Toyota

Table of Contents

* Introduction.................................................................................3

* History of Toyota Motor Corporation.................................................3

* Toyota Management.....................................................................6

* Why Toyota Developed Hybrids and the Benefits of Owning One...........7

* Advertising and Marketing Techniques.............................................8

* Toyota Hybrid Sales.....................................................................10

* Awards for the Toyota Prius Hybrid..................................................11

* Toyota's Future Plans...................................................................12

* Conclusion.................................................................................13

* Bibliography................................................................................14

Japan, Toyota, and the Hybrid

Toyota Motor Corporation is a successful company that has had its own share of ups and downs, but through it all, it has continued to improve itself by staying ahead of the competition and always thinking ahead. To understand how they got where they are today, one must first examine their history, and that they pride themselves in their efforts to think ahead and introduce an innovative idea to markets first. This then helps people to see why they manage the way they do. Toyota cares about its employees and their ideas are often implemented. In fact, Toyota is set on changing the world, that they developed a type of engine called a hybrid to increase fuel-efficiency and lower the harmful emission that pollute our air. A great deal of money has been spent on advertising and marketing techniques to let markets all over the world know that this new technology is the solution to a number of the problems that face the automotive world. Toyota Motor Corporations marketing techniques have been so successful that their first hybrid car, the Prius, has taken the world by storm in virtually every market when it comes to sales and awards. But Toyota doesn't plan on stopping here. A number of plans are set to decrease cost of hybrids, introduce new styles and sizes of gas/electric vehicles, and increase sales in markets all across the world. It is no wonder that Toyota has become a powerhouse in the auto industry today.

The History of Toyota Motor Corporation

Sakichi Toyoda was a terrific inventor who showed little interest in following in the family footsteps working in the carpentry business. Instead, he put his efforts into improving the handloom machinery that was used in the textile industries. In 1926, Sakichi created the Toyoda Automatic Loom Works based on his groundbreaking designs and improvements of the loom machinery. From these designs, came a lot of money, and with this money, he and his son, Kilchiro, founded Toyoda (Toyota) Motor Company. The first engine was produced in 1934 followed by the first car and truck in 1935. Toyota's first few vehicles contained extremely high numbers of imported parts, but was able to compete with its stiff and established competition from Ford and General Motors, who had set-up their own manufacturing units in Japan, by undercutting their prices. The Japanese government soon backed Toyota's production because of the potential profits and its involvement with the war. The government placed restrictions on the operations of Ford and GM in Japan and created tax reliefs and exemptions from duties of imported parts to help Toyota push ahead of their competition. Meanwhile, in the 1930's, the Japanese military began fighting in Manchuria where they were using foreign trucks. The Depression had a great effect on the money supply and the Japanese needed cheaper vehicles. The government decided that mass production of trucks with Japan would help reduce costs, provide jobs, and make the country less dependent

on imports. During World War II, Toyota flourished by selling trucks and buses to the army, but suffered from a series of financial problems after the war. The Bank of Japan stepped in, and the company was bailed out by a group of banks and their financial health was restored by 1952. After WWII, the name of Toyoda Motor Company was changed to "Toyota" when it finally split from the loom company. Although Toyota found more success building trucks, it began making cars that were cheap and that could handle the rough roads left after the war. By 1959, the company opened its first plant outside of Japan in Brazil. Toyota's philosophy was, and still is, to localize both design and production of its products so that the vehicles may be adapted for the place they will be used, while long-term relationships are built with the local suppliers and labor. Toyota began selling cars in the United States in 1958, and the first Americanized vehicle came-out in 1964 known as the Corona. Some years later, the company decided it was time for a luxury brand and created Lexus. It became a success because of its high levels of luxury, reliability, and lower costs than Mercedes. Even with Toyota's great success, by world standards in the late 1950's, Toyota was considered small because it was ranked as the 93rd largest non-American corporation in the world, but it soon grew to number 47 within 3 years. Today, Toyota is the world's 2nd largest manufacturer of automobiles in both unit sales and net sales and is beginning to edge out GM to be the number one seller. There are a number of main players in the Toyota organization today that have helped it continue on its path of growth. Fujio Cho is the president who helped speed the company's decision-making process by cutting the number of board members in half, appointing three non-Japanese managing officers, and streamlining the entire management structure. The chairman of the board is Hiroshi Okuda who has been a part of Toyota since 1982 and mainly works in international operations and the preparation of manufacturing plants in North America. The entire auto industry has been revolutionized by Satoshi Ogiso who is the chief engineer of the hybrid Toyota Prius. Toyota came out with the world's first