Toyota Case Analysis

Toyota is the world’s largest car manufacturer beating out Volkswagen, BMW and Daimler. They had double digit gains in April of 2014 delivering an impressive 13.3 percent more automobiles than April of the previous year. Despite the recall debacle that happened, they have been able to hold the No. 1 spot this year (Le, 2014). Toyota has numerous comparative benefits over their competition. They have a solid working model that produces high margins, a strong international brand that is known for quality and a business model that permits them to produce multiple car models for a very low amount of money while doing it at a fast pace and producing the best quality.

Toyota is following the best-cost strategy because with their Lexus line they charge lower prices compared to competitor’s luxury cars. Toyota offers substantial differentiation because it is able to provide high performance features and luxury with the Lexus models in comparison to other high end models such as the BMW. Toyota went from making high quality cars at low cost to making premium quality Lexus models at costs that are below other luxury car makers. These are specific characteristics that make each of these firms a best-cost provider. Toyota has established Lexus dealers which are separate from the Toyota dealers; this allows the Lexus dealers to provide a better level of customer service. With the Toyota Lexus, the company has given the customer a lower price from its competitors without compromising the luxury.

Toyota beat both Volkswagen and GM by offering 10.2 million vehicles in 2014 for sale. Then again, the organization expressed that the parent and auxiliaries/subsidiary — Daihatsu Motor Co and Hino Motors Ltd, hope to fall by 1% and just offer 10.1 million vehicles this year.

Throughout evaluation surveys by the consumers, Toyota has always configured the customers love their product because they deliver the reliability in their cars. Even after taking a setback like recalls on some of Toyota’s products, there still has been no hindrance in its sales and it has come back to after fixing all the glitches. Another reason behind Toyota success is that is focused on achieving a long-term business of their customer and it is also committed to delivering the best for the environment. Further in this paper will be discussed the specific primary and secondary markets Toyota targets and also what groups are targeted the most.

The Toyota Motor Corporation (TM) founded its organization on August 27, 1937, by Japanese entrepreneur Kiichiro Toyoda. Mr. Kiichiro and his son Shoichiro Toyoda primarily focused on design, assembly, manufacture, and sales of vehicles and its parts along with accessories in Japan, Asia, Europe, and North America. In addition to this, the company is well-known for mass-producing cars like Toyota, Daihatsu, Hino, and Lexus that sell in about 190 countries and regions, which has earned Toyota the reputation as being the world 's number one largest auto manufacturer. As a matter of fact, they also have advanced environmental technologies in the automotive industry with the success of the Hybrid Prius and Camry. According to TM 's annual report in 2013, the enterprise made "$213 billion and the business uses 333,498 workers at their different locations worldwide" (TMCG, 2016).

Toyota is a successful automaker. The quality of the products brought to market is of high quality and sold for a reasonable price. Their leadership showed strong business acumen and they were on the tip of the spear when it came to the innovation and marketing of hybrid vehicles. Their senior leadership and managers have anticipated market changes and kept their finger on the pulse of the consumers. Increasing market share, revenue, and profit have been the standard for Toyota. Management is a discipline of organizing and allocating a firms resources to achieve a desired outcome (Keat and Young 2009). For years, Toyota has reaped in the fruits of achieving their outcomes, but in late 2009 and early 2010 they faced economic conditions that turned their prosperous world upside down.

Toyota Motor Corporation is a Japanese automotive manufacturer, founded in 1937 as an extension of Toyoda Automatic Loom Works. A competitor in the motor vehicle industry. Noted in February 2016, as the 13th-largest company in the world by revenue. The largest automobile manufacture in 2012 (by production) which was ahead of General Motors (GM) and Volkswagen (Wikipedia, 2016). According to OICA 2012, Toyota is the world’s 1st automobile manufacturer to produce over 10 million vehicles per year. Worth 397 billion yen (equivalent to 3.27 billion US dollars, employing over 344k and has global sales of 9.147 million vehicles per year (Toyota Company Profile, 2015). Throughout the years that Toyota Motor Corporation has been in operation, it has prided itself on a well-established brand that is known for manufacturing high quality vehicles that leads in reliability, functionality and resilience.

Toyota is the largest automobile company in Japan and the second largest car seller in the world after General Motors. It produces approximately eight million vehicles annually, four million less than the General Motors. Toyota Company dominates the home market, with an estimate of 40% of all the vehicles being Toyotas (Ma). The company has a vast market share both in Europe and United States. It also has significant shares in other fast-growing countries in Asia. The company produces a range of vehicles that are valued for their quality, standards, reliability, design and ease of maintenance.

Toyota Motor Corporation is a Japanese multinational corporation. It is currently the world's largest automaker.

Toyota is a key player in global automotive market. Its structure constitutes if various production plants in different locations and a very strong branding which helps it capture a major market share. Like other enterprises, Toyota has several strengths and weakness which makes it what it is now. Toyota heavily invests in Research and development which helps it come up reputable product line which is spread out throughout the world because of its strengthening global distribution network however its recent product recalling, loose grip in key geographic areas and wrong allocation of resources shows that even a strong brand like Toyota has its weaknesses.

By 2007, Toyota was leading its industry as the largest automotive manufacturer in the world. Operating under a strong growth strategy, their reputation for exceptional quality and high safety ratings coupled with operational efficiency promoted their competitive advantage. Furthermore, Toyota was principally the symbol of excellence and a benchmark for every other company. When examining their strategy under Porter’s model Toyota maintains a strong combined plan focusing on both cost leadership and broad differentiation. Through the process of lean daily management and just-in-time delivery Toyota led the manufacturing world with a distinguished level of efficiency. Examining their success and processes, manufacturing was transformed and Toyota was the envy of many. Additionally, through innovation Toyota actively sought differentiation as a generic tactic. Hybrid technology was successfully implemented into their Prius model vehicles and the Prius became the first, pioneering mass-produced vehicle of its kind.

According to the Toyota case, TMEM suffered from continuing losses due to unsatisfied and unanticipated exchange risks that euro kept depreciation since the year 2000. Based on financial theories and advice, financial derivatives, especially future and option contract, are mostly used for hedging exchange risks. On the other hand, some non-financial measurements can also be considered, like market diversification and product differentiation.

Toyota Motors Company is multinational Japanese automobile manufacturer, a corporation that has it 's headquartered at Toyota, Aichi. Toyota Motors are the largest world’s manufacturer of the automobiles about the data of 2013 by the number of vehicles. Toyota was also the biggest producer of the cars in 2012 and has been the first an automobile manufacturer that produced ten million vehicles per year. It is also listed the most major manufacturing company in Japan of the market capitalization and revenue. The motors industry produces its vehicles under the five viz. Toyota, Lexus, Ranz, Hino and Scion. Toyota Motors Company also has joint ventures that are Toyota Kirloskar based in India, GAC Toyota and the Sichuan

The last business strategy is Andan and Pull system- under this Toyota analyzes the problem and stop it their only and secondly, push some opportunities for the employees so that they can gain wisdom from their production.

One potential threat for Volkswagen is that Toyota may respond strategically by also cutting its prices. However, given Toyota’s quality problems over the past year, they will not be able to lower prices, as this possibly would create the perception of lower quality.. First and foremost, Toyota needs to ensure it handles its quality problems to its customers’ satisfaction. The auto maker needs to ensure the public perception is that Toyota is being upfront, honest, and responsible in dealing with recalls and the