to
include luxury sedans, SUVs, and commercial vehicles.
➢ Global Presence: Mercedes-Benz became a symbol of luxury and
quality worldwide, establishing a strong presence in key markets across
Europe, North America, Asia, and beyond.
➢ Electric and Autonomous Vehicles: In recent years, Mercedes-Benz has
been at the forefront of electric vehicle development, with models like
the EQC. It's also investing heavily in autonomous driving technology.

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TYPE OF CARS OFFERED BY MERCEDES-BENZ
➢ Sedans: Luxury sedans such as the Mercedes-Benz S-Class, E-Class, and
C-Class are renowned for their comfort, performance, and cutting-edge
technology.
➢ SUVs (Sport Utility Vehicles): Mercedes-Benz offers a variety of SUVs,
including the GLS-Class, GLE-Class, GLC-Class, and GLA-Class, providing
options for different preferences and needs.
➢ Coupes and Convertibles: The Mercedes-Benz lineup includes stylish
coupes and convertibles like the C-Class Coupe, E-Class Coupe, S-Class
Coupe, and S-Class Cabriolet, blending performance with luxury.
➢ Sports Cars: For enthusiasts, Mercedes-Benz offers high-performance
sports cars like the Mercedes-AMG GT and the iconic Mercedes-Benz SL-
Class, known for their dynamic driving experience and striking design.
➢ Electric Vehicles (EVs): Mercedes-Benz is expanding its electric vehicle
lineup with models like the EQC, offering emissions-free driving with
advanced electric drivetrain technology.
➢ Commercial Vehicles: Mercedes-Benz produces a range of commercial
vehicles, including vans, trucks, and buses, designed for various
transportation and business needs.
➢ Hybrid Models: Mercedes-Benz offers hybrid variants of many of its
vehicles, combining internal combustion engines with electric
propulsion for improved fuel efficiency and reduced emissions.

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 SWOT ANALYSIS OF MERCEDES-BENZ

Strengths

1. Strong brand reputation: Mercedes-Benz is synonymous with

quality, luxury, and performance. The brand has a long history of
innovation and is associated with cutting-edge technology,
engineering excellence, and superior design, which has helped it
earn a strong reputation worldwide. Brand value increased by 10%
to $56.103 billion since 2021.
2. Diverse product portfolio: Mercedes-Benz offers a wide range of
vehicles, including sedans, coupes, SUVs, trucks, vans, and buses,
catering to a broad customer base. This diverse portfolio allows the
brand to meet customer needs and preferences across market
segments.
3. Focus on innovation: Mercedes-Benz invests heavily in research
and development to stay at the forefront of automotive technology.
The company has pioneered various technological advancements,
such as safety features, autonomous driving, and electric mobility,
which help maintain its competitive edge.
4. Global presence: The brand has a strong global presence, with
manufacturing facilities, dealerships, and customer service centers
spread across multiple regions. This extensive network enables
Mercedes-Benz to cater to customers worldwide and take
advantage of growth opportunities in emerging markets.
5. Financial services: Mercedes-Benz Financial Services supports
the brand’s vehicle sales by providing financing, leasing, and

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 insurance solutions to customers and dealers. This integration of
financial services helps facilitate the purchase of Mercedes-Benz
products and enhances customer loyalty.
6. Skilled workforce: Mercedes-Benz employs a skilled workforce of
engineers, designers, and other professionals, who are dedicated to
maintaining the brand’s commitment to quality and innovation.
This talent pool is essential for the company’s ongoing success and
the developing of new products and technologies.
7. Commitment to sustainability: Mercedes-Benz is focused on
incorporating sustainability into its business operations, including
developing electric vehicles, reducing its carbon footprint, and
utilizing eco-friendly materials in its vehicles. This commitment to
sustainability is increasingly important as consumer preferences
shift towards environmentally friendly products and practices.

