Toyota 's Business Strategy : Toyota Motor Corporation

INTRODUCTION Toyota is one of the world’s best-known and most successful businesses, building cars and trucks in 27 countries for sale in more than 170 markets around the globe. Worldwide production was 9.5 million (8.5 million for Toyota and Lexus brand vehicles) in 2007, placing Toyota Motor Corporation (TMC) firmly among the world’s leading vehicle manufacturers. This result keeps it on course to achieve its ambition of becoming the world number one by the end of the decade, with a 15 per cent market share.

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.

Employees: Toyota considers employees as its most important stakeholders. This stakeholder group aims for job guarantee, career future and fair employment treatments.

Nowadays, due to globalization, local markets have strongly expanded and became part of global markets, which lead to a strong increase in competition between organizations. They now do not only have to compete with other local organizations, but with organizations globally. This makes it necessary for organizations to keep up with the increasing speed of innovation. In order to deal with the increasing global competition, one must distinguish him by taking the importance of diversification seriously and be aware of the importance of creating a strong identity. The famous British psychologist Edward de Bono once said:

Kiichiro Toyoda was the founder of Toyota Motor Corporation and the automotive-centered Toyota Group. Kiichiro was a keen, skillful inventor and the continuous resolve of invention helped him to create the business base acquired from his father, Sakichi Toyoda. With the incessant drive towards innovation and invention, Kiichiro extended into the automotive business and build the groundwork of Toyota Group that you see today.

They are a Japanese company that was founded in 1937 and now they take on the task of designing, manufacturing, constructing and sales of commercial cars, minivans, passenger cars and also related accessories and parts in North America, Europe and all across Asia. Toyota vehicles are sold all across the globe and brands such as Lexus, Daihatsu and Hino Brands are all under the Toyota Group. Toyota Motor Corporation are the leaders of the Motor industry when it comes to environmental technology. With their biggest success coming from the Hybrid Prius and the Camry Prius. As of 5th February 2016, Toyota Motor Corporation became the first Japanese company to top 3 trillion yen in annual operating profit. As of 31st March

Toyota Motor Corporation is a Japanese automobile manufacturing company which was founded in 1937 by Kiichiro Toyoda from his father’s spinning and weaving company. The company rises after post war era and became the world’s largest automobile manufacturer in 2012 beating General motors and Volkswagen behind and is by revenue it stands at twelfth place. Toyota group presently consist of 15 companies involved in design, manufacture, and sales of all classes of automobiles and their parts, also steel manufacturing, and textile machine production. With more than 3 lakh employees, revenue around $210 billion and presence all across the globe with 14 overseas manufacturing facilities Toyota is competing to sustain the leadership position in the sector.

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.

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 car Manufacturer organization headquartered in Toyota, Aichi, Japan. It was established by Kiichiro Toyoda in 1937 as a spinoff from his dad 's organization Toyota Industries to make cars. Three years prior, in 1934, while still a branch of Toyota Industries, it made its first item, the Type A motor, and, in 1936, its first traveler auto, the Toyota AA.

Toyota Motor Corporation (Japanese Toyota Jidōsha KK) became the largest automobile manufacturer in the world for the first time in 2008. The company has acquired over 600 subsidiary companies; they specialize in the production of automobiles, auto parts, commercial and industrial vehicles. In 1936 they produced the first Toyota a Model AA Sedan, the company rapidly began to grow but, was faced with an economic crisis after World War II which forced them to stop the production of automobiles. Toyota managed to reopen production factories by the 1950s, they began to research and study on how to improve the production of cars, in fact; they used a lot of fundamental ideas from the Ford Motor Company to develop their production factories and of course, made the designs more efficient. In 1957 Toyota Motor Sales, U.S.A., Inc., was established, and they released the Toyopet sedan the following year which was a flop due to cost and performance. 1958 a utility vehicle Land Cruiser ended up doing much better in sales than the Toyopet. After going back to the drawing board, the Toyota Corona released with became a big hit in the US. Toyota rapidly began to expand the company merged with General Motors Corporation in 1986 which started US production of Toyota brand cars.Toyota has procured plants and distributors worldwide, the expansion in other industries includes manufacturing of rubber and cork materials, steel, synthetic resins, automatic looms, cotton and woolen goods.

Toyota Motor Corporation is an extraordinary Japanese automaker organization, which is one of the best driving auto makers on the planet; it 's headquartered in Toyota, Aichi, Japan. The organization was established by Kiichiro Toyoda in 1937. The owners of the company are Japan Trustee Services Bank (9.61%), Toyota Industries Corporation (6.48%), The Master Trust Bank of Japan (5.27%), State Street Bank and Trust Company (3.72%) and Nippon Life Insurance Company (3.54%). In March 2014 the multinational organization comprised of 338,875 representatives overall and, as of November 2014, is the eleventh-biggest organization on the planet by income. The products of Toyota are Automobiles, luxury vehicles, business vehicles,

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.

65 years ago, in 1937, Toyota Motor Corporation was founded primarily as a subsidiary of Toyota Automatic Works, one of the largest manufacturers of weaving machines led by the "King of Inventors" Sakichi Toyoda.

Toyoda and Honda are both automobile giants in the world. As everyone knows, Toyota is Japan’s No.1 car company, and Honda is the second car company in Japan. Toyota was founded by Kiichiro Toyoda in 1937 in Japan, two years after he built his first car. The company began to produce cars, trucks, vans and SUVs, expanding rapidly through the years. One of Toyota’s notable achievements was the creation of the high-end luxury brand, Lexus.