presentation on toyota by mian >m .shahnawaz
TRANSCRIPT
Prepared by:
Muhammad Shahnawaz
2008-Ag-43MBA (4th semester)
University of Agriculture Faisalabad
STAGES1. INPUT STAGE
» SWOT» PEST» EFE» IFE
2. MATCHING STAGE» TOWS» BCG» IE» SPACE» GRAND
3. DECISION STAGE» QSPM
•Toyota Motor Corporation is one of the world‘s leading automakers, offering a full range of models, from mini vehicles to large trucks. Global sales of its Toyota and Lexus brands, combined with those of Daihatsu and Hino, totaled 6.78 million
•its own 12 plants and 11 manufacturing subsidiaries and affiliates in Japan, Toyota has 45 manufacturing companies in 26 countries/locations, which produce Lexus- and Toyota-brand vehicles and components.
Market shares (February 2009) vs Competitors
NISAN 8.1%CHRYSLER 9.8%HONDA 11.0%TOYOTA 14.1%GM 16.2%
Toyota
34%
37%
14%
8%7%
Geographic Region Total Sales ( Yen in millions)
Japan North America Europe Asia Others
Toyota International PortfolioPassenger Avalon Camry Corolla Avensis
Tarago Prius Echo
SportsMR2 Camry Sportivo Corolla Sportivo Celica
4 W/DRav 4 LandCruiser Prado LandCruiser 100 Kluger
Commercial LandCruiser 78 Hiace Coaster Hilux
Town Ace
Indus Motor Company (IMC)
• The company was incorporated in Pakistan as a public limited company in December 1989 and started commercial production in May 1993. The shares of company are quoted on the stock exchanges of Pakistan. Toyota Motor Corporation and Toyota Tsusho Corporation have 25 % stake in the company equity. The majority shareholder is the House of Habib with 50 % of the equity.
Toyota seeks to create a more prosperous society through automotive manufacturing And to sustain profitable growth by providing the
best customer experience and dealer support."
1) CAMRY2) COROLLA3) CUORE4) HiLUX5) Imported cars
WHO ARE THE TOYOTA COMPETITORS
SWOT ANALYSIS
Competitive pricing.
High market share.
High durability. Easy availability of spare parts.
Aerodynamic body shape.
Elegant body features.
Comfortable ride.
Luxurious car interior.
High goodwill.
Prestigious car history.
Good resale value.
Swift distribution channels.
Updated safety features (Air-bags, seat-belts, ABS braking,Safety beams etc.)
Low fuel consumption·
Strengths
Weaknesses• People often criticize the breaking of the car although that
braking system of the car has been updated to ABS but still the body rolls when the brakes are applied at high speed.
• The cheesy of the car is not stable while doing high-speed sharp turns.
• The body of the car is too heavy.The rims and tires of the car are not impressive.The cars steering is a bit light and the driver cannot feel the road.
Opportunities
• Making a sporty version of the car just like the CIVIC TYPE-R,this is the faster racing version of HONDA CIVIC .
• Extra market can be captured by introducing Company fitted CNG Kitts in the car.
Threats• Swift competition from other manufacturers’ mainly Japanese and Korean car-makers.
• High oil prices resulting in decrease in demand of fuel thirsty sedans.
• Global inflation due to increase in population and high oil prices may result in decrease in demand of sedans.
• Increase in demand of other cars may result in downward trend of the brands goodwill.
• Lower prices of Korean car manufacturers may be a threat in the future. But presently Korean cars are not making a big impacting the market because of
reliability and resale problems.
• Currently Pak Suzuki is posing a threat as Pak Suzuki is producing cheap cars and is targeting the lower-middle and middle income group consumers.
• Permission given by the Government to the overseas Pakistanis to import used cars in Pakistan.
