...concept of comparative advantage while comparing the automobile industry in the United States and the industry in Japan and expound of the similarities and differences of both of the countries. According to InvestorWords.com comparative advantage is defined as the ability of a business entity to engage in production at a lower cost than another entity. Comparative Advantage, rather than absolute advantage is useful in determining what should be produced and what should be acquired through trade. Japan is the country being compared to the United States. Japan is in Eastern Asia and has a population of 126.9 million with the capital Tokyo. Most people who reside in the climate speak Japanese and the major religions practices are Shintoism and Buddhism. The money unit used in the country is yen and the country exports vehicles, computer parts, chemicals, scientific instruments, and watches. Whereas, the United States is l in North America, bordering the North Atlantic Ocean and the North Pacific Ocean, between Canada and Mexico and has a population of 317.6 million with the capital being Washington DC. The predominate language in the United States is English and the major religion practice is Christianity. The currency used in the United States is the American Dollar. The United States exports computers, electrical machinery, vehicles, chemical products, food, live animals, military equipment, and aircraft. Automobile manufacturing is one of the world’s largest activities...
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...Operation Management TOYOTA Team P.A.L Minchul Seo, Altanzul Table of Content 1. Introduction 2. Industries and Company Information 3. Explanation of OM Capabilities 4. How Company Uses OM 5. Identify Problems / SWOT analysis 6. Areas to use for improvements of Critical Business activities in Operations Management 7. Provide Multiple Solutions 8. Conclusion Introduction Toyota Motor Corporation is one of the leading automobile manufacturers in the world by not only its models but also its management. We can say that the principles that Toyota Motor Corporation uses are the way to their success. For instance, they do not only want to be successful by themselves but also they respect their partners and suppliers by challenging them and helping them improve. Toyota wants to be reliable to the customers, suppliers and to the organization. For this reason, they use some operating management technologies such as Just In Time (JIT), Quality Management (QM), Total Quality Management (TQM) and so on. Using these technologies they could reduce to time they spent on manufacturing, shipping, ordering, receiving, forecasting and many others. It also affected to their quality and the overall mission to be succeed. They do not try to hide their weakness and problems in the organization so that they can fix them easily by using simple visual indicators to help people determine their problems immediately whether they are in standard condition deviating from...
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...through its unique producer-consumer relationship and the "reuse recycle" practice in commerce due to the island's limited resources. Repair merchants such as tinker, ceramics repairers and truss hoop repairers supported a society where nothing was thrown away but instead carefully repaired and reused until the products were truly un-amendable. For example, tinkers used special techniques and charcoal heat to weld holes in pots and kettles with other metals; ceramic repairers glue broken ceramic pieces together with sticky rice and applied heat; paper makers buy used papers and blend them to make a variety of paper from writing paper to toilet paper (Staff). The Tokugawa Period served as a model of a flourishing sustainable society to the Japanese. After Japan was introduced to globalization during the Second World War, the nation benefited from becoming a export driven economy, business policies such as the lifetime employment policy promoted the efficiency of the company, and the cultural influences on business management such as respect for authority and reserved behavior promoted order in the company. However, after the financial bubble burst due to abnormal speculation in assets, Japan lost two decades to economic stagnation since 1990. The inability for Japan to recover from this recession reveals underlying problems of practicing out dated business methods. A negative impact of globalization is that...
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...Maruti Suzuki India Ltd. A Brief About the Organisation Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament, to meet the growing demand of a personal mode of transport caused by the lack of an efficient public transport system. Suzuki Motor Company was chosen from seven prospective partners worldwide. This was due not only to their undisputed leadership in small cars but also to their commitment to actively bring to MUL contemporary technology and Japanese management practices (which had catapulted Japan over USA to the status of the top auto manufacturing country in the world). A licence and a Joint Venture agreement was signed between Govt of India and Suzuki Motor Company (now Suzuki Motor Corporation of Japan) in Oct 1982. The vision of the company is “to be the leader in the Indian automobile Industry, creating customer delight and shareholders wealth. A pride of India”. Maruti Suzuki India Ltd. has always been a leader in the Indian automobile industry & we have studied the attitudes and behaviours that prevail within the organisation which are a major contributor to the success of the organisation. Understanding of the organizations parameters Leadership Leaders can make a difference. They have the ability to influence a group towards the achievement of vision or a set of goals and hence are needed to create vision for the future, and to inspire organizational members to want to achieve those visions. Maruti started in...
