A Strategic Analysis of Toyota Motor Corporation Essay

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Understanding Strategic Management A Strategic Analysis of Toyota Motor Corporation Industry: Automotive Industry CONTENTS ABOUT TOYOTA MOTOR CORPORATION PAGE 3 EXTERNAL STRATEGIC ANALYSIS:- PESTEL PORTER’S FIVE FORCE ANALYSIS COMPETITIVE ANALYSIS PAGE 3, 4, 5 AND 6 INTERNAL STRATEGIC ANALYSIS:- SWOT ANALYSIS PORTER’S VALUE CHAIN ANALYSIS PAGE 6, 7 AND 8 STRATEGY FORMULATION:- PORTER’S GENERIC OPTION ANALYSIS ANSOFF MATRIX ANALYSIS PAGE 8,9 AND 10 RECOMMENDATIONS PAGE 10 CONCLUSION PAGE 10 REFERENCES PAGE 11 LIST OF TABLES AND FIGURES TABLE OF FINANCIAL REPORT OF TOYOTA PAGE 3 TABLE OF COMPARISON OF TOYOTA AND HONDA PAGE…show more content…
We will start the external analysis with the PESTEL analysis of the automotive sector followed by the Porter’s five forces analysis and we will end by having a look at the key competitors and competitor pricing. PESTEL ANALYSIS The PESTEL analysis consists the analysis of Political, Economical, Social, Technological, Legal, Legal and Environmental forces of a particular industry of a country. Political analysis The political factors differ from country to country. During difficult times of recession, every country’s government helps the automotive industry players by taking out various remedy policies like when Toyota got a loan of $2 billion sanctioned from the Japanese government. According to the new laws Toyota has been asked to reduce Cos generated from its cars, which has created a big challenge for the company. Economic analysis Currently recession is prevailing in the market so the global car sale of Toyota is showing a downward trend. Also changes in interest rates, inflation and currency rates can act both as a threat and an opportunity. Inflation rates differ from country to country for instance in Japan the inflation rate is relatively low as compared to USA. The lower the interest rate, the better its for Toyota since the

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