John Deere SWOT Analysis – Know More

John Deere is one of the key industry manufacturers of agricultural equipment in the world with a global ranking of ‘’1’’. Founded in 1837, with headquarters in Illinois, U.S.A, the 185-year legacy company has made a whopping turnover of 44.024 billion U.S. dollars in 2021. Let us see about the SWOT Analysis of John Deere.

John Deere SWOT Analysis - Know More

SWOT Analysis

To sustain the success made by the organization over the years, it is important to conduct an in-depth study of the various dynamic factors that affect the business and implement the results of the study through a continuous improvement feedback process. 

The SWOT analysis technique is a powerful tool that aids to make strategic decisions by capturing areas where the organization excels (strengths) and areas where the organization is competitively on a lower platform (weaknesses). The analysis also brings to light opportunities for potential growth and short-term and long-term threats that may impact the business.

SWOT analysis of John Deere

Let us dive into the SWOT analysis of John Deere.


The areas where John Deere scores high are listed below:

Value-First Organization

– John Deere believes that values come first and has demonstrated uncompromising business ethics, which has made it a trusted brand over the years.

People At The Centre

– By investing well in its people, John Deere provides an environment where people thrive and continuously contribute to the organization. People tend to stay for a longer time as they are provided with training at every stage to help them leverage and grow with the organization. As such, the organization attracts and retains a sustainable workforce.

Expansion Of Key Segments

– John Deere has diversified its business over various verticals ranging from agriculture, construction, forestry, parts, service, and finance. Each segment adds to the company’s turnover.

Equipment Build Quality And Dealer Service

– The brand is known for its strong equipment build quality. The responsive and diligent aftermarket service makes it a popular choice for customers.

Telematics Systems

– The John Deere Connected equipment technology is the latest addition to the product line. The ‘’Connected Machine’’ system makes use of sensors to capture information from the field and relay the information to the operation center. Based on these real-time inputs, it is possible to innovate and develop more efficient and sustainable farm solutions. This technology is useful to identify underperforming land areas which add value to growers. 

Ease Of Operation

– The innovation in product design eases the job of the operator by simplifying complex tasks. As such, it is possible to deliver optimum results by spending less time on the job. Also, the equipment can be used by operators with varying degrees of skill levels.

Global Presence

– Having established a hold over the world, the global market is indicative of the potential to develop region-specific products, according to the needs of the customer from time to time.


The areas where John Deere is on a lower edge and needs improvement are listed below:

Marketing And Popularity

– Although John Deere remains the world’s number 1 farm equipment manufacturer, it is slightly less popular in comparison with its competitors such as JCB, Caterpillar, etc.

Gaps In Product Ranges

– At present, the company needs to focus on providing technology products integrated with the equipment and ensure that the technological solutions keep evolving and upgrading in the future.

Product Pricing

– The pricing strategy needs to be realigned with the business goals. As the pricing is on the higher side with fewer features, users tend to go for competitor brands that offer good features at a lesser price.

Water Usage

– The organization is yet to implement best practices for water management in locations all over the world, where water scarcity is reported.

Occupational Safety and Health

– The organization must turn its focus on putting the safety of customers and employees first place. The number of safety incidents reported in 2021 is seen to be higher than what was reported in the past.

Impact on the Environment

– The organization needs to improve more in making the environment a better place to live. To reduce the impact on the environment, using sustainable materials, and providing remanufactured, recycled, and renewable solutions must be implemented. These changes are in process.

Sustainable Usage of Energy

– The organization has to focus on improvising the product design and lowering the emission of greenhouse gases. This can be achieved by using more renewable sources of energy and by improving the energy efficiency of the equipment.


The areas that indicate the potential for John Deere to grow are listed below:

Transition To A Low Carbon Economy

–To cater to global climate needs, the future holds multiple opportunities for John Deere to innovate and develop solutions to reduce greenhouse emissions and improve energy excellence compared to what was achieved in the past. 

Journey Into Electrification

– With fully electric machines becoming popular due to various advantages such as low emissions and low operating costs, the future holds opportunities for developing electric versions of equipment. At present, John Deere has implemented the E-Power Backhoe on the field to get insights and leverage the production of other electric power equipment prototypes.

Upgrading the Existing

– With reuse and recycling becoming the mantra for a sustainable future, there are opportunities to help customers upgrade their existing equipment to increase efficiency and accuracy.


The below-listed roadblocks that are seen may pose challenges to the organization:


– With global attrition rates reported all over the world, labor issues are probable. 


– The rising cost of raw materials could reduce overall profits.

Financial Risks

– Due to the fluctuating demands across regions, certain risks may be involved across diversified geographies.


By understanding the various dynamic forces that come into play, it is possible to understand how each factor impacts the business on the whole and make strategic decisions accordingly.

  1. What is the future of John Deere?

John Deere has its own set of strengths which is evident from its success so far. It has to keep abreast with the latest technological advancements which are much needed for the company to sustain itself in the future.

John Deere SWOT Analysis – Know More

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