Who They are
In October 1946, Founder Soichiro Honda develop and produce small motorbike engines. Honda Motor cooperate limited was born two years after he produce the motorbike engine. Honda now was the world largest motorcycles manufacturer and one of the leading automakers. It was well known as manufacture of motorcycles and major of automobiles. Now Honda is not more than just manufacture in automobile and motorcycle they also manufacture many other kinds of product such as power units, aircraft engine, Honda jet, phone, and robot-ASIMO. The philosophy of Honda is “The Power of dream” this is what that guide them to become one of the world leading brands and let them earn a good reputation from worldwide.
External Analysis (General Environment)
As we know nowadays environmental pollution is now very serious all over the world that why government now is trying to cut down the amount of car that release toxic gases to the atmosphere. That means Honda is affected by government legislation would decrease the demand for Honda and will affect the sales of Honda motor. That is why now Honda developing their car into hybrid car and electric car in order to reduce the circumstances that they facing now. But Honda will have to face significant threats from other companies such as Toyota who had more success Hybrids cars in order to get support from the government.
Due to cost of petrol keep on rising and world’s oil sources are now exhausted. Consumer will less buying Honda petrol car due to the rise of the petrol so Honda will be facing a loss of revenue in producing petrol car. Therefore, the demand of hybrid cars will be more than petrol cars. That why Honda produces a lot of hybrid technology but it doesn’t mean with hybrid technology will save them from the loss of revenue. In a short run, the demand of their petrol car may cause them to break see no change in revenue. In long run, they will gain more revenue if they produced more hybrid and electric technology.
Honda is a Japanese company and now they are now moving to a worldwide business so they deal in English in order to let their customer understand their products. Other than that now hybrid and electric technology still not fully convinced consumer to buy that means in this market sector they are still not much firms produce this technology. As we know Honda is a company who produce and develop hybrid technology, and they can attract larger consumer base. But as more or more firms see that the revenue they can earn in developing hybrid technology the firm will decided to move on to hybrid technology, and more competition between firms will arise. Other than that, Honda hybrid’s car gas mileage and performance is not better that Honda petrol cars so many consumer still rather to buy petrol car. So Honda will need to develop a better technology to satisfy consumer wants.
Despite on Honda hybrid and electrical technology, they also develop environment friendly cars i-vtec, the i-vtec engines can provides fuel economy, ample torque and clean emissions. GPS is now very important for most of the driver that why in Honda new models cars they have include a Satelite Navigation system. Other than that they also develop a series of tyres eco-friendly tyres. These tyres are more efficient than standard tyres and could present some good opportunities for Honda.
Due to global warming and the exhausted of petroleum, government groups wants them to provide more environmentally friendly car, so Honda provide hybrid to protect global warming. Country that have different weather and climate will cause change in temperature this could impact on cars engine, therefore Honda develop different engine for different country.
Every company have their own legal department, and we know that some company will like to copy their technology so this time the...
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