...Assignment 2: Diversification Strategy The purpose of this paper is to compare and contrast two companies; One successful and one unsuccessful. The two companies chosen for this purpose is General Motors (unsuccessful) and Toyota Motor Corporation (successful). The content of this paper will analyze, compare and contrast the outcomes, and recommend actions that General Motors could have made to make their diversification venture more successful. The analysis will include the company’s core business, the size of the companies, and the 2009 financial statements of the companies, the company’s global presence, and their use of e-business. The analysis will also contain the primary reason for the different outcomes. History of General Motors General Motors was founded by William Durant on September 16, 1908, in Flint Michigan. GM’s core business is making and selling automobiles. At the beginning, General Motors designed automobiles for the Buick Motor Company, but in a short amount of time General Motors acquired more than 20 companies. These companies include Oldsmobile, Cadillac, and Pontiac, to name a few. General Motors went through many phases of development from 1910-1929. General Motors new design over Ford’s Model T design set the pace for production, design, and the marketing innovation of vehicles. General Motor’s first diversification took place when it added Chevrolet, Vauxhall, and Opel. General Motors used its philosophy and strategy for marketing by stating...
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...INTERNATIONAL JOINT VENTURES AND THE U.S. AUTO INDUSTRY Darwin Wassink Robert Carbaugh In 1983 General Motors Inc. and Toyota Inc. formed a joint venture, the New United Motor Manufacturing Inc., to assemble auios in the United States. For Toyota, the venture was a first attempt to locate production in America. General Motors viewed the venture as a means of learning how to produce low-cost, high quality, small vehicles. Facing an onslaught of anti-union Japanese firms, the United Auto Workers had to demonstrate that unions would not be an impediment to Japanese production in the United States. By 1986 the venture was termed a success. This paper considers the welfare effects of international joint ventures among compettng manufacturers, as applied to the U.S. auto industry. Darwin Wassink is Professor of Economics at the University of WisconsinEau Claire. Previously he served as an economist in Pakistan and Saudi Arabia. Robert Carbaugh is Associate Professor of Economics at Central Washington University. He is author of International Economics and coauthor of The International Monetary System. ISSN: 088i~390H. THE iNTERNATlONAL TRADEJOVRNAL,Volu>ne I No. I. hall 1986 47 48 THE INTERNATIONAL TRADE JOURNAL The American auto industry is undergoing an evolution in which the "all American car" is rapidly becoming a thing of the past. Although American automakers will continue to develop and build their own mid-size and large autos in the...
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...UNIVERSITY OF MUMBAI PROJECT REPORT ON MARKETING STRATEGIES & PLANS OF TOYOTA MOTORS BY MR. JITEN H MENGHANI ROLL NO 32 M.COM. (PART-1) ACADEMIC YEAR 2013-2014 PROJECT GUIDE PROF. MRS N.A. NERURKAR PARLE TILAK VIDYALAYA ASSOCIATION’S M.L.DAHANUKAR COLLEGE OF COMMERCE DIXIT ROAD, VILE PARLE (EAST) MUMBAI-400 057 DECLARATION I, MR. JITEN H MENGHANI OF PARLE TILAK VIDYALAYA ASSOCIATION’S, M.L.DAHANUKAR COLLEGE OF COMMERCE of M.COM (PART-1) (Semester-2) hereby Declare that I have completed this project on MARKETING STRATEGIES & PLANS OF TOYOTA MOTORS in The Academic year 2013-2014. The information Submitted is true & original to the best of knowledge. ----------------------- (Signature of student) JITEN.H.MENGHANI ACKNOWLEGEMENT To list who all have helped me is difficult because they are so numerous and the depth is so enormous. I would like to acknowledge the following as being idealistic channels and fresh dimensions in the completion of this project I take this opportunity to thank the University of Mumbai for giving me chance to do this project. I would like thank my Principal, Dr. Madhavi.S.Pethe for providing the necessary facilities required for completion of this project. I would also like to express my sincere gratitude towards my project guide PROF. MRS N.A. NERURKAR whose guidance and care made the project successful. ...