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...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 new vehicle sales registered by Latinos, according...
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...eliminating the waste in the different stages throughout manufacturing system and process by empowering employees and developing smooth relationship with suppliers and partners. The other key strategy implemented by Toyota and Honda for greater efficiency is the global strategy. In order to expand and exploit potential scale economies, Toyota and Honda establish the global manufacturing system. Toyota and Honda’s home market is not large enough to gain cost efficiencies which leads the companies to look to international markets. They employ the method of foreign direct investment (FDI) to set up their plants and operations in their major foreign markets. They achieve greater efficiency by taking advantages of national differences on cultures, market conditions, politics and others. Besides, Toyota and Honda set up foreign plants that can decrease the input costs through reducing the transportation costs, which gain the distinct efficiency. Another important strategy implemented is the best-cost strategy that combines low-cost strategy and differentiation strategy. The main concept of Toyota and Honda’s business is reducing the costs of inputs includes tangible and intangible costs and...
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...A Culture Briefing of Japan University of Maryland University College MGMT615, April 09, 2012 Turnitin.com = Abstract Japan is located off the North Pacific Ocean and the Sea of Japan. Japan civilization dates back more than 30,000 years. Japan has four main islands, Hokkaido, Honshu, Shikoku and Kyushu. Japan’s capital city of Tokyo is one of the largest metropolitan areas in the world. Japan has four main season and climate mirrors that of a southern state in the US. Japan is slightly smaller than California. It is widely known for its reserved demeanour and politeness. Japan’s political system is somewhat similar to the United States, with three branches of government, Executive, Judicial and Legislative. Japan’s capital city of Tokyo has the largest economy in the world and the second largest in automobile manufacturing. Japan is well known for its export, import and manufacturing industry. Japan host several languages, Japanese, Korean and Okinawan. Japan is rich in tradition emphasizing harmonious relationships with others. Japanese culture is very group oriented and people prefer and it is customary to work in teams/groups. Japanese are very accommodating people and usually keep their opinion of others to themselves to avoid offending Japanese employees traditionally stay with an employer for a lifetime. Changing jobs is viewed as a lack of loyalty to an organization and is frowned upon by a different company when seeking a new opportunity. ...
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...INTRODUCTION The popular saying that goes, 'no man is an island', does not only apply to humans but can also be attributed to the business world. In order to remain active and competitive, an organisation needs to take into account, not only internal processes but also look into consideration its external environment. Factors such as competitors,new rules and regulations,changing marketplace, changing workforce and other related factors that have direct impact on the existence of the business must be seen as a crucial factor to the organisation. A business environment encompasses those factors outside the normal business activities of an organisation but directly affects its decisions and is uncontrollable by the organisation. A change in consumer's taste will likely result in a shift in demand of a product such as fashion. IMPORTANCE OF BUSINESS ENVIRONMENT The importance of analysing an organisation's business environment cannot be more emphasized. Most businesses operate in an environment and whatever occurs in that environment also affect the business. The major importance can be seen in the following : 1. Detection of opportunities and threats: A business that is able to identify potential opportunities will normally have the upper hand as being the first mover and early detection of threats will act as a warning signal of dangers ahead. 2. Coping with changes: With huge changes occurring in the society, there is need for business managers to be aware of...
