TOYOTA CASE STUDY
Bernardine I. Felecia BSBA OM-3
TOYOTA CASE STUDY
Statement of the Problem: Toyota’s brand image of creating reliable and efficient is damaged due to accelerator pedals getting caught on floor mats. Toyota faces tremendous competitive rivalry in the car market.It was badly hit by 2008 financial crisis and declared its first annual loss in 70 years history. Spending much money on Advertisements
History Toyota was founded in 1937, Mintel (2009) states that Toyota now owns and operates the Lexus and Scion brands and has a majority shareholding stake in Daihatsu and Hino Motors, and minority shareholdings in Fuji Heavy Industries, Isuzu Motors, Yamaha Motors and Mitsubishi Aircraft Corporation. Since its inception Toyota has grown to become the world’s leading manufacturer in 2008 a title previously held by General Motors. It also held the label of being the most lucrative vehicle manufacturer in 2006. Toyota’s success is mainly due to a large US market share with the company having a smaller segment of the European market (Mintel, 2009). In May 2009, Toyota announced a record yearly net loss of £2.9 billion for the previous year as a consequence of the global downturn in vehicle sales caused by the 2007-09 financial crises and the company predicted it would lose £3.7 billion in the current financial year (Mintel, 2009). Most recently the Toyota brand has suffered due to the company announcing the recall of vehicles across its main markets namely China, Europe and the United States. Toyota’s brand image of creating reliable and efficient cars is under threat due to accelerator pedals getting caught on floor mats. Toyota is recalling over 1.1 million cars and had to suspend sales of eight models.
SWOT Analysis
Strength:
The company had the right mix of products for the markets that it served.
Toyota primarily sold bigger cars like Fortuner and Qualis in the American market and this was a great success.
China on the other hand prefers fuel-efficient sedans.
TOYOTA CASE STUDY
Statement of the Problem: Toyota’s brand image of creating reliable and efficient is damaged due to accelerator pedals getting caught on floor mats. Toyota faces tremendous competitive rivalry in the car market.It was badly hit by 2008 financial crisis and declared its first annual loss in 70 years history. Spending much money on Advertisements
History Toyota was founded in 1937, Mintel (2009) states that Toyota now owns and operates the Lexus and Scion brands and has a majority shareholding stake in Daihatsu and Hino Motors, and minority shareholdings in Fuji Heavy Industries, Isuzu Motors, Yamaha Motors and Mitsubishi Aircraft Corporation. Since its inception Toyota has grown to become the world’s leading manufacturer in 2008 a title previously held by General Motors. It also held the label of being the most lucrative vehicle manufacturer in 2006. Toyota’s success is mainly due to a large US market share with the company having a smaller segment of the European market (Mintel, 2009). In May 2009, Toyota announced a record yearly net loss of £2.9 billion for the previous year as a consequence of the global downturn in vehicle sales caused by the 2007-09 financial crises and the company predicted it would lose £3.7 billion in the current financial year (Mintel, 2009). Most recently the Toyota brand has suffered due to the company announcing the recall of vehicles across its main markets namely China, Europe and the United States. Toyota’s brand image of creating reliable and efficient cars is under threat due to accelerator pedals getting caught on floor mats. Toyota is recalling over 1.1 million cars and had to suspend sales of eight models.
SWOT Analysis
Strength:
The company had the right mix of products for the markets that it served.
Toyota primarily sold bigger cars like Fortuner and Qualis in the American market and this was a great success.
China on the other hand prefers fuel-efficient sedans.