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...Toyota Operations Travis Bolt Strayer University Bus 508 Dr. Kerry Lanza Abstract The global market is such a vast and seemingly endless landscape of huge corporations and great opportunities. One of the giants that stand out from those around is the Toyota Corporation. Toyota has been able to cross international boundaries and make themselves relevant in virtually all segments of the auto retail market. This operation is often modeled in other industries due to the simple and effective approach Toyota has taken. It has allowed them to move with the market, and develop quality products at competitive prices. Toyota Operations Toyota is a brand that is recognized by virtually every civilized person in the world. This recognition is not something that came over night or through accident but rather by extensive planning and a common goal. The fundamental business of Toyota is developing and selling automobiles to the private consumer and small commercial applications. Toyota has become an industry leader by developing what consumers want and creating a real value for the customers. Toyota’s Story Toyota was originally founded in 1897 as Sakichi toyoda a loom company; it did not start researching gasoline engines until the 1930. In 1933, the automobile department was established as Toyoda Automatic Loom Works, Ltd. Within three years, Toyoda rolled out its first vehicle, the AA sedan. The following...
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...Research Toyota - The Global Automobile Manufacturing Industry (Cars) | | Contents History of Toyota 3 Introduction: 4 Toyota’s internationalisation strategy, internal /external triggers and an analysis and evaluation of those strategies and methods 5 The extent to which Toyota’s national environment contributed to its success as a multinational organisation using Michael Porter’s National Diamond Framework (1990) 7 Toyota and life cycle models: 8 Verification and Validation: Strategy 10 Conclusion 13 History of Toyota Toyota one of the largest car manufacturer’s in the world was bombarded with a series of issues in the last decade with multiple lawsuits causing the company millions of dollars in losses. An organization which was founded by Kiichiro Toyoda in 1933 started off producing passenger cars and then in 1937 focused solely on truck production for the Imperial Japanese army. In the early 1950’s Toyota was on the verge of bankruptcy when it pulled through by obtaining an order of more than 5,000 vehicles from the U.S. military for its war efforts in Korea. This then was the beginning and the opening for Toyota into the U.S. Market. In 1957 Toyota established its first sales, marketing and distribution subsidiary in the U.S., called Toyota Motors Sales Inc (TMS). In 1982 Toyota Motor Corporation formed a joined venture with General Motors, called NUMMI (New United Motor Manufacturing, Inc.) and began its operations in Fremont, California. Toyota’s...
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...Introduction Toyota Motor Corporation: A brief history The Toyota Motor Corporation was founded in 1937 by Kiichiro Toyoda. It originally started as a subsidiary of his father’s company Toyoda Industries. The first vehicle, the Toyota AA, was produced in 1936 even the company was still associated with Toyoda. The brand was established as an independent company in 1937 and changed their name to Toyota. The change of its name was implemented to signify a separation of work and home, to simplify the pronunciation and because it only took 8 brush strokes (which is considered lucky) to write in Japanese. Toyota opened their first factory in 1938 but it had to be cease production during World War II. In 1950 the Toyota Motor Sales Company was established and the company began production on the BJ Toyota Jeep, the BX truck and the SG small truck. In 1956 the Toyopet chain was established. The first vehicle to be sold under this name was the Toyopet SA. The product line was discontinued in the 1960s due to negative connotations with the words toy and pet. During the 1960s Toyota opened a new research and development facility as well as establishing a prominent presence in Thailand. During this time Toyota also celebrated the production of its 10 millionth model. In 1982 the Toyota Motor Sales and Toyota Motor Company formed a merger to become one company, the Toyota Motor Corporation. Following this the company entered into a joint venture with General Motors called the New United Motor Manufacturing...
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...Assignment 2: Toyota BUSI2701H Name: Ronnel Belda Student CUID: 100847861 Executive Summary: With thorough understanding of the benefits and cost involved in allowing Toyota to operate in the country, it is apparent that the company should be permitted to expand in the country. This proposal was based on the numerous benefits that exceed the risks associated with the operation. These benefits include the mass production that will upsurge the country’s export and employment, and help produce supporting industries. In 2012, Toyota manufactured 9.75 million vehicles1. In addition, Toyota’s large sales will generate high tax revenue. In 2012, Toyota’s net revenue was $226,106 million2. Moreover, Toyota provides training to individuals that will improve the country’s level of knowledge. Furthermore, Toyota’s competitiveness will influence its rivals to operate in the same country. In addition, Toyota also operates in non-automotive business. Lastly, Toyota can improve its products and services in the country. Company Description: Toyota Motor Corporation, established by Kiichiro Toyota in 1937, is a Japan-based automaker company headquartered in Toyota, Aichi, Japan3. The company offers various types of vehicles such as sedans, minivans, 2BOX cars, sport-utility vehicles, and trucks, as well as car related parts and accessories. Moreover, Toyota extends its corporation to non-automotive business, including housing, financial services, communications...
