SWOT Analysis on Group 1 Automotive, Inc

Group 1 Automotive (Group 1) is one of the top operators in the automotive trading commerce around the globe. The assembly market deals with a wide range of automotive products and services, plus new and used vehicles and related financing, vehicle upholding and fix services, substitute parts, and guarantee, assurance and unlimited service contracts. Group 1 primarily operates in the US. . It run 119 franchises at 95 dealership areas and 22 rear-ender service centers in the US, and 10 franchises at 5 dealerships and 3 collision centers in the UK. The company mainly operates in Alabama, California, Florida, Georgia, Kansas, Louisiana, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, Oklahoma, South Carolina and Texas around the United States. Its head quarter is in Houston, Texas and has employed 6,990 people so far (Grant, (1991).

Group 1 Automotive SWOT Analysis


•    They have some very qualified forthcoming business partners and suppliers.

•    Group 1 remains fully aware form their competitors’ business frame work, line of attack and forecast of their upcoming projects.

•    Their web page has the majority company information available. So that they can keep their clients up to date from their latest products.

•    They set up their business when there were no such International renowned companies.


•    Being the part of a consumer company they have now less number of consumers, as some new companies have entered in the market.

•    Due to the crisis in the finance, the company has loss too much. The burden has increased on them.    


•    This opens many opportunities for attracting panorama customers and stores to its web of customers.

•    Group 1 has now started a new scheme to buy their products and deal on the computer online with their customers.

•    Apart from this the cost management that the business enjoys as its market policy has placed it in the market, giving it a chance to become the most known name in the business.


•    Being a member or partner of the consumer industry and doing trade with the use of fast affecting consumer goods, Group 1 Automotive is very much affected by market way of trading worldwide. At this time the market is in a downturn for this reason stock prices all around the world have reduced radically. As a result, by paying attention on the burning up power of consumers, the industry can undergo a ruin due to long in the works effects of downturn and decreased buying power of customers (Collis and Montgomery, 2008).

•    With wide-ranging logistic solutions to be had are less than one roof, many competitors can offer similar business solutions to smaller retailer stores and develop their business from there. Group 1 Automotive wants to build up on its advantage of cost management and separation plan to form closer ties and associations with their clients to have a long term advantage in the industry.

•    There is a warning for them that they may drop their customers, If their products way to high.


Collis, D. and Montgomery, C. (2008). ‘Competing on resources’, Harvard Business Review (R0807N).

Report Linker. (2012). Website: http://www.reportlinker.com/p0416717-summary/Group-1-Automotive-Inc-GPI-Financial-and-Strategic-SWOT-Analysis-Review.html Retrieved: 22nd Oct, 2012.

Grant, R. M. (1991). ‘Resource-based theory of competitive advantage: implications for Strategy formulation’, California Management Review, 33 (3), pp.114–135.

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