The Japanese automaker, Toyota has been steadily moving forward even as the “Big Three” automaker companies in America flounder and bailouts are debated. It has always been ahead of the curve. Its proactive nature of producing eco-friendly hybrids to winning awards for the reliability of its cars, has kept it afloat even in times of recession. The company began with an A1 prototype passenger car in Japan in 1935, its US operations were opened in 1957, and the company became the number one automaker in 2007.
Products
Being an automaker, the company’s model of business is based on the designing, manufacturing and then selling of automobiles. The types of vehicles that it produces are broken down into four groups: SUVs and vans, cars, trucks, and hybrids. This totals to about 20 different models produced at any particular time. The cars and the hybrids are the most popular in terms of sales volume. There are other two automobile lines that Toyota has under the company’s umbrella. These are; Lexus and Scion. The Lexus line has 12 models whose marketing is majorly based on their ability to go from 0-60mph in just 5 seconds as compared to the mile/gallon rate the Toyota touts. The other Toyota sub-division Scion is targeted at the world’s youth. This can be seen from its futuristic shape to its perks of heavy-duty horsepower engines and the sound systems. This group only has three models that are available to the market. Two automotive- oriented companies are also lines of business of the Toyota Company, Daihatsu Motor Co., Ltd and Hino Ltd. Toyota is also involved in non-automotive areas of business. These includes: communications, housing financial services, GAZOO, biotechnology, marine vehicles and afforestation. GAZOO is basically an ecommerce organization; afforestation is involved with the planting of trees, flowers or vegetation to make the environment a better place to live in. Biotechnology concentrates mainly on agriculture. These are mostly international initiatives but the most common in the US is the financial services that also include a Rent-A-Car line together with the line of aviation engines (Bruner, Epperson & McNany, n.d).
Price
Toyota Company gives its customers affordable prices for its products. The Scion model which has emerged as a world attraction especially to the younger generation only goes for prices ranging from $15,000-$20,000. This ensures that the targeted market realizes their dream of owning a Scion. The company even went ahead to create a financial branch that provides loan services to knew buyers having credit difficulties. This started as a market ploy to the young consumers in 2003 but has grown and developed into a sensation with everything that includes Scion chats on the company’s website, Scion clubs and meetings in the whole of the United States. (Perry 2008).
Place
The Toyota Company is a leader in the automobile industry globally having four main geographical markets spanning the entire globe. These four include: Africa, America, Europe, and Asia and Oceania. In total Toyota products arte sold in not less than 170 countries all over the world. Statistics show that there are currently 52 bases in 27 regions and countries. The regional headquarters of the four main geographical markets are located in Europe (Belgium), North America (US), and South East Asia (Thailand, Singapore). The wide market ensures that the company maximizes on the economies of scale that comes about due to the bid customer base. This also depends largely on the purchasing power and development of the different regions that makes vehicles more desirable and attainable at the same time. The company makes the largest sales in the US and in Europe but the South East Asia has also emerged as an economic power house and therefore has also created an unprecedented vehicle demand. It has also come up prominently as the best market because of the roots of Toyota in Japan (Ferrari, 2010).
Promotion
There is no dispute from the fact that Toyota is among the world’s well known brands in the automobile industry. Since its major expansions back in 1980s, the company established a successful correlation between its name and brand equity. It marketing principles are based solely on its corporate mission, which states that “Stable long term growth, while striving for harmony with society, people, and the environment”. Another factor that has really promoted Toyota products is the fact that the company has established regional headquarters together with manufacturing operations in its target markets. This has made customers buying Toyota products from any part of the world, not to feel like they are buying a foreign product. They feel it is there own product because it is made from their localities. The company also provides jobs to many people in their respective operational bases, this makes it to be not just a company from Japan, but a piece of the people in the various countries. The company’s cultural awareness in terms of political, social, economic, and environmental factors has enabled the corporation to move beyond brand equity, shaping its international marketing into a big success as a global business corporation (Kondrat, 2009).
Conclusion
The leading factor in the success of the Toyota Company has been its principle of continuous improvement. The companies global strategies have made it become the top manufacturer of automotives in the world. The spread of its bases internationally has enabled it access the largest customer base. Its venture in the production of eco-efficient models has strengthened its competitiveness in the industry. (Ludicke 2006).