Weaknesses

1. High production costs: Mercedes-Benz vehicles are known for

their high-quality materials, advanced technology, and precision
engineering, contributing to increased production costs. These
costs can make it challenging for the company to compete on price,
especially in markets where affordability is a key factor.
2. Dependence on mature markets: A significant portion of
Mercedes-Benz’s sales comes from mature markets, such as Europe
and North America. Economic downturns or stagnation in these
regions can negatively impact the company’s revenue and growth
prospects.
3. Complexity in the product lineup: Although a diverse product
portfolio is a strength for Mercedes-Benz, it can also lead to
customer complexity and confusion. With many models and
options available, customers might find it challenging to choose the
most suitable vehicle for their needs.
4. Regulatory challenges: As a global automotive company,
Mercedes-Benz faces many regulations and compliance
requirements in different countries. These regulations can be
complex, time-consuming, and costly, potentially affecting the
company’s ability to operate efficiently and expand in certain
markets.
5. Late entry into the electric vehicle market: While Mercedes-
Benz has introduced its EQ sub-brand and announced plans for new
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 electric vehicle models, the company was relatively slow to enter
the electric vehicle market compared to competitors like Tesla,
BMW, and Audi. This delay may have resulted in a loss of market
share and brand image in the growing EV segment.
6. Recalls and quality issues: Mercedes-Benz has faced some recalls
and quality issues in the past, which can negatively impact the
brand’s reputation and customer trust. Ensuring high-quality
production and promptly addressing quality concerns are crucial
for maintaining the brand’s image.
7. Competitive market: The luxury automotive market is highly
competitive, with several well-established brands like BMW, Audi,
Lexus, and Tesla fighting for market share. In this competitive
landscape, Mercedes-Benz must continually innovate and
differentiate itself to maintain its position and attract new
customers.

Opportunities

1. Electric vehicle market: The growing demand for electric vehicles

(EVs) presents a significant opportunity for Mercedes-Benz. The
company can expand its EQ sub-brand and introduce new EV
models to cater to the increasing environmental consciousness of
consumers and comply with stricter emission
regulations. Mercedes-Benz announced an investment of more
than 60 billion between 2022 and 2026 to go fully electric.
2. Autonomous driving technology: As the automotive industry
moves towards self-driving vehicles, Mercedes-Benz can leverage
its expertise in innovation and technology to develop advanced
autonomous driving systems. This could attract new customers and
set the brand apart from competitors.
3. Expansion in emerging markets: Developing economies such as
China, India, and Brazil offer growth opportunities for luxury car
manufacturers like Mercedes-Benz. The company can increase
sales and diversify its revenue sources by focusing on these
markets.
4. Strengthening digital capabilities: Enhancing digital capabilities
in online sales, virtual showrooms, and personalized customer
experiences can help Mercedes-Benz adapt to the changing
automotive landscape and meet evolving customer expectations.

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 5. Partnerships and collaborations: Collaborating with technology
companies, startups, and other automotive manufacturers can
help Mercedes-Benz access new technologies and resources, drive
innovation, and improve its products and services.
6. Shared mobility and vehicle subscription services: As consumer
preferences shift towards shared mobility and vehicle subscription
services, Mercedes-Benz can explore opportunities in this sector by
offering luxury car-sharing or subscription-based services.
7. Focus on sustainability: By emphasizing sustainability in its
operations, Mercedes-Benz can appeal to environmentally
conscious consumers and comply with regulatory requirements.
This includes investing in renewable energy, developing eco-
friendly materials, and reducing manufacturing processes’
environmental impact.
8. Customization and personalization: Offering more customization
and personalization options for customers can help Mercedes-Benz
differentiate itself from competitors and increase customer loyalty.
This could involve providing unique design options, performance
enhancements, or exclusive features for individual customers.

