Bridgestone Tyres European Marketing Strategy

Only available on StudyMode
  • Download(s) : 844
  • Published : November 12, 2012
Open Document
Text Preview
Bridgestone Tyres: European Marketing Strategy
Daniel Rahman
October 24, 2011
Rhonda Payne

Table of Contents
Title Page…………………………………………………………...1 Table of Contents……………………………………………...........2 1.0 Executive Summary…………………………………………….3 2.0 Problem Statement……………………………………...............3 3.0 Situational Analysis…………………………………………….4 3.1 TOWS Analysis………………………………………………...7 3.2 PEST Analysis…………………………………………….........12 3.3 Solberg’s Nine Strategic Windows……………………………..15 3.4 Porter’s Analysis………………………………………………..16 4.0 Alternatives………………………………………………..........18 5.0 Recommendation……………………………………….............22 6.0 Conclusion……………………………………………………...24 Work Cited………………………………………………………….25 Appendices………………………………………………………….26

Bridgestone Tyres: European Marketing Strategy
1.0 Executive Summary
The European tyre industry is very unique. Primarily dominated by Michelin, there are several other competitors that hold a strong, consistent market share and brand awareness. Bridgestone is not one of these companies; Bridgestone’s current marketing strategies in Europe are not at all effective. Currently, Bridgestone’s market share and brand awareness in Europe rate among the lowest of tyre manufacturers; if Bridgestone would like to continue to hold 20% of the global market share (highest w/ Michelin), they must address this issue promptly. To solve this detrimental issue, I found that the most appropriate course of action for Shoshi Arakawa would be to recommend that Bridgestone opens a retail outlet in select European countries, selling all Bridgestone tyre brands (as illustrated on page 20). This is a fantastic opportunity, as this plan of action will strengthen relationships with European consumers, enable Bridgestone to learn more about the European market, reduce Bridgestone’s dependency on partners, allow Bridgestone to create a competitive advantage over the competition, put Bridgestone in a position to launch innovation or expansion, and overall achieve the goal of achieving a higher market share and brand awareness. To successfully implement this plan of action, Bridgestone must develop a corporate and marketing plan, along with a creative strategy in order to be prepared for this endeavour. As Bridgestone is already one of the largest tyre manufacturers in the world, this addition to their offerings is not overly substantial that it is unfeasible. From these efforts, you will be able to see the benefits by the amount of brand awareness and market share you will have then, in relation to now. Tyre manufacturers marketing and selling directly to consumers has never been done in this industry before, so the competitive advantage that is sought from this is extraordinary. With this position, Bridgestone has a lot of leeway in terms of what positions they want to take in this market in the future. A retail outlet will get Bridgestone noticed in Europe. I would recommend starting this endeavour in Spain, as it is currently Bridgestone’s most stable European market, then work towards the rest of the key markets once Bridgestone has experienced some levels of success through these newly created mediums. Would you like to increase your market share and brand awareness in Europe?

2.0 Problem Statement
What alternative competitive strategies can Bridgestone pursue to strengthen their awareness and increase market share in European markets? 3.0 Situational Analysis
Prelude
Bridgestone Corporation is one of the world’s largest tyre manufacturers. Headquartered in Japan, Bridgestone Corp. has operations in the United States, as well as Europe. In this industry, the nationality of the company is rather important to some consumers; if a consumer drives an Italian sports car (Ferrari, Lamborghini, etc.), they are more likely to have Italian components (Pirelli tyres), just as the car would be furnished with Italian leather; this example also corresponds to German made cars (1/3 of Continental tyres overall sales...
tracking img