1) Toyota envisions of having the right vehicle at the right time at the right place to meet the needs of its customers. In doing so, its design research facilities pool the brightest minds to design the vehicles they make. They employ local talents to discover what kind of vehicle people in the community would want to have. In fact, they spend an average of nearly a million dollars per hour on research and development (R&D) to develop the cars and technologies of the future.
New products are handled by a chief engineer, who takes full responsibility and authority for the product from its design or conceptualization phase and manufacturing to marketing. He is in direct contact with dealers and customers which gives the organization a shorter concept time and allows them to correct mistakes and problems quickly and be abreast of market trends. 2) The key principles of “kaizen” or the Japanese concept of continuous improvement and customer first is embodied in its core processes.
Toyota is committed to “building the very best and giving the customers what he/she wants.” From its assembly line, each worker serves as the customer for the process before him/her. He/She acts as the quality control inspector with its use of the “andon,” a cord which any worker can pull to stop the assembly line if he notices a problem. It maintains a close relationship with its supplier and has a rigid specification for the products that is purchases which ensures the good quality of the vehicles it manufactures.
The company is also a leading practitioner of the just in time production. It has adopted the use of “kanban,” a card system that allows workers to signal when new parts are needed.
With such an effective manufacturing system, a customer can get a built to order car in a weeks’ time to ten days. 3) With the increased competition in the automotive industry, Toyota employed the strategy of niche marketing or the concept recognizing the fact that customers have a distinct set of needs. This led to the customization of vehicles, wherein, customers can avail of built to order cars according to their preferences. Customers can select from the company’s wide range of vehicles, from cars, SUVs, minivans and trucks and hybrid vehicle. They may select the type of transmission they would like, to the color and the accessories with which they want their vehicles to have. They can somehow play around their budget for the dream Toyota vehicle they would want to own, delivered to them faster than that of its rivals.

4) Toyota has a reputation for offering good quality vehicles. In spite of having mid –range priced vehicles than that of its competitors, customers are given good value for every penny spent on a Toyota vehicle. It has established an effective market targeting strategy giving the company a competitive advantage over its rivals, leading in quality, production and efficiency.

5) The advent of the internet technology has given consumers access to tons of information real time. It has helped Toyota appeal to its target markets by giving them all the information they need about the organization and all the products it has to offer without having to go to their nearest dealers. The customers get to compare the products with that of the organization’s competitor aiding them in their decision making. They can have a virtual feel of the vehicle of their choice without actually having to see and touch it. It allows them flexibility as they can customize their dream Toyota vehicle according to their whims and within their budget.

Sources
Surowiecki, J. (n.d.). The Open Secret of Success. Retrieved April 2012, from The New Yorker Magazine Web site: http://www.newyorker.com
Toyota Motor Sales, U.S.A., Inc. (n.d.). Retrieved April 2012, from Toyota Motor Sales, U.S.A., Inc. Web site: http://www.toyota.com/