Threats

1. Intense competition: The luxury automotive market is highly

competitive, with well-established brands like BMW, Audi, Lexus,
and Tesla vying for market share. Increased competition can lead
to price pressures, reduced margins, and the need for continuous
innovation to maintain a competitive edge.
2. Changing regulations: Stricter environmental regulations and
emission standards worldwide can impact the automotive industry,
forcing companies like Mercedes-Benz to invest in cleaner
technologies like electric vehicles and alternative fuels. Failure to
adapt to these regulations could result in financial penalties and
loss of market share.
3. Economic fluctuations: Economic downturns or recessions can
reduce consumer spending, particularly on luxury goods like high-
end vehicles. This could negatively impact Mercedes-Benz’s sales
and profitability, especially in mature markets where the brand has
a strong presence.

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4. Technological disruption: Rapid technological advancements,
such as autonomous driving, connected cars, and electric vehicles,
can disrupt traditional automotive business models. Mercedes-
Benz must continually invest in research and development to stay
ahead of these trends and maintain its competitive position.
5. Supply chain disruptions: Mercedes-Benz, like other automotive
manufacturers, relies on a complex global supply chain for
components and raw materials. Supply chain disruptions due to
natural disasters, geopolitical tensions, or other factors can
negatively impact the company’s production and overall business
operations.
6. Cybersecurity threats: As vehicles become increasingly connected
and reliant on digital technology, cybersecurity threats become a
growing concern. Mercedes-Benz must invest in robust
cybersecurity measures to protect its vehicles, customer data, and
reputation.
7. Shift in consumer preferences: Changing consumer preferences
and the growing popularity of alternative transportation modes,
such as ride-sharing services and public transportation, could
impact demand for personal vehicles, including luxury cars like
Mercedes-Benz.
8. Brand reputation risks: Any negative publicity, such as product
recalls, quality issues, or corporate scandals, can damage
Mercedes-Benz’s brand reputation and customer trust, potentially
leading to a decline in sales and market share.

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BMW, or Bayerische Motoren Werke AG, is a German multinational corporation
known for manufacturing luxury vehicles, motorcycles, and engines.
Established in 1916, initially as an aircraft engine manufacturer, BMW
transitioned to motorcycle production after World War I and later expanded
into automobiles in the 1930s. Over the decades, BMW has become renowned
for its commitment to engineering excellence, innovation, and performance-
oriented vehicles

HISTORY
BMW, Bayerische Motoren Werke AG, has a rich history dating back over a
century:
➢ Founding: BMW was established on March 7, 1916, initially as an aircraft
engine manufacturer named Bayerische Flugzeugwerke AG. It later
changed its name to Bayerische Motoren Werke AG in 1922.
➢ Early Years: During World War I, BMW produced aircraft engines for the
German military. After the war, due to restrictions on aircraft production
imposed by the Treaty of Versailles, BMW shifted its focus to motorcycle
production. In 1928, BMW acquired Fahrzeugfabrik Eisenach, which
included the rights to produce automobiles.

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➢ Automobile Production: BMW entered the automobile manufacturing
business in the 1930s. One of its early successes was the BMW 328 sports
car, introduced in 1936, known for its performance and advanced
engineering.
➢ Post-war Era: After World War II, BMW faced challenges as its factories
were heavily damaged. The company initially focused on producing
motorcycles and small cars. In 1952, BMW introduced its first post-war
automobile, the BMW 501 luxury sedan.
➢ Rise to Prominence: In the 1960s and 1970s, BMW gained recognition
for its sporty and dynamic vehicles, such as the BMW 1500, which
launched the "New Class" line of compact sedans. The iconic BMW 3
Series debuted in 1975, solidifying BMW's reputation for performance-
oriented vehicles.
➢ Expansion and Innovation: BMW continued to expand its product range
and innovate with technologies such as turbocharging, electronic fuel
injection, and advanced safety features. It introduced the BMW M
division for high-performance vehicles and the BMW "i" sub-brand for
electric and hybrid cars.
➢ Global Presence: BMW has established a strong global presence with
manufacturing facilities, sales networks, and research and development
centers worldwide. It sells its vehicles in markets across Europe, North
America, Asia, and beyond.
➢ Motorsport Success: BMW has a long history of motorsport success,
including victories in Formula 1, touring car racing, endurance racing,
and the Dakar Rally. The BMW M division has played a significant role in
motorsport and high-performance vehicle development.

