Preview

Toyota Case Study

Good Essays
Open Document
Open Document
885 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Toyota Case Study
Toyota is a great company that has been very successful over the past couple of decades. Toyota was founded in 1926 by Sakichi Toyoda, and in 2006, 8.5 million vehicles had been produced. Toyota has surpassed Ford and is on its way on surpassing General Motors. Toyota still has its challenges and that is what the SWOT and Porter’s Five Force Analysis will show (Hill, Jones p. c61-c72). Starting off with the SWOT Analysis for Toyota is strengths are that in 2005 Toyota’s factories in the US and China saw profits rise. The net profits rose .8% to $11 billion. This is because the company has the right mix of products for the market that it is in. In 2003, Toyota moved ahead of Ford to become the world’s second largest carmaker (http://www.marketingteacher.com/SWOT/toyota_swot.htm). The weaknesses for Toyota are being able to figure out what customers want. Toyota has to take inconsideration the economy of the U.S., which is one of its biggest clients. The must figure out what people are going to want to buy in the sense of cars. Toyota must keep producing cars to stay in control of what they are doing. If the market goes down then it would be bad for Toyota to have a bunch of made cars sitting around. But, if the market is going well, then Toyota must have the right amount of cars so it can make sales and not lose money (http://www.marketingteacher.com/SWOT/toyota_swot.htm). The opportunities for Toyota are the new fuel efficient cars that they are producing. With the oil prices reaching record highs, Toyota has the advantage over other car manufactures with their more fuel efficient cars. This is one of their keys to success right now. Toyota is also producing cars that are targeted towards the younger generation of drivers. Much money can be made here also (http://www.marketingteacher.com/SWOT/toyota_swot.htm). The threats for Toyota are product recalls. In 2005, the company had to recall a significant number if SUV’s and pick up trucks.


Cited: Hill, Jones. Strategic Management. Houghton Mifflin Company, 2007. Pages C61 to C72. http://www.marketingteacher.com/SWOT/toyota_swot.htm http://www.hoovers.com/toyota/--ID__41889,period__A--/free-co-fin-income.xhtml

You May Also Find These Documents Helpful

  • Powerful Essays

    Tui Mgt 499 Module 2 Case

    • 1230 Words
    • 5 Pages

    Numerous opportunities currently exist for Toyota such as the new fuel-efficient cars that they are producing. With rising oil prices, the company can take advantage of its continuous Innovation, particularly the manufacturing of green cars such as the Prius model to increase sales. Investment in advanced technologies and R&D activity will enhance the widening of product portfolio that meets the diverse needs of consumers seeking alternative sources of fuels away from fuel guzzlers. Innovation will help the company to produce cars which have greater performance and less damage on the environment.…

    • 1230 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    For more than 50 years, Toyota Motor Corporation has been one of the world’s leading manufacturers of motor vehicles in the United States. It was born a Japanese company in 1935 and came to America in 1957. Now headquartered in Toyota City, Japan, it employs more than 300 thousand employees globally (Toyota Motor Corporation Company Profile, 2012). In addition Toyota is a global marketing organization. It strategically operates primarily through Japan, Asia, Europe, and North America; but its vehicles are sold in more than 170 countries and regions across the globe (Toyota Motor Corporation Company Profile, 2012). The Toyota brand is traditionally defined by brand attributes such as global leadership, innovation, durability, reliability, and sustainability. It represents an industry leading product line of several models including the 1955 flop Toyopet, the 1965 comeback Corona, the Corolla, Toyota trucks, the luxury Lexus, the Avalon, Solara, Scion, and the world’s first hybrid the Prius.…

    • 2274 Words
    • 10 Pages
    Powerful Essays
  • Best Essays

    Operation Improvement Plan

    • 2867 Words
    • 12 Pages

    The Toyota Motor Corporation has experienced numerous setbacks the past decade including lawsuits, damaged corporate reputation and eroding consumer confidence. Although many different processes can be to blame for this, ultimately it is Toyota’s upper management that has to be held accountable for the decisions made. One of the contributing factors to these poor decisions is the breakdown in the concept of continuous improvement due ideas and knowledge shared by employees not being embraced by management. This is a violation of the Toyota Way and Toyota needs to return to their roots. Data around Toyota’s employees has been collected to support the fact that internally Toyota treats its employees’ average compared to other global companies. Employees cited poor leadership and lack of direction as major complaints. External to…

    • 2867 Words
    • 12 Pages
    Best Essays
  • Satisfactory Essays

    Toyota Way, Way Off-Road

    • 395 Words
    • 2 Pages

    The third strategy that Toyota pursue is the International Expansion, Toyota now have plants all over the world which is growing even wider in order to be the largest carmaker in the world as mentioned in the article that they are ready to sweep past General Motor Corp. as the world’s biggest carmaker in the next year or so.…

    • 395 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Toyota Motor Corp.

