BMW

Fady Hany Kaldas

Marketing Management – 2J
ID: 20121553
 SWOT Analysis
• Strengths

1. One of the most luxurious automotive brands in the world and

Egypt
2. Optimum driving experience among competitors
3. Various and well located maintenance centers
4. Well trained labor to deal with customers’ inquiries and requests
5. Have a robust market share in the Egyptian market when it comes
to med-high and high ranges
6. Competence in hybrid cars (i3 and i8 models)
7. The majority of BMW models are assembled in Egypt leading to
lower prices than competitors.
 SWOT Analysis
• Weaknesses

1. The trademark is owned and distributed by only one dealer

(Bavarian Auto Group) which might deviate from the mother
company strategy and recommendations in terms of prices,
capacity, cars availability and reputation unlike Mercedes –
Benz Egypt as it is owned by several dealers so there is a
competition that results to the best service.
2. Not much differentiation
3. The brand is linked with cheap resale and that will affect the
sales
 SWOT Analysis
• Opportunities

1. Frequency of model releases

2. Strong growth potential due the Egyptian market size and
large youth population segment
3. Euro tax free agreement on cars assembled in Europe
 SWOT Analysis
• Threats

1. Increase of competition in the Egyptian market

2. Increase of governmental regulations leads to
difficulties in importing and additional costs
3. Conflicts between mother company and local dealer
which might affect the sales as customers would go
for competitors.
 PESTEL Analysis
• Political

Safety policies and measures of the vehicles to match with the

Egyptian regulatory authority and customer protection agency
 PESTEL Analysis
• Economical

1. Pandemic of Covid-19, the production and demand shortage

that hit all markets and automobile market specifically
2. Fluctuations of the USD
 PESTEL Analysis
• Social

The Egyptian customer mindset has the fascination of owning

the latest models or even owning a vehicle with a BMW logo on
it would help in raising his social class
 PESTEL Analysis
• Technological

1. Adapting to the newest technology into their cars taking into

consideration other competitors and fancy options that can be
added to their cars that are not available in the competitors’
cars in the Egyptian market
 PESTEL Analysis
• Environmental

1. Integration of sustainability worldwide

2. Introduction of electric cars
3. CSR in reducing the pollution
 PESTEL Analysis
• Legal

1. Involvement of lawsuits
2. Cases with customers who face faulty cars with the Egyptian
Protection Authority
 2 Objectives for 2022
1. Acquire more customer base by launching new locations
(showrooms, service centers and mobile service for privilege
customers)

2. Lead the Egyptian luxury cars market and extensively

provide and sell more electric drivetrain cars since it is the
futuristic path of automobile
 Growth Strategy
• Product Development

Product development is when introducing new products in

existing market.

BMW introduced cabriolet cars in the Egyptian market ex. 2

series convertible and Z4 cars when other competitors did,
eventually competitors such Mercedes – Benz followed ex. C &
E class cabriolet.
 Competitive Strategy
• Differentiation

1. Effective design and features integrated to each model of the

brand
2. Competitive post-sales service