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TYPES OF CARS OFFERED BY BMW
➢ Sedans: BMW produces luxury sedans known for their performance,
comfort, and advanced technology. Models include the BMW 3 Series, 5
Series, 7 Series, and the flagship BMW 8 Series Gran Coupe.
➢ SUVs (Sport Utility Vehicles): BMW offers a lineup of SUVs ranging from
compact to full-size, providing versatility, spacious interiors, and
advanced features. Models include the BMW X1, X3, X5, X6, and X7.
➢ Coupes: BMW produces stylish and sporty coupes with sleek designs
and high-performance engines. Examples include the BMW 2 Series
Coupe, 4 Series Coupe, and the luxurious BMW 8 Series Coupe.
➢ Convertibles: For open-air driving enthusiasts, BMW offers convertible
versions of its popular models, providing a blend of luxury, performance,
and exhilarating driving experiences. Models include the BMW 4 Series
Convertible and the BMW Z4 Roadster.
➢ Gran Turismo (GT) Models: BMW GT models offer a combination of
sedan and coupe characteristics, featuring spacious interiors, sporty
performance, and a sleek silhouette. Examples include the BMW 3 Series
Gran Turismo and 6 Series Gran Turismo.
➢ Electric Vehicles (EVs) and Plug-In Hybrids: BMW has a growing lineup
of electric and plug-in hybrid vehicles designed to offer emissions-free
driving and increased fuel efficiency. Models include the BMW i3, BMW
iX3, BMW i4, and various plug-in hybrid variants of existing models.
➢ High-Performance Models (M Series): BMW's M division produces high-
performance variants of several models, known for their exhilarating
performance, precision handling, and track-ready capabilities.
Examples include the BMW M3, M5, and X5 M.
➢ Active Tourer and Gran Tourer: These models offer a combination of
versatility, spaciousness, and practicality, featuring flexible seating
arrangements and ample cargo space. Examples include the BMW 2
Series Active Tourer and 2 Series Gran Tourer.

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 SWOT ANALYSIS OF BMW

1. Strengths
• Global Reach: BMW is a global automobile manufacturer that consists of
three brands: BMW, MINI, and Rolls-Royce. Aside from cars, BMW also offers
a variety of motorcycles and aircraft engines.
• Strong R&D Department: Technological advances have made it a clear
winner in the premium segment. Its continuous process development &
innovation has helped it stand out in the industry.
• Brilliant Advertising: The company has been regarded as a luxury brand
in the automobile industry through its creative promotional strategies.
BMW also has a strong digital presence on Instagram and Twitter. They have
a huge following and they use these channels for the promotion of the
company through high-quality content.
• Highly Trained Workforce: Around 100,000 highly skilled individuals have
been trained to work continuously in more than a hundred countries to
differentiate BMW’s service from its competitors.

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 • Large Product Portfolio: BMW has a wide range of product categories,
including SUVs and luxury cars. The company’s product range and design
stand out in terms of quality and design.

2. Weakness
• Limited Market Size: BMW sells luxurious cars at very premium pricing
which is affordable majorly in the developed Nations what countries like
India can’t afford such premium pricing. the majority market of India is
medium class people and hence the market size reduces for BMW.
• Increasing Debt: The debt level of the company is more than euro 50
billion due to large investments in automated driving and electric vehicles.
If there are high debt levels, companies cannot able to invest more funds in
research and development, which will hamper the growth of the company
in the long run.
• Reducing Market Share: MINI and Rolls Royce sales are less compare to
BMW cars. The company is majorly dependent on the car. If new different
products entered the market or if consumer’s tastes changed company may
suffer from loss.
• Electric Cars: The coming future generations would prefer electric
vehicles over petrol cars hence the company needs to innovate in this
direction to stay relevant with time.

