Michelin Tyres: In the land of Maharajas

Submitted By: Kumud Atin Abhishek Aaditya

Introduction
Michelin is a tyre manufacturer based in Clermont-Ferrand in the Auvergne rgion of France. It is one of the three largest tyre manufacturers in the world along with Bridgestone and GoodYear. In addition to the Michelin brand, it also owns the BFGoodrich, Kleber, Riken, Kormoran and Uniroyal (in North America) tyre brands. It is also notable for its Red and Green travel guides, its roadmaps, the Michelin stars that the Red Guide awards to restaurants for their cooking, and for its company mascot Bibendum, colloquially known as the Michelin Man. Among Michelin's numerous inventions, there is the removable tyre:
The PNEURAIL(a tyre for trains made to run on rails), and The radial tyre technology now used in modern "GREEN TYRES" that reduce fuel consumption.

History
Two brothers, douard and Andr Michelin, ran a rubber factory in Clermont-Ferrand, France. One day, a cyclist whose pneumatic tyre needed repair turned up at the factory. The tyre was glued to the rim, and it took over three hours to remove and repair the tyre, which then needed to be left overnight to dry. The next day, douard Michelin took the repaired bicycle into the factory yard to test. After only a few hundred metres, the tyre failed. Despite the setback, douard was enthusiastic about the pneumatic tyre, and he and his brother worked on creating their own version, one which did not need to be glued to the rim. Michelin was incorporated on 28 May 1888. In 1891, it took out its first patent for a removable pneumatic tyre which was used by Charles Terront to win the world's first long distance cycle race.

Why Michelin Tyres

Runs Longer- Michelin Energy XM2 runs more by up to 15 % * as compared to a previous generation Michelin Energy Tyre. It also runs more by up to 28 % as compared to a leading competitor in India.(More Mileage) Saves more fuel- The new MICHELIN ENERGY XM2 consumes less fuel thanks to an 8% reduction in rolling resistance when compared to a previous generation Michelin Energy tyre & to an 18 % reduction in rolling resistance when compared to a leading competitor in India. (Fuel Saving) Robust & Safer- The new MICHELIN ENERGY XM2 has a firm grip with the road surface which helps to reduce the braking distance and thus contributes to reducing accidents and improving safety. (Higher Safety)

Share Price at 17:35 on 03/26/2012 56.52 which is +1.46%

Market Share of Michelin In World

The Three Main Tyre Giants: Michelin, Bridgeston, Goodyear are equally in the World Market, while others having small no. of share.

With Sales Network Covering 170 Countries, 71 Production facilities in 19 Countries and 6 Rubber Tree Plantation in Nigeria and Brazil. Michelin has a Very wide geographic Coverage offering Euromaster in Europe & TCI In U.S.A.

With the aim to maximize its share in world market, Michelin is No. 1 in Geographic Breakdown of Personnel. As Michelin intended to privilege selective capacity investment & acquisition of these High Growth Emerging Markets.

Structure of Indian Tyre Industry

Tyres By Type
The Indian tyre industry produces the complete range of tyres required by the Indian automotive industry, except for aero tyres and some specialised tyres. Domestic manufacturers produce tyres for trucks, buses, passenger cars, jeeps, light trucks, tractors (front, rear and trailer), animal drawn vehicles, scooters, motorcycles, mopeds, bicycles and off-the-road vehicles and special defence vehicles.

Strategic Analysis of Indian Tyre Industry

Defining Porters Strategic Model

Defining Porters Strategic Model

The demand for tyres can be classified in terms of:

Type: Bus and Truck; Scooter; Motorcycle; Passenger Car; Tractor Market: OEM; Replacement; Export

Industry Analysis

Competitive Analysis of Indian Tyre Industry

SWOT Analysis

Thank You Very Much