Swot Analysis Of Toyota Motor Corporation

Report:

1. Company profile and operations overview

Toyota Motor Corporation (TMC) is a multinational company engaged in the automobile business and financial business, headquartered in Japan. TMC mainly operates via two business segments – automobile business and non-automotive business. The automobile segment is involved in the design, manufacture and sale of automobile products, not only finished cars, but also automobile spare parts and accessories. Its non-automotive business deals with housing, financial services, e-TOYOTA business, marine business, as well as biotechnology and afforestation operations. TMC conducts its operations in Japan and throughout the world, including Asia, Europe, Americas, Africa and Oceania.

2. TMC’s operations

TMC’s automobile operations transformation process could be generalized as from local to global both in terms of manufacture and sales. In the early days of TMC, its marketing strategy was project-by-project with an aim to cover every household in Japan. The However, its strategy began to change when its products first exported to the United States in 1957, TMC then broadened its sales scope to the whole world. For over fifty years, TMC managed to sell its cars to over 170 countries and regions throughout the world. TMC’s strategy also developed from a project-by-project approach to “next-generation demand management” which marks a much more ambitious goal for TMC. Furthermore, in April 2013, TMC set up Toyota New Global Architecture (TNGA) to focus on medium- to long- term product strategies, which is different from its former Product and Business Planning Division whose focus is on market-based product and business strategies. (2013, p.5) This demonstrates TMC’s ambition not only in the scope, but also for a longer term for the manufacture and sales of their

(2013, p.34) Toyota Global Vision has three key elements: always better cars, enriching lives of communities, and stable base of business. (2013, p.4-5). Furthermore, in order to realize the Toyota Global Vision, TMC has set goals and established the Toyota Visionary Management Indices as key performance indicators (KPI) to evaluate the progress towards achieving those goals. Each division contributes to self-evaluations to strengthen CSR activities. The major activities undertaken include occupational health and safety initiatives, environment, human resource initiatives, governance and social contribution