3. Opportunities
• Newer Models: BMW needs to enter new markets and innovate with the
help of technology. The company can expand its portfolio by launching new
series.
• Lower Price Segment: The company can come up with the lowest price
segment in which it will make affordable cars for the medium class people,
which will expand the customer base for the company.
• Increasing Affluence: With the changing consumer lifestyle and choices,
people are moving towards luxurious and premium brands, which is a
major opportunity for BMW to increase its sales and generate much more
revenue.

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 • Expanding in Emerging Markets: Developing economies are the future of
global growth. By investing in these markets, BMW has positioned itself to
take advantage of the opportunities that await them.

4. Threats
• Tough Competition: As BMW is in the automobile industry it faces tough
competition from other premium brands like Audi and Mercedes. The top
competitors of BMW are Audi, Mercedes Benz, Volkswagen, Toyota Motor
Corporation, Nissan Motor, Honda, Hyundai, Daimler, Porsche.
• COVID-19: The company has suffered major losses due to the pandemic;
consumer choices have changed a lot, people are not preferring luxurious
cars because of the losses suffered in the pandemic. This is a major threat
for BMW as the company entirely depends on the premium segment.
• Increasing Petroleum Prices: Problems and increasing rates of petrol is
another major problem for the company, people are moving towards
electric vehicles. The company needs to innovate in the segment to sustain
its position in the market.
• Increasing Regulations on Cars: With increasing environmental concerns
from across the world, government regulations are getting tighter in terms
of reducing the carbon footprint of consumer automobiles. This directly
influences the sales and revenue of BMW, which can hamper the growth of
a company.

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 SUGGESTION AND RECOMMENDATIONS

MERCEDES-BENZ
The SWOT analysis of Mercedes-Benz highlights its strengths, weaknesses,
opportunities, and threats in the automotive industry.

Mercedes-Benz’s strong brand reputation, diverse product range,

technological innovation, global market presence, and customer relationships
position it as a leading luxury automotive manufacturer.

Addressing weaknesses related to cost structure, market reliance, electric

vehicle market share, and environmental impact is crucial for sustained
success.

Seizing opportunities in electric mobility, luxury segment growth,

technological advancements, and digital transformation can drive Mercedes-
Benz’s growth and market leadership.

Mitigating threats from intense competition, economic uncertainty, rapid

technological advancements, and regulatory compliance requires strategic
planning, agility, and continuous innovation.

By leveraging its strengths, addressing weaknesses, capitalizing on

opportunities, and navigating threats, Mercedes-Benz can maintain its
position as a prominent player in the automotive industry, offering
exceptional vehicles, driving experiences, and luxury to customers worldwide.

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 BMW
This BMW SWOT analysis concluded that the company’s numerous strengths
& opportunities to perform better and weaknesses and threats to consider for
BMW to prevent future losses are critically discussed. Hence, we can say that
the company is undoubtedly one of the most well-known in the luxury auto
sector, but taking a few calculated moves and carefully assessing the benefits
and drawbacks might significantly expand its business.

• BMW is the market leader in the automotive industry, has a solid

reputation, and offers top-notch services all over the world. Due to the
brand’s century-long reputation for quality, it also enjoys a significant
market presence that should be maintained.
• As the only automaker to combine both luxury and performance, BMW
has positioned its brand as unique. Even BMW competitors know how
good they are! Its German legacy, reliance on designs, as well as a
creative marketing approach is great but BMW should more keenly focus
on digital marketing.
• Increasing market competition can have a negative impact on even the
finest brands. Effective marketing becomes crucial for the business as
competition increases. So, the company should come up with a new
model series not much higher priced to cater for the fierce competition
• In the case of BMW, a pricey product line and an uptick in lawsuits
threaten the company’s long-term prospects. Hence, higher authorities
of the company must consider these aspects to prosper the brand in the
future.

