Note: Sample below may appear distorted but all corresponding word document files contain proper formattingExcerpt from Essay:
Toyota Strategic Management
For decades, Toyota has been one of the most admired companies in the world. They were able to turn their image in the 1960's and 70's from cheap Japanese import to the car of choice for millions of consumers worldwide. Toyota's strategy has varied significantly over the years. The company began by primarily imitating many of its competitor's designs and even used some of its components. Much of the early strategy of Toyota was focused on becoming the low cost leader in the market niches they worked to carve out. However, in the late eighties the company added a luxury fleet to its product lineup under the brand name Lexus. Toyota has always been tremendously market driven; the company has constantly redefined themselves in terms of a changing market. This has been the company's primary strength over the years.
Toyota's Strategy and Current Strategic Fit
Today, Toyota is one of the world's largest manufacturers of automobiles in both unit sales and in net sales (Toyoland, N.d.). Toyota has become a modern industry giant primarily because they have had a long history of being a global innovator in manufacturing. Apart from the company's revolutionary manufacturing technics that were developed internally, the company has also upheld a customer oriented approach to product development. Toyota is constantly scanning the external environment and tailoring its approach to meet evolving consumer expectations in regard to quality, value, and innovations through engineering (Hauser, 1988).
Toyota has developed a large number of consumer niche segments over the years. One of the best examples of a recent niche that Toyota has worked to develop is the hybrid market. Toyota's breakthrough model, the Prius, was driven by revolutionary gains fuel efficiency which exemplifies the company's dedication to innovation through engineering. Toyota has recently announced plans to further develop this market by rolling out 21 new or redesigned gasoline-electric powered vehicles by the end of 2015 and playing down the near-term outlook for other alternative-fuel technologies such as all-electric vehicles (Dawson, 2012).
The Toyota Prius is an innovative vehicle that has focused on the needs of the environmentally aware consumers. Not only has the Prius made significant gains in regard to fuel economy in the hybrid segment, but the car line's popularity was also fueled by an effective marketing campaign. The marketing message that promoted the Prius worked to start a social revolution in the environmentally conscious market segment (Newell, 2011). As a result of Toyota's engineering and the marketing campaign, the Prius was able to capture a premium in the market place. Toyota has been able to successfully be the industry leader in hybrid technology while other manufactures such as Nissan and GM have concentrated on electric vehicles such as the Leaf and the Volt (Bullis, 2010).
Toyota's successful growth record it has achieved in its history has been a result of the company's dedication to identify and adapting to the needs of the consumers in the market since the external landscape is continuously changing, Toyota has had to reinvent itself of the years. The global recession in 2008 and the rising fuel prices have represented the basis for the most recent evolution. Toyota was well positioned for this environment due to the fact that the company has focused on consumer value and as a result the company went through a great deal of expansionary efforts after the global recession stabilized.
However, this expansion has also caused Toyota many growing pains. Although Toyota has maintained a dedication in manufacturing with regard to quality, in the last few years Toyota has been the subject of a lot of negative publicity that has erupted from a serious safety problems related to several of their vehicle models. Some of the quality problems have included defects related to brakes failing and accelerators becoming stuck when operating the vehicles. As a result of the safety problems many of Toyota's vehicles have had to be recalled and repaired. For example, one product recall was due to a defective throttle control system that in some cases caused the cars to idle, turn off during operation, or even accelerate uncontrollably (Toyota, 2012).
Recommendations for a Better Strategic Fit
The quality issues have been a primary priority for Toyota. After a series of quality issues began to manifest, Toyota immediately created a "Special Committee for Global Quality (SCGQ)" (Toyoda, 2010). The purpose of the committee was to take a holistic approach to improving quality across the…[continue]
"Toyota Strategic Management For Decades Toyota Has" (2013, February 21) Retrieved October 24, 2016, from http://www.paperdue.com/essay/toyota-strategic-management-for-decades-103910
"Toyota Strategic Management For Decades Toyota Has" 21 February 2013. Web.24 October. 2016. <http://www.paperdue.com/essay/toyota-strategic-management-for-decades-103910>
"Toyota Strategic Management For Decades Toyota Has", 21 February 2013, Accessed.24 October. 2016, http://www.paperdue.com/essay/toyota-strategic-management-for-decades-103910
Toyota Strategic Management Assessment Toyota's dominance in the global automotive industry is the result of their ability to orchestrate many potentially conflicting priorities into a common strategic direction. The Toyota Production System (TPS) is a case in point, which is one of the most advanced planning, scheduling and supply chain management (SCM) systems and architectures globally (Fane, Vaghefi, Cheryl, Woods, 2003). Despite these strengths however, Toyota struggled with the areas of
Toyota's Strategic Opportunities And Threats Toyota Corporation (NYSE:TM) is a $226B global manufacturer of automotive vehicles including passenger cars, light and heavy-duty trucks and transportation equipment. Automotive sales globally generated $206B in their latest full fiscal year, Financial Services contributed $13.3B, delivering a Fiscal Year (FY) 2012 Net Income of $4.3B (Toyota Investor Relations, 2013). The most profitable business unit is Financial Services, which is the financing division of automotive sales
Strategic Management Characterize GM's commitment to the environment. From a historical perspective, GM's commitment to the environment seems highly pragmatic in nature. Before it was 'bailed out' by the federal government, GM had a reputation for being the least environmentally-conscious of all of the major automobile companies. Today, GM promotes the fact that its U.S. sales of vehicles that get over 30 mpg are booming. This is part of GM's new image
Analysis of Toyota Opportunities and Threats Toyota is the world's leading patent holder in hybrid vehicle technologies, having over 85% of all patents registered in the U.S. Patent Office, in addition to holding over forty different patents in other registries throughout Europe and Asia. This is a formidable platform for growth in this high-growth emerging line of business. Hybrid technologies can reduce carbon emissions by over 60% in the latest engine
Toyota Analysis Comprehensive Case Analysis An Analysis of Toyota Motor Company JANE A TUCKER 490 Business POLICY, PROFESSOR RICHMOND Toyota's Objectives and Strategies Toyota is an industry giant and has been known as a global innovator in the manufacturing industry. The company has upheld a customer concentrated orientation that has allowed them to be responsive to their target markets. The company is constantly monitoring consumer needs and wants and develops their product mix respectively. One development
12. It has not been implemented in a wide enough spectrum to really gain the attention of parents on a national level. 13. Marketing towards one single brand image sometimes limits a company's capability to market its diversified product line. 14. Targeting previous customers through follow up ay waster valuable resources. T h r e a t s 1. Utilize the global Toyota presence to keep financial budgets and cash flows under control. 2. If
At all entity levels, the company might have to downsize part of its staff members as a cost cutting strategy. But the problems generated by the complete satisfaction of the customers' needs and wants are not limited to the organization alone. At the level of commodities for instance, using fewer resources negatively impacts the organizational purveyors, reducing as such their business operations and financial stability. At the community level, two