Case Study-Cooper Tire and Rubber Company

Introduction

Cooper Tire & Rubber Company, founded in 1914, specializes in the manufacturing and marketing of rubber products for consumers. Products include automobile, truck and motorcycle endures, intragroup tubes, NVH control systems, automotive sealing, and fluid delivery systems. (http://www.cooper frighten away.com/about/).

The upshot study on Cooper mainly concentrates on the tire industry, and

Therefore the following analysis will be based on this.

Cooper Tire & Rubber co. has enjoyed much growth and good returns. However, with intense competition and developments in new technology, Cooper must follow suite to maintain competitive advantage by balancing efficiency with cost specifically in the reliever Tire Industry. To set the right strategies it is important for Cooper to first off analyse the external environment, both on a macro instruction and micro basis, and then assess the resources and capabilities/ debatences in order to modernise a detailed overview of the company.

The External Environment

The Macro environment; bloke framework

Political/Legal Analysis

The introduction of NAFTA and GATT has created new opportunities for tire manufacturers for the supply of nickel-and-dime(prenominal) labour. Companies can reduce their costs by producing their tires in cheap labour countries such as Mexico.

The foreign trade molar zone status, which reduces the companys duty payments on imported raw materials, avail smaller companies like Cooper greatly as it allows them to compete on an international level with relatively smaller bud targets.

The tire market is a heavily unionised industry, by URW the industrys union. everywhere the last years the union has won, after long strikes, increase wages and benefits for workers.

Economical

The industry as a whole is influenced by the economic demand for vehicles, this is characterised by the strength of the economy and the usable incomes of the consumers.

The early 90s recession had a major effect on the industry. The decline in the car industry meant that...

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