Trident MGT 499: Toyota's Business Analysis and Recommendations
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Toyota is a world leading automobile manufacturer, headquartered in Japan, but selling its vehicles throughout the entire world. The company is a notable success story within the business community due to its strategy of global expansion. As the established leaders of the American automobile industry failed to adapt their offer to the changing needs of their customers, Toyota proved able to adapt its production to the new needs, creating small size and fuel efficient engines. This situation has increased the market share of the Japanese cars in the American and global market place.
Aside from its increasing global presence however, Toyota has also been characterized by strong business models, decreasing incomes or public perceptions problems. Toyota is a highly structured company, basing its business operation on strict strategies, such as sustained investments in technology, global expansion efforts or the support of the communities in which it operates. Despite these strong business strategies, 2012 has brought about a decrease in the company's financial results, and this decrease can be attributed to two specific issues.
On the one hand, there was the internationalized economic recession, which decreased the sales of the overall automobile industry due to decreases in consumer spending power. On the other hand however, there was the company specific problem of recalls. Throughout its existence, Toyota has sometimes recalled its vehicles into shop