    • 414 Words
    • 2 Pages

    The manufacturer has a vast scope and delves into many parts of the automobile industry. Toyota primarily manufactures cars but it also researches and develops new technologies to improve the efficiency and quality of their cars. The establishment also provides all of their car parts and accessories for cars for just the luxury of the customer. It also makes motorsports cars for…

    • 414 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Toyota was founded in 1937 by Kiichoro Toyoda where in the year 1957 it entered the United States America with the crown. Today, Toyota is considered to be the globe largest automobile manufacturers where in 2011 eight million cars were produced. Toyota has continued to enjoy as a market leader in the automobile industry due to its most valuable and leading brands namely; Scion, Lexus, Daihatsu ad Toyota. Thomas (2001) maintain that, in the USA, Toyota has significantly grown through acquisition merges with majority shares being held by Daihatsu (51%). Besides in the United States of America, Toyota has its assembling plants and factories in over twenty countries across the globe. These countries are; Australia, Canada, Egypt, Poland and United Kingdom. In summary, Toyota has consolidated over 540 subsidiaries thus considered as a giant multinational company. Thomas (2001) maintain that, Toyota’s vast size and ability is a grand advantage in meeting automotive industry enlargement. The number of customers requiring vehicles is continuously increasing, thus creating a larger market for Toyota. The apparent significance of owning a car due to increased motion needs in today’s chiefly corporate world is continually increasing as well. Toyota’s great size has enabled them to effectively meet the needs of this increasing population of consumers in need of vehicles.…

    • 2812 Words
    • 12 Pages
    Powerful Essays
  • Powerful Essays

    In 2003 Toyota knocked its rivals Ford into third spot, to become the World's second largest carmaker with 6.78 million units. The company is still behind rivals General Motors with 8.59 million units in the same period. Its strong industry position is based upon a number of factors including a diversified product range, highly targeted marketing…

    • 1313 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    International Business

    • 2653 Words
    • 11 Pages

    To make products enter into the the target market smoothly, suitable entrance mode should be choosen. Products of Toyota has enter into Chinese market for many years, for example, Camry, Lexus and Prius. It can be perceived as holding the advantage in Chinese market.…

    • 2653 Words
    • 11 Pages
    Powerful Essays
  • Good Essays

    Case Study Toyota

    • 1043 Words
    • 5 Pages

    Toyota Corporation growth is far greater than any other car manufacturers, because according to customer segmentation market preferences: mini car luxury SUV and motor vehicles, Toyota Corporation produced a wide range of trucks, vans and buses. Some of their products are according to the customer's needs. They create their own market segments. They produce scion vehicle target adolescent became famous. Custom: Custom process to modify some product characteristics. Toyota Corporation…

    • 1043 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Toyota's Crisis

    • 3407 Words
    • 14 Pages

    New York Times ( 2011 ). Toyota Motor Corporation. New York Times (Nov. 8). Retrieved November 24, 2011 from http://topics.nytimes.com/top/news/business/companies/toyota_motor_corporation/index.html?scp=2&sq=toyota%20recall&st=cse…

    • 3407 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    Toyota’s analysis does a very good job of recognizing their weaknesses and threats for each action they want to take and for general risks. By recognizing threats such as the Kyoto Protocol, it gives us reason to believe that Toyota is very much looking into the future for how to expand. This analysis adds confidence to their endeavours. One of the key weaknesses they also look into is their overdependence on the Japanese market. In the analysis, they state that their profits dropped 20.6% in Japan over the fiscal year of 2009. This is quite serious when 67.3% of their total revenue is made up from their Japanese market. Still, while Toyota realizes their fault in depending on mostly on Japan, the new areas they want to expand in bring questions. One place they listed for increasing focus is in India. This is a very risky move on Toyota’s part due to the new Tata Nano. The Nano is being released exclusively in India for the first few months and already has a high turnaround predicted. Even though India appears to be a very good market for expansion due to their low penetration ratio (eight per one thousand people), it’s hard to believe focusing on the Indian market will be worthwhile, especially since Tata Motors is headquartered in India. Another area that seems odd for Toyota to try and expand is in China. China currently is still a very good spot for cheap costs on production. However, it is predicted that China will continue to increase its labour costs. These increasing costs will greatly diminish the attractiveness of expansion and focus in China. Toyota should rethink their plan when it comes…

    • 591 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Vcm-Toyota

    • 912 Words
    • 4 Pages

    Toyota produced and sold over 6.5 million vehicles around the world in the end of June 2004. Toyota introduces the whole series of operation about car and truck production with three main objectives: reducing cost, increasing quality, controlling the production process more tightly.…

    • 912 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Toyota intro

    • 467 Words
    • 2 Pages

    Last year, Toyota’s revenue reached 18.5 trillion yen and they profited 283 billion yen. Toyota topped General Motors, selling 9.75 billion vehicles, with 2.1 million vehicles sold in the US market. In the US, Toyota has directly invested 19.5 billion and created 365,000 jobs at their 1500 dealers across the nation. Today, Toyota has extended its focus beyond automobile manufacturing into other fields, including housing, financial services, communications, marine and biotechnology, and afforestation.…

    • 467 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Swot Analysis Of Toyota

    • 940 Words
    • 4 Pages

    Toyota has a mixed strategy when it comes to position its product. It uses a mix of both, the differentiation as well as the low cost. This gives Toyota a competitive advantage in the automobile sector. Toyota basically has something for everyone, from low priced to hatchbacks to Lexus. They serve everyone. For people looking for an outdoor vehicle they have SUVs and four wheel drive trucks. For customers who want environment friendly vehicle they have PRIUS, the hybrid car.…

    • 940 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Saturn Case Analysis

    • 1522 Words
    • 7 Pages

    Toyota- focused differentiation, medium pricing, breadth of product line is low. Company is known for quality products, and nice styling.…

    • 1522 Words
    • 7 Pages
    Powerful Essays