• Welcome to this forum . We are a worldwide group with a common interest in Birmingham and its history. While here, please follow a few simple rules. We ask that you respect other members, thank those who have helped you and please keep your contributions on-topic with the thread.

    We do hope you enjoy your visit. BHF Admin Team

Dunlop

Dunlop were an impressive company once. They seemed to make everything and the Dunlop logo appearing everywhere. From car tyres to aeroplane tyres, all sorts of rubber goods to sporting goods and even fashionable spots clothing items. Just wondering where it all went wrong.

They did seem to focus on the car tyre industry, which in my opinion would quickly became highly competitive market. Just the growing demand for cars was indicating a lot more countries were going to start manufacturing and exporting worldwide.

'Thatcherism', no state aid for struggling companies allowed.

Dunlops position of debt in the eraly 80's was not unique to Dunlop. The 70's was devasting for the whole tyre industry. 2 oil embargo's killed trye demand. Rampant inflation and multiple recessions squeezed margins. Then tyres changed from crossply to radial, requiring huge retooling costs across all factories.

Sure Dunlop compounded these problems with their own devasting mistakes. The merger with Pirelli, a slow change from crossply to radial costing market share. They was even making wooden tennis rackets until the early 80's, when the whole market had changed to acrylic.

But the fact still stands, Michelin and Pirelli was in the same amount of debt at the same time as Dunlop, but they got state aid from their governments, Dunlop did not. Dunlop was then picked off in 1985 on the cheap and broken up into little bits for huge profit.

Dunlop had a saying 'What is good for the UK is good for Dunlop', many decisions the company made, put the UK before company interests. It's tragic in their hour of need, the country was not there for them.
 
Back
Top