Question

In 3-4 paragraph please describe what strengths Honda Motor Company has within their company?

Answer 1

Honda is the most successful company existing in the market with the latest technology in the automobile industry. With luxury cars to sports to family car, they have a vast range of cars and motorbikes. The company truly transcends boundaries. It has a huge presence in Japan, North America , Europe and Asia.​

It is one of the most successful automobiles company in the world and what made it so successful are its various strenghths, which includes-

1.) CONSTANT PEST AND SWOT ANALYSIS

With the help of PEST analysis and SWOT analysis they have come so far as they are able to understand what are the political factors, economic, social and technological factors they have to understand when they are producing the automobiles as well have to understand the needs and wants of the customer as well as the economy of the place as the government plays an important role. They have to understand the technology they have to provide in there automobiles because the latest technology will be able to attract the people better and they would be able to reach the market better and the relevance of SWOT analysis in running the business is very important as Honda has to understand what are there strengths, weakness, opportunity, threats in order to be successful in the market as they need PEST and SWOT analysis together to be able to survive in the market for long run. These two analysis helps Honda to be a better company and be able to understand its customers and their needs.

2.)Diversified product portfolio

Honda Motors is a conglomerate with a much larger portfolio under its belt. It has expertise in producing cars, motorcycles, mountain bikes and all- terrain vehicles and jet engines etc. Such a wide array of products helps them to create significantin their production techniques and improve their sales. Additionally, Honda is the sixth largest automobile manufacturer in the world selling cars in over a 100 countries.

3.)Huge investments in R&D

Honda has its competencies in product innovation and development. The conglomerate has 20 R&D across the world. It’s investments in R&D reach as much as 5% of revenue. In 2012, the company owned 42,000 patents and had pending applications for 29,000 more patents. The company's R&D investment for 2016 was about $7.2 billion.

4.)Strong brand image

Honda has a reputation for producing the best quality engines around the world. The company’s brand is the 20th most valuable brand in the world valued at $23.2 billion and was only behind Toyota, Mercedes-Benz and BMW, according to Forbes. Such a high brand image means that the customers are satisfied with the products, that traslates into high sales for the company . In addition to excellent branding, Honda also has an excellent advertising and after sales servicing

5.) Excellently Engineered Engines at the heart of company's products

As a result of Hond's huge investment in R&D, it develops some amazingly engineered products. At the core of it's products are it's engines, and it's engines are praised for their durability, fuel efficiency , relaibility and quiteness. According to the Relaibilty Index, Honda is the second most relaible engine maker in the world .