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...Bhandula Utkarsha INTRODUCTION : Toyota Motor Corporation, commonly known as Toyota and abbreviated as TMC, is a multinational automaker headquartered in Toyota, Aichi, Japan. It is the world's third largest automobile manufacturer by sales and production. The company was founded by Kiichiro Toyoda in 1937 as a spinoff from his father's company Toyota Industries to create automobiles. Three years earlier, in 1934, while still a department of Toyota Industries, it created its first product, the Type A engine, and, in 1936, its first passenger car, the Toyota AA. Toyota Motor Corporation group companies are Toyota (including the Scion brand), Lexus, Daihatsu and Hino Motors, along with several "non-automotive" companies.TMC is part of the Toyota Group, one of the largest conglomerates in the world. Toyota Motor Corporation is headquartered in Toyota City, Aichi and in Tokyo. Its Tokyo head office is located at Tokyo, Japan. In addition to manufacturing automobiles, Toyota provides financial services through its Toyota Financial Services division and also builds robots. Japanese car...
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...ABSTRACT "Worldwide, non-Western cultures faced fundamental challenges to their cultural identities-not so much a recentering of culture but a decentering of culture.” This quotation may be taken to mean something different for both cultures; namely, the United States and Japan. Much of this has been influenced by worldwide events that happened following the 19th century in both countries. Both nations have since prospered, and we are currently seeing a joining of both cultures. In fact, neither the West nor the Eastern country of Japan may be distinguished one from the other any longer. They have truly made the most of this new global environment where we find ourselves today. Almost all non-Western cultures have been influenced by the mores of the West, including countries in Asia. In general, this means that many of these cultures are becoming influenced by Western cultures, namely that of America. For example, in many Asian nations McDonalds and other American influences like Starbucks and clothing stores are coming to their countries. They are being influenced by Western culture, hence the "decentering of culture." What’s more, I spent some time in Japan a few years ago and was surprised to see such a preponderance of Western society in an area that was so far from home. However, the decentralization of Asian culture may go both ways, meaning that although we in the U.S. have influenced Japan greatly, so have they made significant gains on our shores...
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...rapid development of technology which shortens the distance between countries. As different countries have different culture, language, political, geographical and economic factors, we should know how to take advantages from other countries to maintain competitiveness to gain success in the global marketplace (Rothenberg LE 2003). GARSON Corporation is one of the most famous automobile accessories companies in Japan and it already expanded its business to United State as the first step of internationalization. In this report, we are going to explore the possibilities of expanding business in China. The report includes the analysis of the existing automobile accessories market in China, and the country analysis from different perspectives is used to see if China is a good environment to expand the business in it. It is then recommended with the internationalization process, market entry strategy, human resources management strategy in investing in China. All the analysis can help GARSON to confirm its move to investing in China as its 2nd country for business expansion. It also raises some points for GARSON to pay attention to when investing in China. 1. Company Background GARSON Corporation is an automotive accessories company which is originated in Japan. It is established in July 1990 and is dedicated to research and development of high-grade automobile accessories and advocates a luxurious and high-quality life with cars. GARSON has established cooperation with Swarovski...
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...manufacturer, Wilson, and Japanese-owned manufacturer, Morota – is fast approaching a crossroads. The JV was formed in 1993 to support the “transplant” model of assembling Japanese-designed cars in the United States. From an American business mindset, Japanese automakers like Toyota, Honda, and Nissan had a fiercely, almost irrational, loyalty to their suppliers. This loyalty, coupled with the growing market share of Japanese cars and increased domestic supplier competition, made the Wil-Mor JV a natural outgrowth for longstanding licensing partners Wilson and Morota. However, Wil-Mor’s first 18 months was fraught with unexpected setbacks. Neither parent company anticipated the leadership characteristics required to harmonize cultural differences and Wil-Mor’s initial leadership proved so divisive that it had to be removed after a year into operations. Start-up times and costs were much higher than Wilson – and the Wil-Mor pro-forma – predicted. While Japanese quality standards were known to be high, the costs associated with quality (i.e. reduced production output) was also greater than Wil-Mor predicted. And, until recently, Wilson was unaware that the two parent companies had very different definitions of Wil-Mor “success:” Morota’s main aim was to ensure their key buyer, Toyota, was successful in its U.S. endeavors and that U.S. manufactured parts met the automakers high quality standards; Wilson was pursuing ‘low hanging’ profit ‘fruit’ and expected Japanese transplant markets...
