SWOT Analysis of Audi: Strengths, Weaknesses, Opportunities, and Threats

This SWOT analysis delves into the internal and external factors influencing Audi's performance. It examines the company's strengths, such as its renowned quality, strong brand image, and diverse product range. However, it also highlights weaknesses like high maintenance costs and limited market penetration. The analysis explores opportunities for expansion into emerging markets and innovation in mature ones. Finally, it identifies threats posed by competitive pricing, declining demand for luxury cars, and the global economic landscape.

SWOT Analysis

Contents
SWOT Analysis of Audi..................................................................................................................3
References........................................................................................................................................6

SWOT Analysis of Audi
SWOT analysis consists of the strengths, weakness, opportunity, and threats possessed by the
company. These are the elements which prevail within the organisation and help the management
in taking effective decisions.
Strengths  Audi is known for its quality products. High capacity engines are used
which highly satisfies the customers. The company has a right process of
manufacturing and appropriate manufacturing facilities.
 The company has a good brand image in the market. It has the trust factor
which attracts a large number of customers towards it.
 Audi has a range of cars which caters the needs of the different target
market.
 It has unique designs and features which are considered in premium
range. Audi cars have differentiated logo and are known for its quality-
assured and safety featured products.
 The company has around 50,000 employees across the countries.
 Audi cars are available in diesel as well as petrol variants with wide
product portfolio.
 Audi cars have superior features which attract a large number of
customer.
Weaknesses  The cost of maintenance of Audi cars is more in comparison to the other
competitors.
 Less promotional techniques are used by Audi in comparison to other
companies which can become a disadvantage for the company.

 It has a low market penetration in as compared to the other higher brand
companies.
Opportunity  Audi covers limited market, as a result of which there is an immense
chance for the company to expand and grow in other emerging markets.
 Innovation, as well as diversification by Audi in the mature markets, can
give the company a competitive edge in the market. They can innovate
battery fuelled cars and more efficient cars for making its products
different and unique from that of the others.
 The company has an opportunity to cover a large number of customers
and meet their increasing demands.
 The company can enter the market which caters the needs of the lower
cost cars demands.
 Competitive pricing enables the company to build a large customer base.
Threats  The importance of luxury cars is going on decreasing due to the increase
in the need for the gadgets which can be a threat to the Audi Company.
 The company needs to expand its business internationally which is quite
difficult due to the PEST elements prevailing across the countries.
 There are various competitors in the market in terms of luxury cars. Audi
has a tough competition with BMW in the market.
 Increasing cost of fuel can affect the sales of the Audi cars in the market.

SWOT analysis enables the Audi Company to analyse its current position in the market and also
enables them to estimate the future position. Various effective strategies can be formulated by
Audi Company with the help of the SWOT aspects as it includes the strong points available with
the company. Threats and weakness are identified and the available opportunities are grabbed so
as to grow and develop in the market.

References
 Bhasin, H., 2018. SWOT analysis of Audi. [Online] Marketing 91. Available at:
https://www.marketing91.com/swot-analysis-of-audi/. [Accessed on: 15 March 2018]
 Nair, V., 2015. SWOT analysis of Audi. [Online] Creately. Available at:
https://creately.com/diagram/example/i70odqn84/SWOT+ANALYSIS+OF+AUDI.
[Accessed on: 15 March 2018].
 Pratap, A., 2016. SWOT analysis of Audi (Premium car brand) 2016. [Online]
Cheshnotes. Available at: https://www.cheshnotes.com/2016/09/swot-analysis-of-audi/.
[Accessed on: 15 March 2018]