Categories: SWOT Analysis

SWOT Analysis of Toyota Motor Corporation

&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad1" id&equals;"quads-ad1" style&equals;"float&colon;left&semi;margin&colon;0px 0px 0px 0&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;<p align&equals;"justify">Toyota Motor Corporation &lpar;TMC&rpar; is a Japan-based multinational automaker&period; Kiichiro Toyoda founded TMC&&num;160&semi; in 1937 and now the company is headquartered in Toyota&comma; Aichi&comma; Japan&period; TMC is the world&&num;8217&semi;s largest automobile manufacturer by sales and production and it employees more than 320&comma;808 people through out the world&period; The company is mainly engaged in the automobile business and financial business&period; The popular brands of the company are Toyota and Lexus&period; SWOT Analysis of the company is given below&colon;<&sol;p>&NewLine;<h3 align&equals;"justify">&&num;160&semi;<&sol;h3>&NewLine;<h3 align&equals;"justify">Strengths&colon;<&sol;h3>&NewLine;<p align&equals;"justify">&&num;160&semi;<&sol;p>&NewLine;<ol>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota Motor Corporation &lpar;TMC&rpar; is the world&&num;8217&semi;s largest vehicle manufacturer by production and sales&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota Motor Corporation is the part of &OpenCurlyDoubleQuote;Toyota Group”&semi; one of the biggest conglomerates in the globe&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota is best known for environmentally safe&comma; Quality&comma; durability&comma; reliability&comma; and value for money and convenient&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">In 1997&comma; Toyota began manufacturing of the globe&&num;8217&semi;s best-selling hybrid car&comma; the Prius&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">The principles and beliefs based on Continuous Improvement and Respect for People&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota has very strong presence in Europe due to the accomplishment of Toyota Team Europe&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Strong distribution and marketing efforts focused on the meeting diverse needs&comma; high quality sales and services&comma; and close involvement with customers&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">It presently maintains more than 16 percent of the US market share and is only behind to GM in terms of volume&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">For the year 2005&comma; Toyota ranked 8 on Forbes 2000 directory of the world&&num;8217&semi;s leading companies&period;&&num;160&semi; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota&&num;8217&semi;s sales had risen 9&period;2 percent mostly on demand for Camry sedans and Corolla <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">It has initiated new technologies including first bulk-produced hybrid gasoline-electric automobile which had two million sales worldwide in 2010&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">It started the &quot&semi;Innovative International Multi-purpose vehicle&quot&semi; plan &lpar;IMV&rpar; to optimize global manufacturing and supply system&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">For the first quarter of 2008&comma; Toyota was number one in worldwide vehicles sales&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<&sol;ol>&NewLine;<h3 align&equals;"justify">&&num;160&semi;<&sol;h3>&NewLine;<h3 align&equals;"justify">Weaknesses&colon;<&sol;h3>&NewLine;<p align&equals;"justify">&&num;160&semi;<&sol;p>&NewLine;<ol>&NewLine;<li>&NewLine;<div align&equals;"justify">From last quarter of the 2009 through the 1st quarter of 2010&comma; it recalled more than eight &lpar;8&rpar; million trucks and cars globally in numerous recall campaigns&comma; and temporarily stopped production and sales&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota Motor Corporation criticized as a foreign importer by Japanese car producers&period;&&num;160&semi; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota was badly hit by the 2008 financial crisis and declared its first annual loss in 70 years history&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">In May&comma; 2009&comma; Toyota Motor Corporation reported a record yearly net loss of US&dollar;4&period;2 billion&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">In 2005&comma; Toyota faced criticism because of large-scale re-call and quality issues&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Toyota offers most of its brands in the Japan and United States&comma; where as competitors’ get global efficiency&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<&sol;ol>&NewLine;<p align&equals;"justify"><&sol;p>&NewLine;<h3 align&equals;"justify">Opportunities&colon;<&sol;h3>&NewLine;<p align&equals;"justify">&&num;160&semi;<&sol;p>&NewLine;<ol>&NewLine;<li>&NewLine;<div align&equals;"justify">Joint ventures with French motoring companies Peugeot and Citroen has provided various opportunities for the company to produce cars in France&period;&&num;160&semi;&&num;160&semi;&&num;160&semi; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">In 2009&semi; quoting declining production numbers&comma; the State Bank of India &lpar;SBI&rpar; decreased interest rates on automotive loans&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">North American consumers shifted to more fuel-efficient and higher-quality product of European and Japanese automakers&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Engineering is a diverse industry with a number of segments&period; A firm from this sector can diversify into power equipment&comma; a niche competitor &lpar;like providing environment friendly solutions&rpar;&period; It can be non-electrical and electrical machinery and still tools producer too&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Indian GDP is about 6&percnt;&semi; which indicate a better economy and infrastructure in Indian rural sides which can sustain growth and improvement of poverty in economy&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Produce fuel-efficient&comma; higher-quality and smaller automobiles that can attract the consumers&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Government of China reduced automotive taxes in order to support declining sales&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<&sol;ol>&NewLine;<h3 align&equals;"justify">&&num;160&semi;<&sol;h3>&NewLine;<h3 align&equals;"justify">Threats&colon;<&sol;h3>&NewLine;<p align&equals;"justify">&&num;160&semi;<&sol;p>&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad2" id&equals;"quads-ad2" style&equals;"float&colon;none&semi;margin&colon;0px 0 0px 0&semi;text-align&colon;center&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;<ol>&NewLine;<li>&NewLine;<div align&equals;"justify">The financial Meltdown resulted in liquidity deficit in the U&period;S banking system which ultimately decreased consumer wealth&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Environmental regulations and associated apprehension concerning carbon emissions have sharp sensitivity to environmental protection globally and gas mileage standards&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Industry is facing adverse impact of fluctuations in foreign currency conversion rates&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Increased competition&comma; market saturation&comma; forceful marketing campaigns and rising competitive pressures&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Increasing maintenance costs of vehicles&comma; rising fuel price and changing customer preference are challenging threats&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<li>&NewLine;<div align&equals;"justify">Major producers&comma; including the Big Three offered significant discounts across their lineups&period; <&sol;div>&NewLine;<&sol;li>&NewLine;<&sol;ol>&NewLine;&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad3" id&equals;"quads-ad3" style&equals;"float&colon;none&semi;margin&colon;0px&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;

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