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...Toyota Motor Corporation Ivan Ruiz DeVry University Toyota Motor Corporation has a long and interesting history behind it. In 1933, Kiichiro Toyoda traveled to the United States. There he visited many car companies that produces automobiles (Toyota Motor Corporation-Company Profile, Information, Business Description, History, Background Information on Toyota Motor Corporation, 2015) there he learned about the production lines on how to build cars. Then shortly upon his return to Japan, he decided that he wanted to establish an automobile establishment with in his father’s factory. In May 1935, he made his very own prototype automobile. At this point and time Japan had very little natural resources, therefore they had every reason to create a highly efficient car. Throughout the years, they did just this and established many research labs in Japan. This all started in 1939 and proceeded to 1940 with the Toyoda Science Research Center and the Toyoda Works. However, Japan became enmeshed with World War II; the attaining of basic material was becoming more and more difficult. Toyoda was making cars with wooden seats, one head light, back brakes only because of the scarce sources available to them. After the war was over Toyoda had about 3,000 employees, but had no operating facilities. Toyota was recognized as one of the most successful true stories of manufacturing history. Because of its growing success after World War II and the company was best known as Toyota after...
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...Assignment Name : HND BUSINESS ENVIRONMENT Student Name : IGOR ORLOV Student ID : SC 4074 Semester : CONTENTS PAGE Introduction 02 A Brief Overview of Toyota Motor Corporation 02 A Brief History 02 Section LO1 - Organisation Purposes 03 Purposes of different type of Organisation 03 Stakeholders expectation and Organisational strategies 04 Responsibilities of Organisation and strategies to meet them 05 Section LO2 - Nature of the natural environment 07 Economic system and resources 07 Fiscal and monetary policies effect on Organisation activities 09 Competitor strategy 09 Section LO3 - Organisational Behaviour in market environment 11 Pricing and output decision 11 Market forces and effects for an Organisation 11 Business and cultural environment 11 Section LO4 - Significance of global factors affecting a business 13 International trade 13 Global factors influence on a business 13 Summary and conclusion 14 Credits and references 14 INTRODUCTION My aim in writing this assignment is to delve into the subject of Business Environment and describe its key functions. I have chosen to research and submit my findings based on the company Toyota Motor Corporation, and look into ways in which the subjects covered in this assignment apply to this corporation. A BREIF OVERVIEW OF TOYOTA MOTOR CORPORATION Toyota Motor Corporation commonly known simply as Toyota and abbreviated as TMC, is a Japanese...
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...company that I chose to write about is Toyota, and the reason why I chose this company is because Toyota conducts global and domestic marketing in a way that no one else does. What I have done is analyze the influence of global economic interdependence relating to Toyota; I have determined that Toyota’s global economic interdependence is essential to maximizing sales revenues by focusing on both purchasing vehicle parts and materials from certain countries and increasing the market share in each country and region in which they do business in. Toyota must also consider the fact that they need to target the specific groups and classes of people within a country because those groups may be dependent on the success of Toyota. I have also analyzed the effect of trade practices and agreements relating to Toyota, and found out that the effect of trade practices and agreements play a large role in Toyota’s strategies and operations within the boundaries of the countries. Next, when I examined the importance of demographics and physical infrastructure relating to Toyota, I found that the importance of demographics for Toyota is the examining the characteristics of how they will be approached by the consumer. According to an article I read by Multicultural states, Toyota is one of the first auto manufacturers to use the Internet to reach out to all Hispanic customers. The use of the internet to reach out to the Hispanic customers worked, because Toyota has achieved the No. 1 ranking for...
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...Promotional and Advertising Strategies: Toyota Motors and General Motors BUS 508 Contemporary Business June 8, 2014 Abstract The production and management systems in many industries get revolutionized globally due to changing technologies. The automobile industry is not left behind and is currently facing new opportunities and threats. Increase in safety requirements, globalization, digitalization and individualization are a few factors that are spearheading the change in the industry. Survival of companies has been made uncertain, and only those that consumers find to add value are guaranteed the existence. This paper will analyze two leading automobile industries, Toyota Motors and General Motors, and the marketing techniques and strategies that have enabled their survival in the recent past. The study will reveal that environmental interpretation and aspiration to the usage of new technology are important factors for the generation of profit and retention of the market share in the automobile industry. Promotion Strategies Sales promotion denotes devices that are used to induce buyers to buy products that the company offers in the market, in a manner that is better than competitors in order to attract and retain customers. This form of advertising may be consumer oriented in the sense that manufacturers induce buyers through samples, bonus packs, coupons and rebates,...
