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The company's major options in this decision were whether to sell only the Eagle brand tires or all of the Goodyear tire brands.
Analysis and Evaluation
The tire industry is global in area and most competitors originate, market and sell their products worldwide. There are ten tire manufacturers that account for 75% of worldwide tire production. Of the ten tire manufacturers, Goodyear is the second largest. The industry divides into two markets: 1. The original equipment tire market and 2. The replacement tire market. The original equipment tires account for 25-30 percent of the company's production each year and the replacement tire market accounts for 70-75 percent of the production each year...
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