SWOT ANALYSIS

MAHINDRA & MAHINDRA

MAHINDRA BUILDS THREE THINGS: PRODUCTS, SERVICES, AND POSSIBILITIES.

Mahindra & Mahindra

We are many companies united by a common purposeto enable people to Rise. We operate in the key industries that drive economic growth, enjoying a leadership position in utility vehicles, information technology,tractors, and vacation ownership. We have a growing presence in the automotive industry, aerospace, aftermarket, components, consulting services, defense, energy, financial services, logistics, real estate, retail, and two wheelers. A US $16.2 billion multinational group based in Mumbai, India, we are more than 155,000 people in over 100 countries.

What is SWOT?
Internal Factors
Strength

External factors
Opportunity

Weakness

Threats

 Internal Factors
Strength :- Strengths are the qualities that enable us to accomplish the organizations mission. Weakness:- Weaknesses are the qualities that prevent us from accomplishing our mission and achieving our full potential. These weaknesses deteriorate influences on the organizational success and growth.

External Factors
Opportunity:- Opportunities are presented by the environment within which our organization operates. These arise when an organization can take benefit of conditions in its environment to plan and execute strategies that enable it to become more profitable. Threats:- Threats arise when conditions in external environment jeopardize the reliability and profitability of the organizations business. They compound the vulnerability when they relate to the weaknesses. Threats are uncontrollable.

SWOT Matrix of M&M

Strength of M&M:o Position- percieved as a maker of tough and rugged vehicles at honest prices,that imagery can be extended beyond UV (utility vehicles). o Top team- M&M has a relatively top management that is steering the company. There are visionaries. o Customer orientation-ranked 5th and 6th on JD Powers customers satisfaction and sales satissfaction indices o Excellent branding and advertising, and low after sales service cost. o Market leader in UV segment.

Weakness
Footprints-still a primary UV player, limited global presence. Quality strong is no frills,value for maoney space,but yet to earn its spure aming more discrening bigger spending customer. R&D-still in the process of building out R&D capabilities and may have limited depth of experience.

Opportunity
It can use its $600 million cash pile to buy domain expertise . As it has electric car called REVA, by making it more powerful, it can have large numbers of customers because of petrol and pollution issues. It has wide range of product mix like consulting, automobiles, defence, education, energy , etc so it should be made more powerful in quality wise and innovation wise. Synergies between Ssangyoung has not just made access to higher end SUV ,R&D capabilities and a multination deal network.

Threats
Diversification could divert the companys attention from its core business and in result it leads to destruction of shareholders value. The entry of foreign players in the tractors segment could pose a threat to the company as the foreign players are technically more stronger than Mahindra & Mahindra. Apart from tractors, Cars and two wheelers are not playing its role well in the market because of week innovations and quality compare to other cars and two wheelers. governments plan to impose an additional tax on diesel vehicles will hit their investments worth thousands of crores .

Implications
For M&M the global jouney has begun. The strategy of M&M is all about niche across areas of mobility. The goal is to go across segments horizontally. The choice at the top management is to either accuire a legacy brand or building revolutionary technology. What was premium yesterday becomes affordable tomorrow due to change in demand.