TOWS Analysis of Toyota

SO Strategies

1- Toyota with a strong global presence across the world can use its potential to invest in the emerging economies like Brazil, China to exploit more benefits these countries possess
(S1, O1).

2- By introducing more new product range (O3 ,S3)

3- To penetrate existing markets by offering innovative techniques and customer oriented products.(O3,S4) (O4,S4)

4- Being a strong market leader currently, Toyota has the benefit of increase in demand in the automotive sector in order to achieve more profit in sales (O4, S2).

WO Strategies

1- Offering innovative/improved products in order to overcome the loss in sales and negative impact on its brand image. (W1,O3) (W3,O3)

2- By decreasing the overall cost. (W1, O3).

3- As the demand for Toyota vehicles is increasing currently can give some support to Toyota, if the resources are being distributed equally and therefore will give less amount of time to work on manufacturing facilities specifically in those countries where they are considered to be expensive (W2, O4).

ST Strategies

1- Through market expansion in the new economies can lessen the influence of Yen on Toyota who’s already known as the world’s market leader and so in this case, the organization can shift its some operations to other countries. (S2, T1)  (S2, T2).

2- Offering innovation in products can prevent Toyota from increase in fuel prices and customers also will have several alternatives. (S4,T4)

3- Toyota’s most products are best known for its quality and innovation that can minimize any loss in prices against its competitors in the manufacturing sector. (S3,T3) (S4, T5).

WT Strategies

1- The best alternative is to shift some of the manufacturing operations in other countries
That is less influenced by the Yen fluctuation and can improve its financial conditions affected by economical/political instability at the same time. (W1, T1) (W2, T2).

2- The effect of market saturation can be reduced by focusing on some segments that is able to afford expensive manufacturing facilities and high standard products which will help Toyota to produce cars of its best quality. (W2,T4) (W3, T4).