Kurita Water Industries SWOT and PESTLE Analysis
COMPANY PROFILE -Kurita Water Industries
Business Sector :Water Treatment Service
Operating Geography :Japan, Asia, Global
About Kurita Water Industries :
Kurita Water Industries Ltd. is a Japanese business that manufactures, sells, and maintains water treatment systems and equipment with its headquarters in Tokyo, Japan. Haruo Kurita established the company in 1949 as a chemical water treatment company (boiler water treatment chemicals). Water purification, wastewater treatment, and soil remediation systems are among the company's products. Kurita also specializes in making water treatment chemicals for use in sanitation, air conditioning, and building. The business is divided into two areas. The Water Treatment Chemical division is involved in the production and marketing of water treatment chemicals and equipment, as well as providing maintenance services. The Water Treatment Equipment section manufactures and sells water treatment equipment and facilities, as well as chemical cleanings and precision cleaning services, soil and groundwater purification, and maintenance services such as water treatment facility operation and maintenance. Kurita Water Industries Ltd. has been added to the FTSE Blossom Japan Sector Relative Index as of 2022, a stock index designed for ESG (Environmental, Social, and Governance) investing. Kurita has been included in all of the GPIF-selected indexes for ESG investment.
Kurita Water Industries Ltd.'s USP lies in its being a technology-driven company with superior R&D skills, with a network that spans Japan and extends abroad. The mission statement of the Kurita Group reads, “A Creator of unique value to the solution of water and environment“, contributing to the realization of a sustainable society.
Kurita Water Industries Revenue :
US$2.4 billion - FY ending March 31, 2021
US$7,863 million - FY ending March 31, 2020
Competitive Analysis of Kurita Water Industries
| Strengths | Weaknesses |
| 1. Leading Japanese water treatment company with high-quality offerings catering to a wide range of industries 2. Kuritas has a strong global presence and has conducted successful partnerships and M&As 3. Indispensability of many of the Kurita’s water treatment chemicals and the services for its clients giving it a moat 4. Strong CSR policy which is at the core of the business 5. Kuritas has a strong focus on technology and R&D for its products and equipment, owning intellectual property | 1. Aging infrastructure and equipment maintenance is a challenge |
| Opportunities | Threats |
| 1. Develop proprietary solution models which support region-wide improvements in water and energy efficiency 2. Expand operations to new geographies and develop new customer relations 3. Increase profitability in overseas operations 4. Tapping into high growth markets through enhanced solutions | 1. Water treatment industry is highly competitive 2. Rising energy and electricity prices can spike costs |
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Detailed SWOT Analysis of Kurita Water Industries
Strength
1. Leading Japanese water treatment company with high-quality offerings catering to a wide range of industries: Kurita Water Industries Ltd. is a global water treatment company providing solutions in the environmental treatment space. Other than manufacturing and selling water treatment chemicals, the company has expanded its solutions offering by tapping into other solutions such as soil treatment, Cost Saving, Energy Saving, improving production efficiency and Product Quality and venturing into the electronics industry. The company additionally offers remote monitoring services, Water supply and other contracted services, Water treatment consultation and information services as well as services to support the effective use of land after purification. Kuritas provides a wide range of products in water treatment chemicals and facilities such as Boiler Water treatment chemicals, Cooling Water treatment chemicals, Wastewater treatment chemicals, ultrapure water production systems, Wastewater treatment systems as well as other products such as soil and groundwater contamination remediation, Precision tool cleaning among others. The company caters to a wide range of industries such as the beverage and food industry, automobile manufacturing and electronics industry as well as pulp, paper and chemical industry. The company provides comprehensive and integrated solutions to its clients in various countries and industries. The company’s comprehensive strength lies in its manufacturing, technology and business capabilities which it has honed through diverse and rich experience in the industry, employing the best talent from around the world.
2. Kurita’s has a strong global presence and has conducted successful partnerships and M&As: Kurita’s Water Industries Inc. has expanded its presence in Japan since 1949 and became an established environmental company. It promotes the finest Japanese technology and methods and has been successful in its operations throughout the years. Kuritas began its international expansion to Asia, Europe and the Americas early on by establishing Kuritas do Brazil LTD. which manufactured and sold water treatment chemicals. The company then proceeded to enter Indonesia, Taiwan, Thailand and Germany through establishments of Kuritas manufacturing and treatment units as well as acquisitions of companies existing in countries of interest. For example, Kuritas acquired a water treatment chemical, paper process chemicals and alumina compound businesses named BK Giulini GmbH from Israel Chemicals Ltd. and established Kurita Europe APW GmbH. Kuritas also expanded to the USA in 1996, Korea and Australia with its rigorous global expansion strategy. Within Asia, Kuritas and its subsidiaries are present in Singapore, Thailand, Indonesia, Korea, Malaysia, Vietnam, Taiwan and China. Within Europe and Americas, the company is present in Germany, Italy, Sweden, Turkey, UK, France, Spain, Poland, UAE, Saudi Arabia, Canada, USA and Brazil. The company’s expanded operational base and efficiency display its strengths of long-term vision and strategy, operational efficiency as well as scalability and high quality of solutions with demand all over the world.
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Weakness
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Opportunity
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Threat
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Major Competitors :
- Solenis
- ChemTreat
- Ecolab
- Buckman
- Hydrite
- Kemira
- Aries Chemical
- Hach Company
- AAshlan Glass Block
- VersTipp
Major Brands :
- Kurita Chemicals Ltd. (Hokkaido, Kantou, Tokai, Hokuriku, Kansai, Sanyo, West Japan)
- Land Solutions Inc.
- Miyoshi Industries Co. Ltd.
- Nippon Fine Co., Ltd.
- Aoi Industries Co. Ltd.
- Kuritec Service Co Ltd.
- San-ei Industries Co. Ltd.
- P.T. Kurita Indonesia
- Pentagon Technologies Group Inc.
- Avista Technologies Inc.
- Hansu Technical Service Ltd.
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References used in Kurita Water Industries SWOT & PESTLE Analysis Report
1. Annual Report - https://ir.kurita.co.jp/en/downloads/pdf/annual_2020_en.pdf
2. About us - https://www.kurita.co.jp/english/aboutus/index.html
3. Kurita's Total Solution - https://www.kurita.co.jp/english/technology/research_development.html
4. What should you do with ageing wastewater infrastructure - https://www.oxymem.com/blog/what-should-you-do-with-ageing-wastewater-infrastructure
5. Results Presentation - https://ir.kurita.co.jp/en/downloads/pdf/presentation_220203_01_en.pdf
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Kurita Water Industries SWOT and PESTLE analysis has been conducted by Medha Sinha and reviewed by senior analysts from Barakaat Consulting.
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