• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

A Case Study of Toyota.

Extracts from this document...


A Case Study Presented by: Melanie Osowski MLR 465 Professor: John Reece February 6, 2006 Toyota is a name that is synonymous with a quality product. Their enormous growth in the last half of the 20th century is sincerely note worthy. Toyota grew from a modest textiles manufacturer to one of the world's largest automobile manufacturers. The two areas that helped Toyota to grow and excel was their ability to trim the excess costs off their operations and offer a competitive product to satisfy many needs of the public, not only in their own native land, but in the United State and also in Europe. Toyota was originally a textile operation. The creator and inventor was Toyoda Sakichi. His modest beginnings did not hinder his abilities to be creative and allowed him to generate enough wealth to provide well for his family and employees of the automated loom company that he developed. Toyoda eventually came to pass, and on his death bed convinced his son to continue making attempts to break into the automobile industry. Even before he had ever tried to make automobiles on a commercial level, Toyoda knew that this could be a success, as he possessed the vision of a true entrepreneur and believed that this task could be accomplished allowing enormous growth for the company. Although reluctant, Toyoda's son Kiichiro with great effort in 1930 was allowed to set up an automobile department at the textile facility. Its original set up was more of a skilled craft rather than assembly line production that later became the model for mass production. ...read more.


> The products are both large and small. Some more gas efficient than others and as technology develops, they will incorporate other sources of energy to help reduce the need to use fossil fuels with their vehicles. * Ability to be competitive with the auto giants > Unlike their giant competitors, their ability to change and set up equipment in a fraction of the time allows them to offer more variety at a competitive price. > Their ability to assist in the streamlining of operations with their suppliers not only assists their suppliers with a competitive advantage, it helps to control the costs both to Toyota and to their competitors and therefore, able to increase their profits. > Toyota's JIT inventory processes add value to their P&L statement by merely reducing inventory kept on hand, and so less of their money is tied up inventory. * Dynamic marketing strategies and techniques > Marketing spends a great deal of effort researching the customer needs and compiles a large database of information in order to assist in the development of new products. > Their techniques help to identify unique needs and their information passed onto the planning department helps in increasing the value of a product that is developed to satisfy a certain market. > They place high value on customer relationships and attempt to develop them to be long lasting or lifetime return customers. * Significant financial resources > Toyota started out a small company, however, currently Toyota is one of the major players in the automotive market, and they have a universal conglomerate that virtually removes any limitations on financial resources, regardless of the nation. ...read more.


This is just one example of how Toyota researched their market to find what the customer really wants or needs. The Welcab generates from a need from the wheelchair bound market. Currently, most vehicles designed for the handicap is customized and very costly. Toyota is making the attempt to provide something in the market that is useful, fits their needs, and most importantly, affordable to those with the need. Toyota is not only improving their model types, but the operation of their vehicle, security features and the most up to date luxury features to fit all tastes for various markets. Toyota continues to develop models to fit as many markets as they can to increase sales with little to painless transition between set up rounds. They have been smart enough to realize that their production and success relies on the efforts of a team. A team that consists of trained and empowered employees for quality, trained and consistent suppliers that have not only learned how to manage their own inventories, but assist Toyota with their by using a "Just in Time" inventory process, and an overall management structure with vision and drive to created an empowered model that all the pieces of the puzzle are important in order for the whole to succeed. Toyota has also diversified into other services such as finance and car rentals and are always looking for new ways to grow their business and offer more services to their patronage. Toyota's future will continue to be bright as long as they continue to manufacture automobiles and lead the industry into the future with their advances in production process, as well as future technological developments and product cost control. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. Ryanair case study.

    The achievement of a total liberalization thanks to EU actions can be considered as both a threat and a chance, as it will reinforce the competitive pressure but also allow Ryanair to expand without restraint. The change in economic cycles will be determinant to test its ability to adapt and

  2. Chapter Notes on Marketing Management by Philip Kotler 10th Edition

    * The number of catalogs streaming into the consumers mailboxes not the only measure of growth in this business * Huge boost from the internet- about 3/4 of catalog companies present merchandize and take orders over the internet * Success depends on a company's ability to manage its customer lists

  1. Marketing Study of Southwest Airlines

    were available, were sold directly to passengers, saving the airline a considerable amount of expense (Labich and Hadjian, 1994). More recently, Southwest introduced another innovation. It was the first airline to use the automated ticket vending machine (ATVM) to sell tickets right at the airport.

  2. Chuck's Wagon Case Study

    This has happened because the firm still uses a traditional accounting system, which lumps all indirect cost as overhead. A major disadvantage of this system is that systems are not in place to measure and assign indirect costs to cost SKUs, thus, neglecting non-volume-based cost drivers, understating the cost of

  1. www.eBay.com Case Study: E-Business model

    to reality -The revenue streams generated by the business model constituting the revenue model -The cost structure resulting from the company's the business model ('What is a business model?' adapted from http://business-model-design.blogspot.com) Business models in general 'convert new technology into economic value'.(http://www.quickmba.com/entre/business-model/)

  2. Case Study Analysis Using VIPI " Toyota Prius (Hybrid)

    agreement linked to the United Nations Framework Convention on Climate Change (UNFCCC) (EE Times, UNFCCC 2009) was adopted. Since then several car manufacturers have produced competitors to the Prius, just as there has been acceptance and skepticism about the Prius and other Hybrid cars.

  1. Wal-Mart case study

    had the option to purchase the same product from a number of retailers. As a result, buyers' decisions were made primarily on price, convenience and perceived image of the store. Accordingly, buyers had the strongest bargaining power in the model.


    Inflation Rates: As the inflation rate increases of Starbucks the disposable income of the people drops, so the inflation affects Starbucks as limited number of people will obviously come to Starbucks and pay less, which, might affect Starbucks business as their sales may decline.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work