Ever since Toyota had an overwhelming amount of recalls because of faulty airbags, their reputation and brand name has been damaged. Knowing that “Toyota and Nissan Recall 6.5 million more vehicles…” (Document B) can be quite shocking. Toyota suffered from brand damage because people were scared of being seriously hurt while in their cars. Toyota should focus on marketing and be push forward so they can build the brand credibility that was once lost. The brand credibility also could have added to Toyota greatly underperforming in the United States.
1 Introduction 1.1 Summary of the case: The culture of the organization nowadays counted as one of the most valuable thigs all over the organization. Every company should change its culture to fit the country, which it in. At the beginning of the twentieth century henry ford achieve many things in the car industry field; for example, a manufacturing system called Fordism and it was very successful and has low cost of production; also brought the motor car within the budget of the ordinary family in the west.
Competition The leader in automobile sales for quite a long time has been Toyota. It achieved the golden milestone of the largest selling car in history in 1974 and has remained on the top of the mountain since then (holding 12% global market share in 2013). In contrast Honda holds a comparatively paltry 4% market share and their earnings are less than half of Toyota. That being said, both are major manufacturers in the world automobile market.
Some of them were caused by improper corporate governance rules set by GM, but the role of external influences that affected GM’s production after 2000 must be taken into account as well. First of all it was the corporate culture as mentioned by Canis et al. (2010) or by Monks & Minow (2008): “...the company was managed like an institution. It was highly risk-averse, chronically slow to change, endlessly bureaucratic, and contemptuous of competition. “ General Motors produced inefficient cars that did not match to the demand of customers after year 2000.
This was a big step for the American Automobile manufactures considering back in 2009 both General Motors and Chrysler Corporation were in bankruptcy and without the help of the federal government and bailouts to the tune of 80 billion dollars  it is unclear where they would be today, if around at all. Manufactures heeded the message consumers were sending them and started with redesigning many of the models in production and introducing technology which many of their foreign counterparts already had. They had no choice but to improve the product and win back the American
Mercedes is known by the market for producing safe cars which have the latest technology. Mercedes is also famous for manufacturing environmentally friendly cars. The motivation, product differentiation and the comparative advantage theories have explained the strategies and reasons for success for Mercedes. It is important for the automakers to embrace new market trends in order to ensure that it enjoy profitability in the long run. This will ensure that the needs of all market segments are addressed by the
HCIL follows the same in India for achieving high standards in environmental safety in the various processes of car manufacturing. Honda Assure 'Honda Assure ' is an Insurance initiative introduced by HCIL to enhance ownership experience for Honda car customers. Under the Honda Assure program, all Honda car customers get the benefit of a more transparent, hassle-free transaction and a quick turnaround time on their insurance claims. The entire transaction is routed through an on-line central server which enables HCIL to monitor the overall operations more effectively.
Introduction to the automobile industry Definition The automobile industry consists of a wide range of companies and organizations involved in the designing and developing, of motor vehicles. It is considered as one of the world 's most important economic sectors in terms of revenue. History of the automobile industry
By focusing on having numerous locations for accessibility and assessing customers’ needs, Wal-Mart has been able to sustain a competitive advantage in the industry. The company leverages its massive size to exert high purchasing power over its suppliers and, therefore, it can obtain significant cost savings and pass them down to consumers with heavily discounted prices. (Britanny Carter) They also offer a large variety of products, including national, local, and private brands, giving extended choices to their customers.