Before we can discuss the strengths of, weaknesses, opportunities and threats facing Asian Paints, we must take a look at how Asian Paints company. A SWOT evaluation for Asian Paints is necessary for understanding the internal and external aspects that impact the business.
Asian Paints is a well-renowned multinational paint manufacturer located in India. Its headquarters are at Mumbai, Asian Paints sells and distributes paints across India. Asian Paints is no longer only a household brand in India but has expanded its reach to 20 countries around the world. They also are renowned for their unique marketing strategies.
Asian Paints: An Overview
In 1942, the company was founded. Asian Paints Company is now the third-largest paint business in Asia. Champaklal Choksi Chimanlal Choksi Arvind Vakil as well as Suryakant Dani were four of the founding members for the business. Since the company was established in the years prior to the time of independence for India the company had an enclose connection to India’s freedom era. It was in no way competitive and eventually became the biggest paint maker in India over the course of 25 years.
The items of Asian Paints comprise decorative paints, chemicals, fixtures and decor for homes coatings, as well as Industrial finishing materials. The primary competition for Asian Paints are Kansai Nerolac Paints, Nippon Paint, and PPG industries.
Asian Paints Company Profile
| Name | Asian Paints Ltd |
| Founded in | 1942 |
| Employee | 5k-10k |
| Headquarters | Mumbai, Maharashtra, India |
| Founders | Champaklal Choksey, Chimanlal Choksi, Suryakant Dani, Arvind Vakil |
| CEO | Mr. K B S Anand |
| Industry | Chemicals |
| Areas that is served | Worldwide |
| Market Cap* | $33.9B |
| Website | asianpaints.com |
SWOT Analysis of Asian Paints
Strengths of Asian Paints
#1. Large Selection: Asian paints not only are used in the business of painting home decoration, but also cover decorative industrial coatings, paints and so on. Asian Paints Royale is an ingenious and original concept for Asian Paints. The wide range of products lets the company serve different industries.
#2. Market Share: Asian Paints company holds more than half of the industry of paint. It holds 54% of the market share of the paint industry. This is greater than the other business for the long-term in India.
#3. International Presence Asian Paints has extended its operations to more than 20 countries across the globe. The 25 manufacturing units of the company are in operation all over the world. They’re operating and supplying their products to around 65 countries around the globe. They have placed 3rd as the largest paint manufacturer in Asia.
#4. Advanced technology: Asian Paints has been dominant in India’s painting industry from its beginning because of its technological advances. In 1970, they acquired an supercomputer for around 8 crores. This was a price that most of Indians or even ISRO could not afford.
Weaknesses of Asian Paints
#1. Market Trends: Consumer choice changes rapidly in today’s world. Therefore, companies need to invest in innovation to keep up with current trends in the market. The latest hot products might not be the preferred choice of customers in the near future.
#2. Dependence too much upon Physical Retail Shops: With an extensive number of retail stores that are not physically located, Asian Paints is currently working across India. However, in digital India the need for online stores is growing. Therefore, Asian Paints can balance online commerce through E-commerce sites.
#3. Infrastructure: Asian Paints’ massive production needs extensive infrastructure. While it facilitates a smooth logistics chain, it also requires costly maintenance. The business with the help of sustainability and technology could regulate its operations and decrease expenses, thereby increasing profits.
#4. Environmental Concerns: Asian Paints have been accused of VOC emissions. The company must invest in greener methods of production. Therefore, it will be able to adhere to the strict rules and rules and.
Opportunities for Asian Paints
#1. Gain in Market Share Asian Paints may grow its automotive and industrial coating business. The company is likely to grow its market share by satisfying the needs of industry through R&D capabilities and top-quality coatings.
#2. The Government’s Policy Asian Paints can benefit from policies of the government such as rapid urbanization, simple home loans as well as other. These policies enable clients to make plans for the industry of paint. Because Asian Paints is a renowned brand, its customers might desire the company’s products which could increase its revenues.
#3. Emerging Nations Similar to developed countries, Asian Paints must focus on expanding its business to emerging countries.
Threats of Asian Paints
#1. A tough competition: Asian Paints holds a prominent place in the industry of paint. However there are some international and national paint manufacturers are creating threats to the company’s reputation.
#2. Raw Materials: Just like various other sectors, the painting industry too has to use raw materials. The price of paint will depend on the cost for raw material. In the event that Asian Paints faces a scarcity of raw materials, the cost for the product will rise and reduce the number of customers.
Conclusion
So, a SWOT study for Asian Paints determines that Asian Paints is a well-known paint business with strengths and opportunities. The analysis will assist the company overcome its weaknesses and challenges.
