Toyota is an automobile manufacturing company. We all know that because we have or had a vehicle of that company or it is a general piece of general knowledge of the Japanese multinational company. It has a long history of 90 years. The company has developed multiple factories and offices in different countries.
The company has followed the trends with the help of technological innovation all these years. That is why it has become the second-largest automaker in the world. As per the reports of 2019, Volkswagen holds the first position. Moreover, you will find Toyota to be listed on the Tokyo Stock Exchange and it also sells a wide range of products like vehicle maintenance in general and also robots other than manufacturing and selling automobiles.
The primary of this case study is to analyze the most pertinent facets of the history of Toyota, its inventions for which it becomes unique from other factories, and how the course of time did not stop it from reinventing itself until it became the best that it is now.
History of Toyota
Toyota was founded by Toyoda Automatic Loom. The founder was not an engine lover or thinking romantically to change the lives of people. He was just a loom maker who began a side business manufacturing automobiles with his son.
They manufactured their first car models between 1034-1936. After that Toyota Motor Corporation set up itself as a self-reliant company. After that at the time of World War II, it started to produce trucks for the Imperial Japanese Army.
There was an excessive deficit in Japan. Hence the manufactured military trucks were excessively simple. And in case it was not sufficient, they would bomb the Toyota factories with a planned invasion but the extinction of the war stopped the catastrophe.
After World War II, production of cars began again in 1947 and they launched a new model, the SA then. After that five units were sent abroad to El Salvador in 1953. This is the first country in the continent of America that obtained the vehicles of Toyota company and the first development to the West of the Japanese multinational.
The next year, Toyota began to expand again in various countries like Thailand, and Brazil and it is a great matter that the United States was able to get the first automobiles. The American divisions of Toyota (Toyota Motor Sales) were developed in 1957 and also they have created Toyota de Brasil SA in the Brazilian market.
All through the ’70s they carried on their expansion. The creator developed the “just in time” method at that time and after implementing this the company reached the level of production that no other company in the automotive world has reached before.
Toyota Motor Company and Toyota Motor Sales were integrated in 1982 to build a single firm and they renamed the company Toyota Motor Corporation. From then on, Toyota started to expand in other countries too. At this time it aimed to catch the European market, France, and the United Kingdom too. The market in the US thrived incredibly and they opened new branches in various cities like New York, and California.
Toyota surpassed Ford in the US vehicle sales in 2006. It got back its position the next month but due to heavy gas rates, it lost it again. Toyota overtook General Motors for first place in the US market in the first quarter of 2007.
The Crisis of the Recession
The Great Recession hit the United States in 2008 when Toyota carve its production by 50% to lessen stocks and handle the plunging sales in 2009. The unfortunate incidents started in the history of Toyota that proceeded with the forced modification of 2.3 million automobiles in the United States for technical issues that sped up the automobiles.
The company found its continuity was in threat until the earthquake and tsunami of 2011. It lost the supply chain in that disaster for which the production was excessively dropped and this time the company suffered the most in its history from the beginning. As a result, Toyota relinquished its brand leadership as the largest manufacturer in the world which was won by the company before.
Toyota, being a good and successful company, managed to get back from the problem within a year. That is why it again bounced back as the world leader in motorcar production and sales in 2012.
The company started a type of strategic pact with the Uber company as of 2018 for which it has to invest 500 million dollars to create autonomous automobiles together.
Leadership Based on the Continuous Invention
Toyota launched its first autonomous vehicle prototype in 2918 in which people are not required to be experts in driving cars as the design of these autonomous cars enables them to respond to difficult situations without the requirement for human intervention. Similarly, the Japanese company intends to make a union with Uber for developing autonomous vehicles so that they can introduce them in the
American transport service.
The launch of space exploration vehicles is one of the most significant and anticipated inventions in current years. The Japan Aerospace Exploration Agency made a pact with Toyota to develop space exploration automobiles, focusing on the purposes of colonising the Moon and Mars.
At last, a lot of companies around the world have adopted the manufacturing policy of Toyota, the “Toyota production system”. This system incorporated the application of factories in various countries, where they produce or assemble automobiles to deliver to local markets. Toyota has gained an important presence in a wide number of nations in this way where they have developed factories for manufacturing vehicles all over the world.
What is Toyota’s Plan for the Future?
As of 2021, Toyota expected that 85% of its U.S. Vehicles sold in 2930 would still have tailpipes. Toyota suggested that its 2026 EVs may truly be developed on three various platforms: a software platform, an electronic platform, and a body and chassis platform.
To conclude, we may say that like other companies Toyota has also displayed great business and market power and has managed to paternalize itself with time and keep up its position as one of the largest automobile brands in the world. They have managed the problem of the 2008 recession, they have over-reliance on other companies to develop a significant millionaire business, and they have made a pact again so that human beings can win outer space. To get more info you may approach My Assignment Writing Help without further ado.
FREQUENTLY ASKED QUESTIONS
- What are the biggest weaknesses of Toyota?
The biggest weaknesses of Toyota are as follows:
- Over-reliance on Suppliers.
- Inadequate Marketing of Eco-friendly Cars.
- Manufacturing deficiencies.
- Inadequate Marketing.
- What is the goal of Toyota in 2030?
Toyota aims to grow 70% of electrified new vehicle sales in the U.S. by 2030 excluding the performance vehicles.
- What is the strategy of Toyota?
The company applied a just-in-time strategy or JIT which is also called the Toyota Production System (TPS). This process implies the generic technique of reducing waste, inventory expenses, and response time in the operation management of Toyota.