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...TOYOTA MOTOR CORPORATION Toyota Motor Corporation is a famous Japanese multinational corporation and can be taken as the second largest producers of trucks, automobiles, robots, buses and financial services as well. Kiichiro Toyoda is the founder of Toyota who was popular for inventing the automatic loom. The spirit of creation and research was inherited by Kiichiro from his father and thus he spends his entire life in the spirit of manufacturing cars. Many years of hard work finally made Kiichiro in completing the A1 prototype vehicle in the year of 1935, which is said to be the beginning of creation of Toyota Motors Corporation. The company's first Type A Engine manufactured in the year 1934 was then used in the first Model A1 passenger car manufactured in the year 1935 and the G1 truck which was later manufactured in the year 1935 all which actually led to the AA Model passenger car in the year 1936. In addition to the car business, the company works on textile business as well where they made automatic loom and which is now working fully computerized and their electric sewing machines are available all over the world. The company now has a number of factories around the world where they manufacture and assemble vehicles within the local market for distribution. Toyota factories are located in countries such as Australia, United Kingdom, Canada, Czech Republic, Poland, United States, France, Philippines, Vietnam, China, Thailand, Malaysia, Mexico, India, Pakistan, Indonesia...
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...Article Discussion Title of Article: Ghosn Creating Value across Cultures ___________________________________________________________________ ___ 1. What is the author’s/authors’ purpose in writing this article? The author, presenting the alliance between Renault and Nissan, wants to make perfectly clear that partnering globally is an opportunity. An equal relationship with two winners. He explains the benefits which are produced by the relationship between the two at a corporate level, and the positive effects at the workforce as well. Learning through differences is essential is the send message. Moreover, the author is warning us of the hidden risks. Losing the corporate identity will have as consequence a lack employees’ motivation. Lastly, the author states that motivation is the engine of performance. 2. Name and discuss three major points on which the author(s) focus in their discussion of their primary purpose. Learning through differences: The author describes the different skills of the French, the Japanese and the Americans. The combination of these skills can disentangle difficult situations more easily and multiplies the possibilities of having Eureka Moments. I find this cross cultural consociation remarkable, people from the two edges of the world, coming from different cultures, having different expertise and knowledge, working together, creating a harmonious relationship, allowing to achieve things which differently would need much more time,...
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...strengths and weaknesses in seeking a partner? The most successful strategic alliances are between companies with complementary strengths and weaknesses. Renault has been building cars since it was started under the name Socié Renault Frè té res. Louis Renault, his brothers Marcel and Fernand, and his friends Thomas Evert and Julian Wyer founded it in 1899. Since the beginning they have been an industry leader in small car designs, combining functionality with style. In 1998 Renault was the world‟s ninth-largest car manufacturer with 4.3% of the market. During the 90‟s globalization was occurring in all industries including the automobile industry. Major manufactures were seeking strategic alliances and mergers as ways to increase market share, reduce costs, and improve productivity. Renault has been an established French automaker since it started producing cars in 1897. Like many other companies Renault has been looking to expand into the Asia for its large potential market. They felt that the best way to do this was through a strategic alliance. Renault has been looking for another automobile manufacturer to peruse a possible alliance with since the early 90‟s. From February 1990 to December 1993 Renault attempted a merger with Swedish car manufacturer, Volvo. It was expected that the merger would go through, than in December of 1993 Volvo shareholders voted against the agreement. This was a big loss for Renault, not only had they lost the opportunity to merge but they wasted time...
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