Honda Accord Hybrid

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Honda Accord Hybrid

A SWOT analysis is a useful tool that companies use in making business decisions. Before any business action is taken, it is essential to try and predict the impact of such an action on the business. The SWOT analysis comes in handy as an object business analysis tool that allows businesses to critically examine internal as well as external factors that form an essential part of their operations. The motor-vehicle industry is no different, and in analyzing different models of vehicles, the companies employ the SWOT matrix to make projections. Honda is a widely-recognized manufacturer of motor vehicles, and the Accord is one of its best-selling models. Honda first introduced the hybrid version of the Accord in 2005 through 2007, and then took a seven-year hiatus before reintroducing it in 2014. The SWOT analysis is a useful tool in analyzing the strengths and weaknesses of the hybrid accord, as well as its opportunities as threats.

Environmental concerns are the primary reason why most manufacturers have introduced hybrid models. Emissions from motor vehicles that consume fossil fuels contribute significantly to environmental pollution, and car manufacturers are keen to do their part in mitigating climate change. Some countries such as France have already committed to eliminating automobiles running on fossil fuels in the near future, increasing the need for hybrid and electric vehicles (Doll, 12). Honda is one such company that has taken stock of the current environmental conditions and produced a hybrid version of the popular Accord model. The company released its first-generation Honda Accord Hybrid back in 2005 for two years before halting production in 2007. However, the company re-entered the hybrid market in 2014 with newer hybrid models.

In carrying out a SWOT analysis, strengths and weaknesses relate to internal factors. The first strength of the Honda Accord Hybrid is its fuel efficiency. One can cover more miles with less amount of fuel, allowing them to save on the costs of fuel. In addition to lower costs of fuel, fuel efficiency also has environmental benefits. The main reason for the production of hybrid vehicles is to lower their consumption of fuel with electric features (Olszewski 3). The Accord Hybrid presents fuel efficiency as one of its most attractive factors. Another point of strength for the Honda Accord Hybrid is its roomy interior and a large trunk. These features make the Honda Accord Hybrid especially suited for families who may have to travel regularly with much luggage. The model also offers extra features such as a head-up display and wireless charging. Honda is a popular brand among consumers, and this factor presents the Accord Hybrid as a good choice for customers who are already aware of the Honda brand. Additionally, Honda employs marketing and advertising strategies to position itself strategically in the market, making this another strength for the Honda Accord Hybrid. On the negative side, the Accord hybrid being a hybrid model makes it a bit pricier than other models in the vehicle that use petrol, and the elevated price proves to be a point of weakness. However, when it comes to competition with rival models, the Honda Accord Hybrid proves to have a lower starting price, which is an advantage.

Opportunities and threats present an opportunity for a business to analyze the relevant external factors such as competition. The first opportunity that the Honda Accord Hybrid is Honda’s market presence and popularity. Honda has a market presence in more than 100 countries across the world, meaning it has millions of customers aware of the brand. The Hybrid can harness this market presence for sales (Romm & Frank 72). Given its established presence, the Honda should make access to service for its Accord Hybrid more accessible. This is another area of opportunity for the Honda Accord Hybrid. When it comes to threats, the main one lies with competition within the market. Toyota is one of Honda’s main competitors in the hybrid models, and the company is giving Honda a run for its money. The stiff competition and fight for market share is the biggest threat facing the Honda Accord Hybrid.

For a business to be as successful as possible, it should try to convert its shortcomings into assets. The Honda Accord Hybrid’s weakness is higher prices compared to petrol-consuming models. To change this weakness into a strength, the company should model the Accord hybrid as a car for environmentally conscious, which will help in lessening emissions. As people’s concern for the environment grows, they are likely to view the hybrid as a good choice. Competition in the hybrid market is the biggest threat that the Honda Accord Hybrid faces, and Honda should work on converting this into an opportunity. Given the fact that Honda has been around for many years and serves different industries, it should capitalize on its trusted status and market presence to leverage itself above its competitors.

In conclusion, the Honda Accord Hybrid is an excellent choice for environmentally conscious customers seeking to play a part in saving the environment, as well as cutting down on their fuel costs. In analyzing the model using the SWOT matrix, it has several strengths and weaknesses, as well as opportunities and strengths. Evaluating these four points is useful for the brand’s business model, as well as for consumers in weighing their options for a hybrid model. Honda should look for ways to capitalize on its market saturation to sell more of the Accord hybrid model. Works Cited

Doll, Claus. “Innovation in vehicle technology–The case of hybrid electric vehicles.” DIME International Conference’Innovation, sustainability and policy. 2008.

Olszewski, Mitch. “Evaluation of 2005 Honda Accord hybrid electric drive system.” Oak Ridge Nat. Lab., US Dept. Energy (2006).

Romm, Joseph J., and Andrew A. Frank. “Hybrid vehicles gain traction.” Scientific American 294.4 (2006): 72-79.