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...forces of emerging global markets. In spite of a poor natural resource base, a dramatically altered set of institutional arrangements (a combination of democratic government, free-markets and the rule of law) created a propitious atmosphere for innovative behaviour. Nowhere were adaptations to this altered environment more apparent than in the Japanese automobile and semiconductor industries and no firm was more successful, admired and emulated than Toyota Motor Corporation. Indicative of these changes is a Fortune magazine article, published several years ago, which provided a popular assessment of the successes of Toyota. It reported that Toyota was named the most admired motor vehicle manufacturer in the world in 1997, 1998 and 1999 as well as being ranked 11th among the world’s most admired companies in 1998 alongside firms that have been recognised for setting world-class standards of performance in a wide variety of industrial groups (General Electric, Coca-Cola, Microsoft, Disney and so on). More recently, Fortune ranked Toyota as top automobile...
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...and misunderstandings between them and made their business field too much uncomfortable. In order to overcome this, the need of intercultural training has become very essential. In the intercultural training the candidates get a clear picture of the culture and the customs prevailing in a particular country and also get some helping words regarding how to mingle and associate with the people there. This enabled the trainees to clear the differences and misunderstanding between them to a greater extent. A mere training is not sufficient for a trainee to become perfect in dealing the matter timely and suitably. The latter part of the training can be attained by allowing the candidate to mingle with the people of the country concerned. Usually the trainees come across with one or two persons, or a group of people in a locality. On closely viewing the peculiarities in their behavior, nature, custom and language the trainees can make some preliminary judgment on the culture of the people there. These peculiarities cannot be taken into consideration for making judgments about the culture of the people of the country as a whole. If such an attempt is made, then it will be ultimately wrong and the result will be absolutely false. This false judgment is termed as stereotyping in the intercultural training. Sometimes the stereotyping may hurt the feelings of the people of the country. This will be too much dangerous as far as the business men are concerned and remain as an obstacle throughout...
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...международной маркетинговой стратегии и ее виды…………………………………………………………………………….9 Глава 2. Маркетинговые стратегии предприятий автомобильной отрасли…………………………………………………………………………..13 2.1 Основные тенденции развития автомобильного рынка Европы………....13 2.2 Стратегии роста японских и европейских автопроизводителей…………17 2.3 Отличительные особенности и секреты успеха маркетингового поведения японских автопроизводителей………………………………………………20 Глава 3. Особенности маркетинговой стратегии компании Тойота на рынках стран Европы……………………………………………………27 3.1 Общие экономические показатели деятельности Тойота…………………27 3.2 SWOT-анализ компании Toyota Motor Europe…………………………….31 3.3 Маркетинговые мероприятия компании Тойота на территории стран Европы………………………………………………………………………..38 3.4 Рекомендации по развитию потенциала компании Toyota на европейском континенте……………………………………………………………………41...
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...Michael Greto Andreas Schotter Mary Teagarden Toyota: The Accelerator Crisis The root cause of their problems is that the company was hijacked, some years ago, by anti-family, financially oriented pirates. Jim Press, former President & Chief Operating Officer (COO) Toyota Motor Sales, U.S.A., Inc. On February 24, 2010, Akio Toyoda, the grandson of Toyota Motor Corporation’s founder, Kiichiro Toyoda, endured a grueling question-and-answer session before the U.S. House of Representatives Committee on Oversight and Government Reform. The committee represented just one of three Congressional panels investigating the 2009-2010 recall of Toyota vehicles related to problems of sudden acceleration and the company’s delay in responding to the crisis. Signs of the coming recall crisis began as early as 2006 when the National Highway Traffic Safety Administration (NHTSA) opened an investigation into driver reports of “surging” in Toyota’s Camry models. The NHTSA investigation was closed the next year, citing no defects. Over the next four years, Toyota, known in the industry for its quality and reliability, would quietly recall nearly nine million Toyota and Lexus models due to sudden acceleration problems. Toyota’s leadership, widely criticized for its slow response in addressing the problems, now had to move quickly to identify a solution that would ensure the safety of its vehicles, restore consumer confidence, protect the valuable Toyota brand, and recoup a plummeting share price....
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