IFE MATRIX Strengths Weight Rat Score
1 Competitive pricing. 0.03 2 0.06
2 High market share. 0.07 4 0.28
3 High durability. 0.08 3 0.24
4 Easy availability of spare parts. 0.07 3 0.21
5 Aerodynamic body shape. 0.02 2 0.04
6 Elegant body features. 0.05 2 0.1
7 Comfortable ride. 0.03 4 0.12
8 Luxurious car interior. 0.09 3 0.27
9 High goodwill. 0.07 4 0.28
10Prestigious car history. 0.06 3 0.18
11Good resale value. 0.05 4 0.2
12Swift distribution channels. 0.02 3 0.06
13
Updated safety features (Air-bags, seat-belts, ABS braking,Safety beams etc.) 0.05 2 0.1
14 Low fuel consumption 0.05 3 0.15
15·As production of vehicle is based
on foreign joint ventures of 0.05 2 0.1
Japanese origin, the product quality is of international standard.
Weaknesses Weight
Rat Score
1People often criticize the breaking of the car although that 0.07 3 0.21
braking system of the car has been updated to ABS but still the
body rolls when the brakes are applied at high speed.
2The cheesy of the car is not stable while doing high-speed sharp turns. 0.04 3 0.12
3 The body of the car is too heavy. 0.05 4 0.2
4The rims and tires of the car are not impressive. 0.02 1 0.02
5The cars steering is a bit light and the driver cannot feel the road. 0.03 3 0.09
1 3.03
EFE MATRIX Opportunities W R S
1
Making a sporty version of the car just like the CIVIC TYPE-R, this is the faster racing version of HONDA CIVIC having 200bhp and a sports body frame.
0.15 3 0.45
2
Extra market can be captured by introducing Company fitted CNG Kitts in the car.
0.2 4 0.8
Threats W R S
1 Swift competition from other manufacturers’ mainly Japanese 0.08 3 0.24
and Korean car-makers.
2 High oil prices resulting in decrease in demand of fuel thirsty 0.09 3 0.27
sedans. But the fuel Consumption of Toyota Corolla is fairly decent.
3 Global inflation due to increase in population and high oil prices 0.07 2 0.14
may result in decrease in demand of sedans.
4 Increase in demand of other cars may result in downward trend 0.06 2 0.12
of the brands goodwill.
5 Lower prices of Korean car manufacturers may be a threat in 0.12 3 0.36
the future. But presently Korean cars are not making a big impact
in the market because of reliability and resale problems.
6 Currently Pak Suzuki is posing a threat as Pak Suzuki is 0.16 2 0.32
producing cheap cars and is targeting the lower-middle and
middle income group consumers.
7 Permission given by the Government to the overseas 0.07 3 0.21
Pakistanis to import used cars in Pakistan.
1 2.91
TOYOTA HONDA Mitsubishi
Critical Success Factor Weight Rating Score Rating Score Rating Score
Advertising 0.2 3 0.6 4 0.8 1 0.2
Product quality 0.1 4 0.4 3 0.3 2 0.2
Price Compititivness 0.1 4 0.4 3 0.3 3 0.3
Management 0.1 3 0.3 2 0.2 2 0.2
Financial position 0.12 4 0.48 3 0.36 3 0.36
Costomer Loyality 0.1 4 0.4 3 0.3 2 0.2
Global Experience 0.2 3 0.6 3 0.6 4 0.8
Market share 0.08 3 0.24 2 0.16 1 0.08
1 3.42 3.02 2.34
Competitive Profile Matrix CPM
Matching Stage
TOWS MATRIX
TOYOTA COROLLA BCG MATRIXSTAR
2.0D Xli 1.3
QUESTION MARK
GLI
+CASH COWS 2.0D Saloon Altis
DOGS SE Saloon
The McKinsey / General Electric Matrix
Typical factors that affect Market Attractiveness:
- Market size- Market growth rate- Market profitability - Pricing trends - Competitive intensity / rivalry - Overall risk of returns in the industry - to differentiate products and services- Demand variability- Segmentation - Distribution structure
Typical factors that affect Competitive Strength of a Strategic Business Unit:
- Strength of assets and competencies- Relative brand strength- Market share- Market share growth- Customer loyalty- Relative cost position (cost structure compared with competitors)- Relative profit margins (compared to competitors)- Distribution strength and production capacity- Record of technological or other innovation- Access to financial and other investment resources
Internal External- IE Matrix
SPACE MATRIX OF TOYOTA
Suggested strategies
• Developed and produced multi product line for different income class.
• Design less fuel consuming engines.
• developing new brands with unique features.
Recommendation
• Invest in other products line .
• Make hybrid car.
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