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 GRAPHICAL REPRESENTATION OF BOTH
OF THE COMPANY’S SALES AND GROWTH
MERCEDES-BENZ Sales Figures & Market Share in India (2008-2022)
Mercedes, the top-selling luxury car brand in India for the eighth year in a row,
accounted for 45.21% of all luxury vehicles sold in the country.
In 2022, the German luxury brand Mercedes-Benz recorded record sales in
India. The company sold 15,822 cars--a 41% increase over the previous year's
figures of 11,242 cars. As a result, Mercedes remained the top luxury car seller
in India for the eighth consecutive year.

When Mercedes announced in October 2022 that it had sold 11,469 cars in the
first three quarters, sales figures had already indicated that the company
would sell more cars in India in January-September 2022 than it did in all of
2021 (11242).

Before the pandemic, Mercedes sales in India reached a new high in 2018.
Annual sales have reached the level of 15,000. Unfortunately, India's car
market has experienced sharp declines during the pandemic, and Mercedes is
no exception. In 2020, it will sell fewer than 8,000 cars a year -- less than half
its annual sales in 2013. Sales in 2022 have fully recovered and surpassed pre-
pandemic levels; now, the company estimates it can sell nearly 16,000 vehicles
or more annually.

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At the same time, Mercedes has also increased its market share in India's
luxury car market. In 2022, about 15,000 units were sold in India's luxury car
market, with Mercedes taking 45.21 percent of the market (nearly 50%)—this
is also one of the highest levels since Mercedes-Benz entered India in 1994.

Mercedes-Benz Sales Figures & Market Share in India

(2008-2022, units)

Indian Luxury Car Market

Year Mercedes-Benz
Market Share

2022 35,000 15,822 45.21%

2021 27,000 11,242 41.64%

2020 19,681 7,983 40.56%

2019 35,274 13,786 39.08%

2018 40,788 15,538 38,09%

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2017 38,989 15,330 39.32%

2016 33,296 13,231 39.74%

2015 36,207 13,502 37.29%

2014 31,912 10,201 31.97%

2013 30,166 9,003 29.84%

2012 28,438 6,840 24.05%

2011 24,300 7,430 30.58%

2010 15,896 5,881 36.70%

2009 8,755 3,427 39.14%

2008 7,672 3,625 47.25%

Total 413,374 152,841 36.97%

India's luxury car market has greatly recovered (the total market volume was
approximately 35,000, up 29.63% from 27,000 in 2021). Mercedes is more
popular than other luxury car brands in India.

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 BMW

BMW realized a total revenue of US$72.1 billion worldwide, while the total
market revenue amounted to US$1.7 trillion in 2022. The largest passenger
cars segment, SUVs, accounted for 44% of BMW's revenue in 2022.
MARKET SHARE

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 BIBLIOGRAPHY
❖ https://corporatefinanceinstitute.com/resources/management/swot-
analysis/
❖ https://businessmodelanalyst.com/swot-analysis-benefits-and-
limitations/
❖ https://thestrategystory.com/blog/swot-analysis-meaning-importance-
and-examples/
❖ https://en.wikipedia.org/wiki/Mercedes-Benz_Group
❖ https://www.carmodelslist.com/mercedes-
benz/#:~:text=They%20have%20divided%20their%20vehicles%20into
%20four%20categories,S-Class%2C%20G-Class%2C%20V-
Class%2C%20and%20the%20Mercedes-AMG%20GT%20Class
❖ https://www.rushlane.com/mercedes-india-sales-q1-2023-highest-
ever-record-12466497.html
❖ https://thestrategystory.com/blog/mercedes-benz-swot-analysis/
❖ https://www.autojems.com/the-different-types-of-bmw-
cars/#:~:text=There%20are%20many%20different%20kinds%20of%20
BMW%20vehicles,roadster%20is%20a%20sporty%20version%20of%2
0a%20sedan
❖ https://iide.co/case-studies/swot-analysis-of-bmw/

THANK YOU

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